Legal support of transactions with real estate and land plots is a service that includes full control of legal actions that entail a change in property rights to the object. A lawyer for land and real estate may be needed in the event of acquisition, sale, registration, privatization, donation, division, inheritance and in other situations of this kind.
Transactions with land plots are regulated by civil and land legislation, and in some cases affect other areas of law. Only a person with the appropriate education and practical experience can understand all the intricacies.
What does support of real estate transactions include?
Most often, the services of a lawyer to support real estate transactions are required when it comes to private property (in addition to it, there is municipal and state property).
When concluding transactions, a lawyer or solicitor provides a range of services. Support for real estate transactions includes:
1. Checking the seriousness of the intentions and legality of the actions of the other party. The lawyer conducts a check to make sure that the other party to the transaction is not a fraudster and does not pursue criminal goals.
2. Checking the legal purity of the transaction. This service includes checking the legality of the parties’ actions, as well as checking the documents accompanying the transaction. The lawyer will make sure that the papers are genuine.
3. Coordination of nuances and drawing up a contract. It is necessary that the contract be drawn up in accordance with the requirements of current legislation and protect both parties. Only a competent lawyer can take into account all possible nuances.
4. Presence at the time of conclusion of the transaction. It is important that the agreement is signed by persons who have the grounds and authority to do so. They must be fully competent in the eyes of the law. Otherwise, the deal may be cancelled.
5. Re-registration of the property to the new owner. The lawyer will draw up the necessary papers and represent interests in the authorized bodies. This will minimize the likelihood of difficulties associated with registering a new owner with Rosreestr.
A lawyer is required to support real estate transactions. This is the only way to get rid of the risks of losing your property or making mistakes that will lead to other unpleasant consequences. With the help of a lawyer on land issues, the deal will be concluded as correctly as possible.
How does the deal happen?
In order to make the transaction more secure, it is customary to conclude a preliminary agreement in addition to the main one. It is recommended to take into account the following:
- You must indicate the date when the transaction will be concluded.
- It is determined whether the buyer will provide a guarantee and what its amount should be. In most cases, it is customary to set the payment amount to 5% of the transaction amount.
- As a rule, if the buyer refuses to pay the remaining funds, the guarantee amount remains with the seller. This guarantees the seriousness of the intentions of the parties to the transaction. On the other hand, if the failure of the transaction is the fault of the seller, then the advance payment must be returned to the buyer and, in addition, the same amount must be paid additionally.
Such an agreement must be certified by a notary.
Sample preliminary agreement for the sale of any real estate
Private individuals have the right to make payments both in cash and in non-cash form. A convenient option for conducting them is when the advance payment occurs in the presence of a notary, and the rest of the amount is transferred to the seller’s bank account.
Transfer of money from buyer to seller can occur in the following ways:
- Funds are transferred from one bank account to another.
- The buyer's cash is deposited into the seller's current account.
- Cash is transferred in the presence of a notary.
Sometimes cash payments are made as follows. They place the money in a safe deposit box and sign an agreement with the bank about under what conditions and upon provision of what documents the seller will have access to it.
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Price and cost
The price for legal support of real estate transactions can vary greatly depending on the form of the transaction, the category of the land plot, the presence/absence of permanent buildings on the site, the presence of encumbrances and other factors. It is impossible to determine the exact cost of services without a preliminary analysis of the documentation and the situation as a whole.
In any case, the cost of support for real estate transactions is established by the contract. Before drawing it up, the lawyer conducts a full check of the documents, visits the site if necessary and asks clarifying questions.
Our company’s lawyers have extensive experience in the field of land, civil and urban planning law. In addition, our specialists have knowledge in the field of geodesy, cartography and design. You can submit a request for the service by calling the specified phone number or using the feedback form.
Support for legal entities
Legal support for transactions with land plots is required not only by individuals, but also by organizations. Not everyone has a full-time specialist, but even if they do, they most likely specialize in other areas of law.
Our law firm offers support for real estate transactions and provides the following types of services:
· consultation on legal support of land transactions;
· consultation on obtaining ownership of a land plot from the state or municipality free of charge or for rent;
· checking the legal purity of the property;
· identifying the owner of a real estate object (sometimes the owner is not the person who claims to be the owner);
· determining the possibility of using the land plot for one’s own purposes, taking into account the category and type of permitted use of the object;
· establishing compliance of the actual characteristics of the site with those indicated in the technical documentation;
· legal analysis of contracts to provide a land plot with utilities;
· preparing a package of papers for completing a transaction;
· ensuring the transfer of funds using bank services;
· development of an agreement for signing, taking into account all the nuances of the transaction;
· presence at negotiations and signing of the contract;
· checking copies of documents with originals;
· collection and preparation of documents for submission to Rosreestr;
· assistance in obtaining an extract from the Unified State Register of Real Estate;
· other legal services.
Taking actions that entail legal consequences without an experienced specialist is walking through a minefield. If you are not ready to risk your property and finances, we recommend that you use the services to support real estate transactions offered by our company’s attorneys and lawyers.
