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Jeanne M. Reardon
Jeanne M. Reardon
516-314-8433 | CALL TODAY
REAL ESTATE LAW FIRM
Serving Long Island & Greater New York
NOTICE: COVID-19 UPDATE, FIRM OPERATIONS CONTINUE UNINTERRUPED. WE ALSO OFFER CONSULTATIONS
BY PHONE OR EMAIL. PLEASE DO NOT HESITATE TO CONTACT US IF YOU HAVE ANY QUESTIONS.
Real Estate Law Blog
Real Estate Law Blog
Blog
A Strong Contract Lays the Foundation for a Successful Real Estate Transaction
| Posted on January 22, 2017 at 3:43 PM |
 Buyers
and sellers involved in a residential or commercial real estate
transaction have different issues and goals. The
real estate contract or purchase agreement is the single most important
document in the
transaction. A well drafted contract that accurately reflects your
interests and addresses potential problems is critical to a successful
real estate transaction. At the Law Office of Jeanne M. Reardon, we
have more than 20 years of experience negotiating, drafting and
reviewing contracts.A strong, well drafted contract
provides the protection you need by anticipating and
minimizing the risks involved in buying and selling real estate. Jeanne
M. Reardon has the knowledge and experience that it takes to negotiate
and draft real estate contracts
that aim to protect her clients' interests, their down payment and
lessen their overall risks. The standard New
York real estate contract does not ordinarily include all the nuances of
your particular transaction. Usually the real estate broker will
submit the basic terms of the deal such as purchase price, down payment,
financing terms and nothing more. Only an experienced real estate
attorney will have the knowledge to anticipate all the issues at hand
and ensure that they are properly addressed in the drafting and
negotiating of the real estate contract. Some issues that an experienced real estate attorney will anticipate and aim to have addressed in a contract include:
Attorney Jeanne M. Reardon is licensed to practice in New York, and she
has extensive experience in handling real estate contracts, including
Fannie Mae REO contracts. Contact a Skilled Long Island Real Estate Attorney Whether you are buying or selling your home, please do not enter into a
contract before contacting our office because no standard contract can
adequately address all the special circumstances of your transaction. Our services can help to protect your interests, and save you time and money. We provide a free initial consultation to all of our potential clients. To discuss your real estate issue with an
experienced Long Island real estate lawyer call 516-314-8433 or e-mail us. |
Why You Need a Real Estate Lawyer When You Buy or Sell a House
| Posted on May 17, 2016 at 11:06 PM |
 Whether you are buying or selling a home, your team of expert advisers
should include a real estate closing attorney.
Real estate closings are complicated matters and require a thorough knowledge of the law.
With a decision as serious as buying and selling real estate, it is
important that you are guided throughout every step of the
closing process by an experienced and knowledgeable real estate lawyer.
The purchase of a home
is often the single largest financial transaction you will
ever make in your life. Why not ensure that all your bases are covered
by retaining a
closing lawyer to represent your interests and guide you through the
process. How a Closing Lawyer Can Help The
real estate attorney performs many time consuming tasks preparing for a
closing. A real estate closing involves a series of complex phases:
contract drafting and
negotiation, document review, examination of the title, completion
and explanation of legal documents, and resolution of any possible
title difficulties. An experienced real estate attorney oversees the
entire process so that you are not overwhelmed by the
paperwork involved, the disclosures that need to be made, inspections,
loan documents, title insurance and affidavits, and unforeseen issues
that can suddenly turn a sure sale into a disaster. Drafting and Negotiating the Contract of Sale Since real estate attorneys have sophisticated
experience with many types of real estate transactions, it is prudent
for a buyer or seller to ask their real estate lawyer to negotiate the
terms and conditions of their real estate deal. Once the negotiations are complete,
the real estate attorney drafts the
real estate contract, also
known as the Contract of Sale, which incorporates all the terms of the
transaction as negotiated. There are also other numerous documents
associated with a real estate closing. It can be hard to review and
understand all of them.
Missing even one clause can change an entire legal document so it is
important to have a trained real estate attorney aid in the process so
that no issue is overlooked and everything is done in your best interest.
