Real estate law: Not for you?
Real estate law is the body of regulations and legal codes which pertain to such matters under a particular jurisdiction and include things such as commercial and residential real property transactions. Real estate is so one of the securest investments and several people use real estate as an investment avenue. Real estate law isn’t the forte of real estate lawyers and real estate agents only. Every real estate investor should understand at least the basics of real estate law. In fact, a short course or a concise book on real estate law may sometimes be of great aid (and is normally sufficient for understanding the basics of real estate law).
What you require to understand is the real estate law with respect to the legal procedures that you require to follow for ensuring a smooth transfer of title to the property you acquire/sell and other related procedures. You require to understand the fee structure (for example. Stamp tax, etc) that you require to take care of as per real estate law. You may also understand the sorting of properties and how the basic real estate law applies to them. How the commercial and residential properties are treated differently by the real estate law. The tax laws with respect to real estate are one of the things that would be of most concern to you. So, your study on real estate law should also cover all the aspects related to taxes. How mortgages are treated in the perspective of real estate law is another thing that you should know about. Then again, the real estate law with respect to tenancy should also be well understood by people who want to rent out their property.
However, you shouldn’t overdo that i.e. you shouldn’t begin becoming hysterical about learning real estate law (lest you end up wasting more time in trying to learn everything about real estate law and be left without any time to measure your real estate investment). Leave the intricacies of real estate law with the real estate lawyers (and to some extent real estate brokers who too are tutored real estate law as part of their course for obtaining broker license).
Understanding the several legal terms referred to in real estate laws may aid you in not only enhancing your understanding of real estate but also aid in making your conversations with real estate lawyers/agents actually profitable. You should also note that though a few of the basics remain the same, the real estate laws vary across several states. Also, real estate laws (specially the tax related real estate laws) may undergo a change over a time period, so you require to keep a tab on such changes. Any big changes will anyhow appear prominently in news and you’ll get to know of them anyhow.
So knowing a little bit of real estate law may actually be helpful (and is, in fact, essential).