Features of purchasing a plot in SNT
When purchasing a plot of land from a gardening non-profit partnership (SNT), you should know that the owner does not have the appropriate certificate for it, but has the right to dispose of it. In this case, the owner of the plots is SNT. When selling a plot, the previous owner must leave the partnership by submitting an application, and the new owner must enter. If you wish, you can not join it, but then enter into an agreement for the use of resources and pay for them separately within the framework of the agreement.
Purchasing a plot of land in SNT has several features:
- the price is significantly lower than with the permitted use for individual housing construction, since it has agricultural purposes;
- you can build a house on the land in a partnership;
- when SNT is located within a populated area, it is possible to transfer the category of land plot to individual housing construction;
- transferring the land to another category will require a lot of time and money, but without this the house will not be recognized as residential and there will be no opportunity to register there;
- construction, as well as all approvals for the land and house, may become more expensive than with individual housing construction.
Agreement of intent
Often, before executing a transaction and registering the transfer of property rights, the parties draw up a preliminary agreement of intent for the purchase and sale of real estate. It is a kind of simplified version of the main contract and does not entail serious legal consequences. In essence, this is a written confirmation of the agreements reached between the parties. It does not entail the transfer of property or money.
This type of legal relationship is provided for in Art. 429 of the Civil Code of the Russian Federation. It implies that the parties intend to enter into a basic purchase and sale agreement in the future, and also includes a detailed description of the characteristics of the object of the agreement - a plot of land, a house or other real estate.
A completed sample agreement of intent for the purchase and sale of real estate does not entail the obligation to transfer funds. However, the text of the agreement must indicate the final cost of the property and the payment procedure.
The intentions of the parties can optionally be supported by the payment of a deposit, but this is not a mandatory condition of the agreement. If the parties include this clause in the contract, it will also be necessary to indicate under what circumstances the deposit will be returned.
In accordance with the provisions of Art. 381 of the Civil Code of the Russian Federation, the money must be returned voluntarily if the seller and buyer come to a mutual decision to terminate the agreement of intent for the purchase and sale of real estate (a sample can be prepared by the lawyers of our company) without concluding a purchase and sale agreement.
A preliminary agreement is concluded if the parties cannot formalize the main agreement for certain reasons. For example, if a decision from a third party is expected or one of the parties to the transaction is located in another city. Thus, often an agreement of intent for the purchase and sale of real estate is concluded with a mortgage - the parties await the bank’s decision to issue a loan.
The following information can also be included in the letter of intent:
· the date on which the seller and buyer undertake to complete the transaction (if the date is not specified, the main agreement is concluded within a year from the date of signing the preliminary agreement);
· requirements to remove the object of the agreement from registration before the transfer of property rights;
· procedure for repayment of payments for the provision of utility services;
· information about the safety of the house and land in proper condition;
· prohibition on registering an encumbrance or transferring an object for rent;
· information about the deposit and the procedure for its return;
· responsibility of the parties;
· procedure for terminating the contract;
· number of copies of the agreement;
· procedure for resolving controversial issues.
If the other party evades its obligations under the contract, it has the right to go to court. The limitation period for claims of this type is six months from the date of expiration of the contract period.
A preliminary purchase and sale agreement can only be concluded in writing. If the parties agreed to make a transaction and did not put it on paper, this does not entail any legal consequences. The seller is not obliged to transfer the property, and the buyer, in turn, is not obliged to transfer funds.
The letter of intent does not require notarization. The parties may contact a notary if they wish, but the law does not contain such an obligation. This also applies to cases where there are several owners of the subject of the transaction.
However, if one of the parties has doubts about the purity of the transaction or there are any controversial issues, it is recommended to involve a lawyer. It is best to do this at the stage of discussing the details of the relationship.
An agreement of intent for the purchase and sale of real estate reduces risks, but at the same time, it may have pitfalls that are worth being aware of. Based on Art. 429 of the Civil Code of the Russian Federation, if the other party evades concluding an agreement, it may be forced to sign the main agreement. Therefore, you should take the choice of land seriously.
Before signing an agreement, the site should be carefully inspected, pay attention to the nuances, and study the documents. It is advisable to contact a lawyer at the selection stage, since there may be hidden shortcomings that will appear in the future. The lawyer will be able to check the compliance of the technical documentation and the real state of affairs. If there are any discrepancies, a specialist will help resolve this with the authorized bodies.
The procedure for acquiring property rights is of no small importance. If the land plot has been inherited, you need to check that there are no other applicants for property rights. Without a lawyer, there is a risk that a dispute may arise regarding this property. For example, if a potential heir goes to court to restore the period of entry into inheritance rights or with a claim to receive a compulsory share.
Another important point to check is the presence of a husband or wife. If the property is jointly owned, you will need to obtain consent from the spouse to transfer ownership and enter into a transaction.
If you need to draw up an agreement of intent to enter into a transaction in the future, please contact our company. We support transactions regarding land plots and real estate on a turnkey basis.
What will the seller need to prepare?