Title Issues A
real estate attorney examines the title records for prior conveyances, unpaid mortgages,
liens, judgments, easements, and other encumbrances and clouds on title. They
verify that the seller has the authority to convey a good title to the property
and that no errors exist in the deeds in the chain of title. Closing Documents A
real estate attorney prepares all relevant information into one set of
closing
documents. A
closing statement should be prepared prior to the closing indicating
the debits and credits to the buyer and seller. An attorney is helpful
in explaining the nature, amount, and fairness of closing costs. If the
attorney is representing a seller, the attorney would also prepare the
deed and state transfer tax documents. At the closing, the attorney
provides detailed explanations of the
documents to insure that the parties understand all issues involved in
the transaction and the disbursement of the funds. Attend the Closing The
actual closing day is the most important phase in the purchase and sale
transaction and having a real estate attorney there to represent you is
critical. Title
passes from seller to buyer, who pays the balance of the purchase price.
The deed and mortgage instruments are signed, and your attorney can
assure you that these documents correctly reflect all the terms of the
transaction and are appropriately executed. There
may also be last minute disputes about issues arising during the final
walk-through and delivering possession or the adjustment of various
costs, such as fuel and water. If you are represented by an experienced
real estate attorney you can rest assured that these issues will be
properly addressed and your interests protected which might not
necessarily be the case if you are not represented by an attorney. Retain Closing Lawyer Jeanne M. Reardon Jeanne
M. Reardon is a Long Island real estate attorney who has handled
thousands of closings during her over 20 years of practice. She has
dealt
with any possible issue that may arise in a real estate transaction and
will advise you regarding your selling or purchasing of a home during
each step and phase of a real estate transaction. Call her today if you
plan to sell or buy a home in the Long Island or the Greater New York
area at (516) 314-8433. |
Using a Power of Attorney for a New York Real Estate Closing
| Posted on April 22, 2014 at 11:45 PM |
 If you are unable to attend a real estate closing and sign the necessary documents you can have your attorney prepare a power of attorney for you thereby allowing your agent to act for you at the closing. A power of attorney is a document in which a person appoints someone to
act as their agent and perform certain acts on their behalf. The powers which may be given to your agent can be very broad, or limited depending on the purpose for giving the power of attorney. For example, your can give your agent very broad powers to manage all your financial affairs, or limited powers to sign documents on your behalf at a real estate closing for a specific property only.Sellers use a power of attorney for real estate closings more often than do purchasers. The most likely reason for this is that many purchasers' lenders are reluctant to permit the use of powers of attorney by their borrowers. If you are a purchaser and need to use a power of attorney, check with
your bank and title company in advance to see what their policy is concerning powers of attorneys. If your lender does not permit the use of a power of attorney, your agent will not be authorized to sign on your behalf. Additionally, it is prudent to have the document reviewed by the title
agency, as their approval is required
before they will rely on it for title transfer purposes. A power of attorney is designed to be effective until death, unless
voluntarily revoked, even if you become incompetent or incapacitated. Therefore, it is imperative that you choose an agent that is trustworthy and will carry out your financial instructions properly. If you need a power of attorney contact an experienced New York attorney
to prepare one for you. After the power is prepared, you and the
person that you have designated as your agent need to sign it before a
notary public. The law governing a power of attorney in New York State
is General Obligations Law Sec. 5-1501. Jeanne M. Reardon is an attorney experienced in preparing powers of attorney. To speak with
an experienced real estate attorney about closing with a power of attorney, call us at (516)
314-8433. |
Application Deadline for Making Home Affordable Program (HAMP) Extended
| Posted on February 15, 2014 at 11:14 PM |
The application deadline for the Making Home Affordable Program which includes HAMP Loan Modifications has been extended through December 31, 2015. Read U.S. Department of the Treasury Press Release below: Obama Administration Extends Application Deadline for the Making Home Affordable Program Extension through December 2015 Will Provide
Struggling Homeowners Additional Time to Access Sustainable Mortgage Relief and
