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Why should I pay attorneys fees Whether to use an attorney to help in closing a common residential real estate transaction is in itself largely a matter of custom On the West Coast and for much of the country, attorneys are seldom used as a matter of course although they are called upon in some situations if there are complex legal issues to be dealt with On the East Coast and particularly in New York, on the other hand, it is not uncommon to have an attorney handle much of the closing including the escrow work Chances are you ll follow custom in your area and the advice of your real estate agent If you do use an attorney, however, you can expect his or her fee to show up on the closing statement To be safe, you should always use an attorney in real estate transactions How much should I expect to pay Attorney fees vary widely However, on the East Coast, where attorneys regularly help with the closing of residential real estate transactions, their fees are usually between $500 and $1500, depending on the complexity of the deal and the reputation of the attorney Since this fee includes all of the closing work, most attorneys consider it the biggest bargain in the field On the West Coast, attorneys usually charge on an hourly basis, and again the final amount depends on the complexity of the legal matter and the reputation of the attorney Fees of $50 to
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54 $100 an hour are not uncommon, and fees of $200 or $300 an hour for complex tax issues are not unheard of You should try to negotiate in advance a fee from the attorney for all of the work to be performed It could save you money How do I find an attorney On the East Coast where they are commonly used, you ll have no problem locating one Your agent may suggest several to choose from Also, title insurance companies may make recommendations as will local bar associations, and in some areas attorneys advertise their services In contrast, on the West Coast, finding an attorney who specializes in real estate transactions is like looking for a needle in a haystack Since they aren t regularly used, there simply aren t very many of them available However, most escrow and title insurance companies have a lawyer on call to handle legal questions, and they may make their attorneys available to you Similarly, most large real estate offices can direct you to an attorney My own suggestion, however, is to be wary of generalservice attorneys who do not handle real estate transactions on a regular basis It s sort of like using a general surgeon to handle a liver transplant They simply may not be up on the finer points of closing the deal and could cause more harm than good
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Will you charge a flat fee for services If the attorney is going to be doing a lot of work for the closing, probably you would want a flat fee The fee would be set up ahead of time, and after that, you wouldn t have to worry about being nickel-and-dimed with lots of small charges Nevertheless, you want to be sure that the flat fee, indeed, is not exorbitant for the work that is to be performed Many people do not believe that they can negotiate price with an attorney They think that clients must simply pay the fee that is asked In fact, you can negotiate a fee with anyone, including lawyers It s simply a matter of bringing it up at the initial meeting (which should be a free consultation to assess your legal
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