Being familiarised with laws and regulations is always a good thing. Not only you will be able to find your way through it when in need, but you will also be less likely to be caught by surprise by a lengthy process and extensive legalese when dealing with it.
In general, Real Estate is one of the areas that everyone needs, and that will give the average person a headache most of the time. So instead of going through at least three years of law school and dedicating your professional life to studying and perfecting the practice, you can simply learn the basics in this legal guide to real estate law.
What Laws Guide the Real Estate in Canada?
The first step to understanding Real Estate Law is getting to know its foundations in Canada. In the big picture, we have the Canadian Constitution acting as the Federal Law for Real Estate, which delegates to the provinces and territories the jurisdiction over the property. That is, it is up to the provinces to decide how to regulate real estate in their areas.
In Alberta, the main law is called the Real Estate Act. It outlines the basics of how Real Estate is to be led in the province. It contains legislation regarding residential and commercial property, how it is to be managed, fundamentals of mortgage, and even brokerage.
Lastly, there are municipal regulations and bylaws. Those are passed by the cities to better manage their properties and develop their city planning. At a municipal level, you can expect to find regulations on zoning, use of commercial and residential properties, limits for construction, taxes, permits, notaries, and much more.
The Parties of Real Estate Law
After understanding the real estate laws that regulate your area, you can move on to the next pivotal point: the parties of real estate. Those are the people and entities that will actively deal with real estate and that have a part in the process of buying, selling, building, and so on.
On a more personal level, there are sellers and buyers. They are the people who want to move from one family house to another, or who are just starting a new business and want to have a fresh place to begin their operations. In summary, anyone can be a buyer or a seller of real estate.
Next, there are Real Estate Agencies, called Brokerages. Those are companies that dedicate their activities exclusively to real estate, connecting buyers to sellers, providing lease contracts, acting in managing and transferring properties, etc.
Similar to Real Estate Agencies, there are Calgary Real Estate Lawyers, who collaborate with their clients to get the best settlements. Whenever you have a problem with another party or just want to make sure everything is according to the law, you should contact a lawyer.
Lastly, there are Notaries. They are the people and companies in charge of regulating the paperwork and giving it legal value. Without going through the approval and checking of a Notary Public, many documents such as titles and deeds are null.
What a Lawyer Can do For You
As stated above, real estate lawyers play a crucial role in the market, and there are plenty of lawyers in Calgary to help you with property needs. To further elaborate on the idea, it is essential to outline what a lawyer can do for you.
First, lawyers can deal with paperwork like no other. Instead of going through it all yourself and risking making a mistake that turns into a dealbreaker, you should trust a lawyer to do the work. Having expertise in the legal world of real estate is essential to make any purchase go well and smoothly, and it can even help you achieve the best deal.
A lawyer will also negotiate on your behalf with the other parties, improving your chances of getting a settlement that meets your expectations. Sometimes when buying or selling a home, you need to give up on some things to receive others, and professional help can change the game for you. A good example of this is regarding the closing costs of real estate purchase: no one wants to be the one paying it, and your lawyer can guide you through your options.
The Steps of Selling and Buying Real Estate
The last thing to know regarding real estate is the overall step-by-step process of buying or selling a property.
If you are buying, it is a clever idea to have a mortgage approved before you start looking for houses. It allows you to have a better idea of how much you can spend on a home and how to organise your financial life before closing. In case you are selling real estate, the first step is to prepare your house for the market. Make the renovations that are needed, maybe paint the facade, and then go for listing. You can find good agencies to help you with the property’s price, as well.
After that, you are ready to see some houses or open your doors to potential buyers. Real Estate Agencies and Lawyers can help you make an educated decision on which property or buyer is the best option, and they will also provide you with a safe escrow account to facilitate the negotiations.
The negotiation phase does not need to last long. Having professionals assisting you always can significantly reduce the stress and length of those operations. Still, it is not only about the price: a lot of details such as taxes, zoning, and inspections go into the negotiation, so it must be taken seriously and with care.
Finally, there are the closing procedures. This part is heavily focused on paperwork, so having a lawyer is essential. They will wrap up the transaction in about a month and give you a green light to move. It is also necessary to have a final inspection of the house to make sure everything is the same as it was when the offer was made, so do not rush this phase either.
Overall, it takes around four months to sell or buy a house, and when it is done with professionalism, the transaction goes smoothly and stress-free.
Steve Dimic – Dimic Law Firm