Align End Dates for Key Assistance Programs WASHINGTON – The U.S. Department of the
Treasury and the U.S. Department of Housing and Urban Development today
announced an extension of the Obama Administration’s Making Home Affordable
Program through December 31, 2015. The new deadline was determined in
coordination with the Federal Housing Finance Agency (FHFA) to align with
extended deadlines for the Home Affordable Refinance Program (HARP) and the
Streamlined Modification Initiative for homeowners with loans owned or
guaranteed by Fannie Mae and Freddie Mac. The Making Home Affordable Program has
been a critical part of the Obama Administration’s comprehensive efforts to
provide relief to families at risk of foreclosure and help the housing market
recover from a historic housing crisis. The program deadline was previously
December 31, 2013. “The
housing market is gaining steam, but many homeowners are still struggling,” said
Treasury Secretary Jacob J. Lew. “Helping responsible homeowners avoid
foreclosure is part of our wide-ranging efforts to strengthen the middle class,
and Making Home Affordable offers homeowners some of the deepest and most
dependable assistance available to prevent foreclosure. Extending the program
for two years will benefit many additional families while maintaining clear
standards and accountability for an important part of the mortgage
industry.” “The
Making Home Affordable Program has provided help and hope to America’s
homeowners," said HUD Secretary Shaun Donovan. "Families across the country have
used its tools to reduce their principal, modify their mortgages, fight off
foreclosure and stay in their homes - helping further stimulate our housing
market recovery. And with this extension, we ensure that the program keeps
supporting communities for years to come.” Since
its launch in March 2009, about 1.6 million actions have been taken through the
program to provide relief to homeowners and nearly 1.3 million homeowners have
been helped directly by the program. The Making Home Affordable Program includes
the Home Affordable Modification Program or HAMP, which modifies the terms of a
homeowner’s mortgage to reduce their monthly payment to prevent foreclosure. As
of March 2013, more than 1.1 million homeowners have received a permanent
modification of their mortgage through HAMP, with a median savings of $546 every
month – or 38 percent of their previous payment. Data from the Office of the
Comptroller of the Currency (OCC) shows that the median savings for homeowners
in HAMP is higher than the median savings for homeowners in private industry
modifications, which has helped homeowners in HAMP sustain their mortgage
payments at higher rates. As a result, HAMP modifications continue to exhibit
lower delinquency and re-default rates than industry
modifications. The
Making Home Affordable Program has also put into place important protections for
homeowners that have helped inform efforts to create standards for the mortgage
servicing industry. This includes requirements for mortgage servicers regarding
clear and timely communications with homeowners and protections to ensure that
homeowners are evaluated for assistance before being referred to foreclosure.
The Administration has issued reports on the program every month since July
2009, which provide the most detailed information available about individual
servicer efforts to assist homeowners. As part of this report, Treasury issues a
quarterly assessment for each of the largest servicers in the program to
highlight their compliance with program requirements. Homeowners seeking assistance with their mortgage
payments should remember that there is never a fee to apply to the Making Home
Affordable Program. Homeowners can work with a HUD-approved housing counseling
agency free-of-charge to understand their options and apply for help. Homeowners
should visit MakingHomeAffordable.gov for more information about free resources
for assistance or call 1-888-995-HOPE (4673). Read the U.S.Treasury Press Release on-line here. The Law Office of Jeanne M. Reardon can be reached at (516) 314-8433 or visit our website at www.jreardonlaw.com/Loan-Modification for more information. |
Co-op and Condo Property Tax Abatements
| Posted on January 2, 2014 at 12:08 PM |
News About the Cooperative/Condominium Abatement
Recently,
the NY State Legislature passed bill S2320/A3354, which amended the
Co-op/Condo Abatement. For more information and a description of
changes, click here. Owners of cooperative units and condominiums who qualify for the Co-op/Condo Property Tax Abatement can have their property taxes reduced. The amount of the abatement is based on the average assessed value of the residential units in the building. Abatement percentages are shown in the following table: Average Assessed Value Benefit Amount Per Year 2012/2013 2013/2014 2014/2015 $50,000 or less 25% 26.5% 28.1% $50,001 - $55,000 22.5% 23.8% 25.2% $55,001 - $60,000 20% 21.2% 22.5% $60,001 and above 17.5% 17.5% 17.5% Co-op Tax Benefits Letter Finance will be mailing
a Co-op Tax Benefits Letter outlining each unit's tax savings for
