WHY

Why hire afc law? Because after 18 years of successful legal experience helping clients in the south florida market;  every year helping more people buy or sell their home, their business or their investments. We have set up their companies, helped them prepare or understand their contracts, helped them manage their leased property or helped them through their legal difficulties. The things we do for our clients are second nature to us at this point. There is no guess work involved, a matter is studied, picked apart, a plan is set and then executed on. afc law does only a few things but they are done very well. Call us, writes us or just read what we post. We are here to help you from before you sign a contract until after you are long done with the transaction. Our business clients are few but loyal, we don't accept everyone as a client, the ones we have, stay and have prospered with us.

 

Come, find out what we can do for you. if you are the right fit, we will make a difference in your deal, your business and your success. This is not just a business for us, it is way of life.

 

 

Attorneys typically perform some or all of the following in a real estate transaction:

 

For Buyers attorneys:

 

  • Review and negotiate the specific terms of the contracts. 

  • Helping assess financing options and explain the terms of the loans. 

  • Evaluate all legal documents, such as the deed, title policy, mortgage, survey, closing statement, and the buyer's & seller's disclosure statement. 

  • Attending the closing and working with the title insurance underwriter to make sure clear title is transferred. 

  • Scrutinize charges to make sure that they are consistent with with the terms of the contract and addendum.

  • Provide updates of any facts that affect the property interest and provide counsel if difficulties arise.

For Sellers attorney:

  • Review and negotiate the specific terms of the contracts.

  • Request title searches, municipal lien letters, surveys, mortgage payoff letters, condominium documents and all other items necessary for closing.

  • Prepare the deed and all other closing documents required to transfer clear title.

  • Prepare and or review closing figures .

  • Arrange for the closing at a convenient time and place.

  • Attend the closing and work with the title insurance underwriter to make sure that clear title is transferred.

  • Review charges for consistency with the terms of the contract and addendum.

  • Provide updates of any facts that affect the property interest and provide counsel if difficulties arise.

  • Address any matter that appears on the title search which needs to be corrected.

 

WHEN TO HIRE

LENDER'S MORTGAGE

 

LENDER REPRESENTATION

afc law represents Private Lenders for Business purpose loans. Preparing the loan documents, performing the due diligence that may required on the borrowers and the property, acting as the lender escrow agent and Servicing the monitoring and servicing of the loan.

BUSINESS PURPOSE

A business purpose loan, is one in which the borrower is not going to be living on the property, the property being purchased is for business purposes. The Property is not the borrower's Homestead, Second Home or Vacation Home in these types of loans. The Borrower, which can be either an individual or a corporate entity, shall execute or cause to execute an affidavit by an individual that has actual knowledge and is duly authorized to act on behalf of the borrower, attesting that the person or entity will not allow the property to be used as the Homestead, Second Home or Vacation home of that individual, any of his family or and of the members or partners of that entity. The property may be rented to those individuals by the person or entity that is the borrower, but the property may only be an income producing property or part of some benefit that the person or entity borrower, finds profitable to bestow on the parties that shall utilize the property. 

DOCUMENT PREPARATION AND REPRESENTATION

The firm may prepare all the of the documents for the loan and collect fund for the work performed on behalf of the Lender from the Borrower at closing, but it is understood that the firm will in all these matters represent the interest of the Lender and not the Borrower.

DUE DILIGENCE

Due diligence performed on the Borrower, business and on the property also performed for the benefit of the Lender, even if paid by the Borrower or any third party.

ESCROWS COLLECTED FROM THE BORROWER FOR TAXES, INSURANCE OR PAYMENT ADVANCES

The firm may collect and escrow funds from the Borrower on behalf and for the benefit of the Lender. Making payment to the Insurance company or Tax Collector from the appropriate municipality from time to time as may be required to keep the account from becoming delinquent.

SERVICING THE LOAN

The Lender may retain the firm to perform the duties of Servicing the Loan. Servicing the loan, involves collecting the monthly mortgage and or escrow payments as they become due, disbursing these payments as may be instructed by the Lender, to the Lender's accounts or to third parties as the case may be.

