Financing and real estate closings are essential. The Multi-Board Residential Real Estate 7.0 has a paragraph that addresses the Loan Contingency. The purpose of the loan contingency provision is to give a specific deadline for a person’s loan approval for the house closing. One of the duties of the residential real estate attorney is to monitor the various deadlines in the real estate contract.
Paragraph 7(a) typically has a deadline of 45 days after Date of Acceptance or (5) business days prior to closing. If a buyer cannot secure financing by this deadline, a real estate attorney should draft a loan contingency extension letter. This is important to protect the buyer’s earnest money. If the buyer does not meet the contractual obligations of the real estate contract, the seller has the legal ability to keep the buyer’s earnest money.
In conclusion, one of the main duties of the house closing attorney is to monitor deadlines and due dates. Hiring a real estate lawyer is a wise decision to properly advise and guide you through the real estate closing process. Gateville Law Firm may be reached at 630-780-1034. We have offices in Yorkville and Kendall County, Shorewood and Will County, and Naperville and DuPage County.