personal exemptions and the co-op property tax abatement. For more
information and the Co-op Tax Benefit Change Form, click here. Phase Outs for Owners Currently Receiving the Abatement If
you are an owner who is not using the unit as your primary residence
and you received the abatement in 2011/2012, your abatement will be
phased out. We mailed you a letter explaining that we think you no
longer qualify for the abatement. As the deadline to respond to the
letter has been extended, responses must be mailed by July 22, 2013 and
sent to:
This is how the phase out will work: Tax Year Phase Out Abatement Amount How You or Your Co-op Board Will See This on Your Bill 2012/2013 50% of the 2011/2012 abatement You or your board will see an percentage you received before the Abatement Reversal Charge on your abatement was amended. 2013/2014 Property Tax Bills. 2013/2014 25% of the 2011/2012 abatement You or your board will see a reduced percentage you received before the abatement amount on your 2013/2014 abatement was amended. property tax bills starting with your July 2013 bill 2014/2015 0% Abatement will no longer appear on your property tax bill. How to Apply Cooperative and condominium developments that are filing for the abatement for the first time should complete the Cooperative and Condominium Property Tax Abatement application. The application must be submitted by the board of directors or managing agent on behalf of the entire development. Deadline: Applications for new cooperative and condominium developments were due April 1, 2013. Requirements
For more information on requirements and recent changes to the abatement click here. Note for Property Owners: You may also be eligible to receive the following personal exemptions:
Basic or Enhanced School Tax Relief (STAR), Disabled Homeowner, Senior
Citizen Homeowner and Veterans. The application for these exemptions
must be postmarked by March 15. If you own a co-op, contact your
management company to find out what exemptions you are receiving in the
current tax year (July to June). Call before March so that you will
still have time to apply for benefits in the next tax year. If you own a
condo, you can find your current exemptions on your Property Tax Bill . |
Changes to Fannie Mae and Freddie Mac Short Sales Impact Investors
| Posted on January 24, 2013 at 3:08 PM |
On January 18, 2013, Fannie Mae and Freddie Mac announced changes to their servicing
requirements for short sales. Please see below for some key changes that
all parties involved in a short sale should be aware of. These changes
apply to all Fannie Mae and Freddie Mac short sales; with an offer and
without an offer. Title Transfer requirement change:
deed.
Note: The above restrictions will run with the land, which means that the restriction is not personal to the seller and will pass to the subsequent buyer upon transfer of title.
Below is an example on how to calculate the 120%
Relocation Assistance: The borrower may be entitled to an incentive payment of
$3,000 from Fannie Mae/Freddie Mac to assist with relocation expenses
following successful completion of a short sale unless: 1. The borrower is required to contribute funds or execute a promissory note. 2. The borrower has Permanent Change of Station (PCS) orders and
receives a Dislocation Allowance (DLA) or other government relocation
assistance. 3. The servicer has knowledge that the borrower is receiving
relocation assistance from another source other than the servicer. Note: If the borrower receives relocation assistance
from a source other than Fannie Mae / Freddie Mac or the Servicer, the
difference in the relocation assistance amount up to the $3,000
incentive maximum may be provided. If the borrower will receive
relocation assistance from a source other than Fannie Mae / Freddie Mac
or the Servicer and the amount is equal to or greater than $3,000, no
relocation incentive will be provided. It is vital to have an attorney negotiate and close your short sale transaction. Call THE LAW OFFICES OF JEANNE M. REARDON to assist you with your short sale. Free initial consultation. Call us at (516) 314-8433. |
Home Buyers: Beware of Underground Oil Tanks
| Posted on August 19, 2012 at 10:45 PM |
Whether buying a single-family or multi-family home, the prospective homeowner
must carefully review the property and perform the necessary due diligence
before buying to ensure there are no buried and leaking underground oil tanks
on the property. A buried and leaking underground oil tank brings with it immense liability
and very often a large cleanup bill for the homeowner. Homeowners are
responsible for leaking oil tanks on their property, and the Navigation Law, §
181(1), imposes strict liability (i.e., without regard to fault),
against any person "who has discharged petroleum." The real danger to the homeowner, however, is
the cleanup costs which can be in the tens of thousands of dollars and can grow
much larger if there is active groundwater contamination. Moreover, these costs
are typically not covered by most homeowners’ insurance policies.