BORROWER'S MORTGAGE LAW

 

BORROWER REPRESENTATION

Mortgage Law is a sub-practice of the Real Estate Law profession in which knowledgeable attorneys use their expertise to guide and protect clients through the mortgage process. Consumers benefit from the counsel of a Mortgage Attorney in many ways.

LEGAL REPRESENTATION

Mortgage Attorney legally represents the borrower and is required to put their client’s interests first. Clients gain protection, peace of mind and counsel they can trust.

UNDERSTANDING

Disclosure is not the same as understanding. When applying for a mortgage loan, the government requires the lender provide a number of legal documents to ensure the borrowers understand the different options and costs. The large number of documents contain terms like APRs and Yield Spread Premiums and make the process all but impossible to understand, benefiting the loan officer. A Mortgage Attorney will explain these terms in order to educate the Consumer throughout the mortgage process.

COMMISSION FREE ADVICE

Borrowers traditionally look to the loan officer to guide them through the mortgage transaction. However, most Consumers are unaware of the variety of loan programs and that different loan programs pay varying amounts of commission to the loan officer. Many times the advice Borrowers receive is based upon the commission paid to the loan officer.

MORTGAGE LAW A MORE DETAILED SUMMARY

A mortgage involves the transfer of an interest in land as security for a loan or other obligation. It is the most common method of financing real estate transactions. The mortgagor is the party transferring the interest in land. The mortgagee, usually a financial institution, is the provider of the loan or other interest given in exchange for the security interest. Normally, a mortgage is paid in installments that include both interest and a payment on the principle amount that was borrowed. Failure to make payments results in the foreclosure of the mortgage. Foreclosure allows the mortgagee to declare that the entire mortgage debt is due and must be paid immediately. This is accomplished through an acceleration clause in the mortgage. Failure to pay the mortgage debt once foreclosure of the land occurs leads to seizure of the security interest and its sale to pay for any remaining mortgage debt. The foreclosure process depends on state law and the terms of the mortgage. The most common processes are court proceedings (judicial foreclosure) or grants of power to the mortgagee to sell the property (power of sale foreclosure). Many states regulate acceleration clauses and allow late payments to avoid foreclosure. Some states use instruments called deeds of trust instead of traditional mortgages.

Three theories exist regarding who has legal title to a mortgaged property. Under the title theory; title to the security interest rests with the mortgagee. Most states, however, follow the lien theory under which the legal title remains with the mortgagor unless there is foreclosure. Finally, the intermediate theory applies the lien theory until there is a default on the mortgage whereupon the title theory applies.

The mortgagor and the mortgagee generally have the right to transfer their interest in the mortgage. Some states hold that even when the purchaser of a property subject to a mortgage does not explicitly take over the mortgage the transfer is assumed. Mortgages employ due-on-sale and due-on-encumbrance clauses to prevent the transfer of mortgages. These clauses allow acceleration (having the principal and interest become due immediately) of the mortgage. In 1982, Congress made these clauses enforceable nationwide by passage of the Garn-St Germain Depository Institutions Act of 1982. The law of contracts and property govern the transfer of the mortgage's interest.

If the mortgage being foreclosed is not the only lien on the property then state law determines the priority of the property interests. For example, Article 9 of the Uniform Commercial Code governs conflicts between mortgages on real property and liens on fixtures (personal property attached to a piece of real estate).

When a mortgage is a negotiable instrument it is governed by Article 3 of the Uniform Commercial Code. See Negotiable Instruments. A mortgage may be used as a security interest by the mortgagee.

The law of mortgages is mainly governed by state statutory and common law. Mortgages are regulated by federal or state law or agencies depending on under whose law they were chartered or established. The Office of Thrift Supervision, an office in the Department of the Treasury, regulates federally chartered savings associations. The Comptroller of the Currency charters and regulates national banks. Federal credit unions are chartered and regulated by the National Credit Union Administration.

Federal agencies that purchase loans and mortgages are the Federal National Mortgage Association or Fannie Mae, the Federal Home Loan Mortgage Corporation or Freddie Mac, and the Government National Mortgage Association or Ginnie Mae. The federal government also insures mortgages through the Federal Housing Administration and the Department of Veterans Affairs.

Partially taken from: http://topics.law.cornell.edu/wex/mortgage  (for more details or for related links).

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Aventura, Florida 33180

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