If you have already found a buyer for your Illinois home, the next step is usually to put the agreement into a written real estate contract. After that, the transaction may involve attorney review, earnest money, inspections, required seller disclosures, title work, tax prorations, closing documents, and the closing itself. Finding the buyer is a major step. But there is still quite a bit that has to happen before the sale is complete. 1. Put the Agreement in Writing A buyer and seller may initially agree on the basics of a deal through a conversation, email, or text message. But a real estate transaction needs to move from “we have…
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Who Prepares the Contract in an Illinois FSBO Sale?
The short answer – your lawyer. The long answer… So, you found a buyer for your home without using a Realtor. Congratulations. Now someone has to prepare the purchase contract. For many Illinois FSBO sellers, this is the point where the transaction suddenly becomes much more complicated. There is no listing agent preparing paperwork or coordinating an offer. The buyer may have an agent. The buyer may have an attorney. Or the buyer may be unrepresented too. So who actually prepares the contract? The Purchase Contract Is More Than a Price and Closing Date A residential real estate contract determines the legal rights and obligations of both the buyer and…
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Do You Need a Lawyer for an FSBO Sale in Illinois?
No. Illinois law does not generally require you to hire a lawyer simply because you are selling your home without a real estate agent. But selling FSBO does not eliminate the legal work involved in selling a home. In fact, when there is no listing agent involved, it can become even more important for a seller to understand who is handling the contract, disclosures, title work, closing documents, deadlines and problems that arise between contract and closing. That is where a real estate attorney comes in. FSBO Means “For Sale By Owner,” Not “Do Everything Yourself” Selling FSBO usually means that the homeowner has decided not to use a traditional…
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Which Disclosures Do Chicago-Area FSBO Sellers Need?
Most Chicago-area homeowners selling their property without a real estate agent should be prepared to provide an Illinois Residential Real Property Disclosure Report, the required Illinois radon disclosure and information, and, for most homes built before 1978, federal lead-based paint disclosures. Depending on the property and transaction, additional disclosures or documents may also be required. Selling your home without a Realtor does not mean selling it without paperwork. In fact, one of the potential problems with a For Sale By Owner transaction is that there may be no real estate agent involved to remind the seller which forms should be completed and when they should be delivered. Here are three…
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Free Chicago FSBO Seller Starter Kit: What to Prepare Before Selling Without an Agent
Chicago-area homeowners selling without a real estate agent can now download the free LoftusLaw Chicago FSBO Seller Starter Kit. The kit includes Illinois disclosure forms, a pre-contract checklist, a plain-English transaction timeline, Chicagoland transfer-tax information, and a worksheet for estimating the seller’s net proceeds. You can download the free kit here: Download the Free Chicago FSBO Seller Starter Kit Finding the Buyer Is Only the Beginning Some homeowners decide to sell without a real estate agent because they already know their buyer. The buyer may be a relative, neighbor, tenant, friend, or someone who approached the owner directly. Other sellers decide to market the property themselves to avoid paying a…
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FSBO Sellers: The Buyer’s Attorney Is Not There to Protect You
When selling a home privately, one of the most common mistakes a seller can make is assuming that they are protected because “there is already an attorney involved.” That sounds reassuring. It should not be. If the attorney represents the buyer, then the attorney’s job is to protect the buyer. Not the seller. This does not mean the buyer’s attorney is doing anything wrong. Quite the opposite. A good buyer’s attorney should be looking out for the buyer’s interests. That is the purpose of representation. But sellers, especially FSBO sellers, need to understand the difference between an attorney being involved in the transaction and an attorney representing them. Those are…
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FSBO Sellers: Don’t Argue About the Buyer’s Broker Fee. Do the Math.
A seller recently came to me with a concern I expect to hear more often: “I don’t want to pay the buyer’s broker.” That reaction makes sense. If you are selling your home FSBO or through a private sale, one of the main reasons is usually to control costs. You may not want to pay a listing broker. You may not want to pay a buyer’s broker. You may feel like the whole point of selling privately is to avoid giving away part of the deal in commission. Fair enough. But sellers need to be careful. A request for buyer-broker compensation should not automatically become a symbolic fight. In many…
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The Cheapest Closing Lawyer Will Cost You More Later
When buying or selling a home, it is natural to look for ways to save money. Real estate transactions are expensive. There are inspection costs, lender fees, appraisal fees, title charges, moving expenses, commissions, taxes, and closing costs. By the time someone gets to the attorney fee, it can feel like just another line item. So some buyers and sellers choose their closing attorney based almost entirely on price. That is understandable. It can also be a mistake. The cheapest closing lawyer may save you money upfront. But if the legal work is rushed, incomplete, or too high-volume, the problems that get missed can cost far more later. Your Closing…
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Your Realtor’s Lawyer May Be Convenient. But Are They Independent?
When buying or selling a home in the Chicago area, it is very common for a realtor to recommend a real estate attorney. That recommendation may be helpful. Many realtors work with experienced attorneys and know who can keep a transaction organized. A referral can save time, reduce confusion, and give a buyer or seller a place to start. But it should not be an automatic decision. Your real estate attorney should be chosen because they are the right fit for you, not simply because their name was handed to you during the transaction. A Realtor Recommendation Can Be Helpful There is nothing wrong with asking your realtor for an…
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Why Closing Dates Get Postponed in Chicagoland Real Estate Sales
A closing date feels final when it is written into the real estate contract. Unfortunately, anyone who has been through enough Chicagoland closings knows the truth: the closing date is often more like a target than a guarantee. Most buyers and sellers assume that once the contract is signed, everyone simply works toward the closing date and the deal closes on time. Sometimes that happens. But in many residential real estate transactions, the closing date gets pushed back because one piece of the process is not ready. That does not always mean the deal is falling apart. But it does mean the parties need to understand what is causing the…