The lesson here for prospective homeowners is to be sure to search for
evidence of an underground oil tank prior to purchasing the property. Here are some investigative tips to follow: Tip 1: Ask The Seller. Even if the property is currently
heated by gas, or there is an above-ground oil tank in the basement, ask your
seller if they ever replaced or abandoned a buried oil tank on the premises. The
answer to this question will help in your investigation. If the seller divulges that there is an
abandoned tank, ask for documentation to confirm that it was properly abandoned
in compliance with local codes. Tip 2: Look For Evidence. Start near the boiler servicing
the house and look to see if there are any old indentations or rust marks or
traces of a boiler with a larger footprint.
This could be evidence that an old, large oil boiler was once
there. Also look around the walls of the basement to see if there are any
lines (small tubing) that disappear into the walls. These would be the oil lines to the buried
tank outside. They may be crimped just inside the basement wall. If
you see them, do not panic. Some oil lines are left in place even after
tanks are removed but if you see them it should prompt you to take the next
step. You should also be on the lookout for cemented patches in the
basement floor where the floor was notched in order to lay the oil lines from
the boiler to the wall. Also look outside along your foundation for an
abandoned oil tank vent pipe which will be coming up from the ground close to
the foundation wall. Often hiring a home inspector can help with this
investigative process Tip 3: Hire An Experienced
Attorney. Consult with a knowledgeable
and experienced real estate attorney, who can advise you on the issues and the
proper course of action to be taken in regards to buried oil tanks and contamination
prior to entering the contract of sale. |
What Borrowers Can Do About Low Home Appraisals
| Posted on June 3, 2012 at 3:26 PM |
With record-low interest rates potential home buyers are seeking
to buy and current homeowners are seeking to refinance. But low appraisals are making it difficult or
even impossible for some borrowers to take advantage of this boon in record-low
interest rates. The problem stems from the fact that home prices have plummeted
even further than first anticipated, as wells as laws and rules enacted by
legislators and lenders in the wake of the financial crisis which seek to eliminate
inflated appraisal valuations and improper pressures on appraisers as seen in the
housing boom have now resulted in an “over-correction” or unnecessarily
conservative valuations. Also, accurate valuation for appraisals may be hard to come
by when sales in the real estate market have been so anemic. There are steps, however, that you can take for a
purchase or refinance transaction in order to increase the odds that your mortgage is approved and
your deal gets done. • Know what the range of value is for your area by looking at comparable
sales from the last three to six months; • Accompany the appraiser during the inspection, pointing out features
and improvements that add to the home's value; • Although chances are slim, request that the lender review the appraisal findings, especially if you think the appraisal is unusually low, contains factual errors, such as the number of bathrooms and so forth, or you have more recent comparable sales that were not available at the time the appraisal was initially done and submitted; and • Start over with a new lender if your original financing falls through. For more information on this topic, see Wall Street Journal article entitled, Fighting Back Against Lowball Home Appraisals. |
Mortgage Refinance - Shortening Loan Terms
| Posted on June 2, 2012 at 11:23 PM |
Mortgages
Shortening Loan Terms The New York Times By VICKIE ELMER
Published: June 1, 2012
· LOW interest rates are making it easier for homeowners to reduce their mortgage payoff times considerably.
Almost
a third of those who refinanced in the first quarter cut the duration
of their mortgages to 15 or 20 years from 30, according to a recent refinancing report by Freddie Mac. The 31 percent
who shortened their terms represented the second-highest level since
2002, when 35 percent took out shorter-term
loans, the data showed. In the
fourth quarter of 2011, 34 percent had reduced their mortgage terms.
The all-time high occurred in 1992, with 42 percent refinancing into
shorter mortgages. “Historically
low rates and an average three-quarters of a percentage point
difference between 30- and 15-year mortgage fixed-rate mortgages are
important drivers
for moving to a shorter term,” Frank Nothaft, Freddie Mac’s chief
economist, said in an e-mail. The 15-year fixed-rate loan averaged 2.97 percent nationwide, according to Freddie Mac’s latest
survey, released on Thursday.
That was the lowest rate since the agency started keeping track of that
loan in 1991. The 30-year loan also set another record low, at an
average 3.75 percent. The
switch to shorter loan terms may also be part of a trend to deleverage
and reduce debt levels, which started in the economic downturn. “People
are taking
control of their own equity — they’re paying it down quickly,” said
Michael McHugh, the president of Continental Home Loan and president of
the
Empire State Mortgage Bankers Association.
Some
people decide to refinance into a shorter mortgage after they have been
promoted at work, said Kate McCue, an executive vice president of McCue
Mortgage,
a direct lender in New Britain, Conn. She suggests that borrowers look
at their own financial situations, including how long they expect to
live in their homes, before deciding on a shorter refinancing. Shorter
loan terms often mean higher monthly payments. But this may be offset
in part by the capturing of very low rates. In the first quarter,
borrowers with
30-year mortgages lowered their rates by a median 1.5 percentage
points, or a savings of about 27 percent of their rate, the largest
reduction recorded in Freddie Mac’s 27 years of analyses.
A
shorter term may have some tax advantages as well. You restart the
mortgage amortization and pay more in interest initially, Mr. McHugh
said; this results
in a good tax deduction for a few years. Shorter
loan terms of, say, 10 or 15 years also allow borrowers to build equity
much more quickly, even when home prices are not appreciating, Mr.
McHugh noted. Borrowers
can achieve similar results by paying down the balance when they
refinance, by adding in extra cash — 21 percent of borrowers did so in
recent months,
Freddie Mac found. If
their finances or jobs are tenuous, some homeowners may be more
comfortable refinancing into 30-year mortgages, then making bigger
payments as often as they
can, Ms. McCue said. If they suffer a financial setback, she said, they
will then have the flexibility of falling back to the standard monthly
payment. If
you’re not sure which term works best for you, begin your research by
picking a good mortgage calculator online and crunching the numbers for
various loan
terms, Ms. McCue said. Those
who decide not to refinance can still pay off their mortgages faster by
sending in an extra month’s payment once a year, said Chanda Gaither, a
housing
counselor at La Casa de Don Pedro, which works on affordable housing
and neighborhood development in Newark. She has seen families save up a
small amount of money every month and then annually apply it to the
principal. “Or take it out of your tax return”
when the refund comes in, she said. |
Buyer Beware: 5 Things Every Home Buyer Should Know
| Posted on March 10, 2012 at 11:24 PM |
1. Always
get a home inspection. Most Contracts of Sale provide for the house to be sold "as is." A home
inspection costs about $450 and will reveal structural defects and needed major repairs. 2. Know the neighborhood. It is advisable to visit the neighborhood at different times of day and talk to
realtors and neighbors. The more you know about the neighborhood, schools, traffic and nuisances, the better. 3. Make sure you can afford to buy. Consider whether you can afford the monthly mortgage payment, real
estate taxes, homeowner's insurance premium, private mortgage insurance premium, and carrying charges,
such as energy bills, telephone bills, etc. 4. Closing
delays can cost you money. Do not lock-in your interest rate too early. If the closing is delayed
and your rate lock expires, you will have to pay additional fees to get a rate lock extension. 5. Estimate your closing costs. Buyer's closing costs include lender fees, appraisal fees, title insurance fees,
survey fee, homeowner's insurance and real estate attorney fee. In order to prevent coming up short at closing, take into account that on average, buyer's closing costs* amount to about 3-5% of the purchase price. *For more information on closing costs, see AOL Real Estate article Closing Costs: How Much to Budget. To speak with
an experienced real estate attorney about a closing, call us at (516)
314-8433. To learn more about our real estate closing services visit us
at: www.jreardonlaw.com/Real-Estate-Closings.html |