Speaking about the documents that the seller will have to provide at the time of the transaction, it should be noted that their list is quite small, but their preparation will take quite a lot of time.
Thus, the seller (if it is a legal or natural person not related to state or municipal authorities) will need to provide to complete the transaction:
- Certificate of ownership of a specific plot along with documents confirming the legality of obtaining such a document;
- Cadastral passport and site plan (you can get them from Rosreestr and make and certify their copies there);
- Documents confirming the absence of any encumbrances on the site, as well as debts on it (for example, to the tax authorities);
- The spouse’s permission to carry out the transaction in a notarized form (even if we are talking about a plot acquired before the official marriage);
- In a situation where the interests of minor family members (the seller’s own children or adopted children) may be affected during the transaction, it will be necessary to have an appropriately issued permission from the guardianship and trusteeship authorities to conclude a purchase and sale agreement for a particular land plot;
- Refusal of administrative entities and other persons having the right of first refusal to purchase a plot of such their right.
If all documents are prepared correctly and in full, and the acquiring party was also able to meet these requirements, the moment comes for re-registration of ownership.
Land audit
A land audit or legal review of a property is a legal analysis of the possibility of using a site for the needs of its owner, potential buyer or investor. During the analysis, the possibility of developing a land plot is checked, as well as determining the characteristics of objects available for construction. In addition, the lawyer analyzes the possibility of changing the type of permitted use if necessary.
A land audit is necessary for those who have decided to develop an existing land plot, are purchasing an allotment, are potential developers, or are planning to invest money in the development and development of the territory.
In the process of carrying out a legal review of an object, a competent lawyer carries out the following activities:
1. Legal analysis of title documentation for a land plot.
At this stage of the inspection, the specialist determines the presence and content of title documents. It checks to what extent the information in the documents corresponds to the actual characteristics. The lawyer examines whether the description and properties of the site correspond to the interests of the client. At the same time, the location, area, category and type of permitted use, the fact of cadastral registration, and information about the owner are analyzed. At this stage, you must request the original title documents.
2. Legal analysis of the powers of the authorized representative of the owner of the land plot or the identity of the owner.
If the owner is an individual and takes part in the transaction on his own behalf, then his identity will need to be established. If the owner is an organization, it is necessary to identify data about the legal entity and study the statutory documents. When a proxy acts, a legal review of the power of attorney and the powers of the representative will be required.
3. Analysis of the history of obtaining property rights to a land plot.
This is extremely important information for those who are planning to purchase not only land, but also any valuable property. A lawyer’s professional opinion on the number, frequency and reasons for the transfer of property rights to land will provide valuable data on the likely risks and possible problems that may occur after acquiring the site. For example, if ownership was obtained based on a court decision, there is a risk that difficulties will arise in the future. The presence of complications in the past is fraught with the recognition of the transaction as invalid or lengthy legal proceedings. In such situations, it is recommended to abandon the difficult area and choose other options.
4. Determining the presence or absence of encumbrances on the land plot.
Encumbrances are any legal encroachments and legal circumstances that arise on the basis of an agreement or regulation and burden the possibility of exercising property rights. In this case, third parties receive part of the powers. Such encumbrances can be rent, pledge, mortgage, easement and others. A lawyer will help you find out whether there are implicit encumbrances on the property that may prevent you from using the land in full. This will take into account the client's plan for using the facility.
5. Determining whether there are restrictions on the site.
Various restrictions on the use of a site may be established to protect the land or adjacent properties from likely adverse impacts. A similar restriction is the establishment of an environmental protection zone, sanitary, urban planning or historical and cultural zone on the territory. Conducting any economic activity in such areas is prohibited. Such data must be taken into account to avoid problems. This information will be required when planning construction work or other uses of the site.
6. Analysis of the possibility of changing the category of land and the type of permitted use of the site.
Changing the purpose of a site is not always possible by law. Despite this, the selling party may remain silent about such a restriction. A lawyer will help you purchase a plot of land that will not have such problems.
Thus, a land audit includes a number of thorough checks:
· purpose and the possibility of changing it;
· correctness of documents execution;
· establishing the origin of the site;
· establishment of legal purity;
· risk assessment;
· determination of the presence of legal restrictions or obstacles to the use of the site of a different nature.
If you need a land audit, you can contact our company. You can consult about receiving the service by calling the specified phone number. You can also use the functionality of the site to contact a lawyer.
What other documents may be needed
In fact, when answering this question, it is necessary to take into account what kind of land we are talking about selling - for individual housing construction, running a personal subsidiary plot or organizing peasant farming production.
It is precisely belonging to such categories that determines what other
documents may be needed.
Thus, in the case of a transaction with a plot intended for individual housing construction, an agreed upon design of the house and the utility networks connected to it may be required. In addition, documents may be required confirming the further use of the site specifically for specific purposes (that individual housing construction will be carried out on this site, and not an apartment building will be erected).
In addition, when concluding a purchase and sale agreement, if the acquisition is carried out using maternity capital funds, you will need to provide a certificate from the Pension Fund of the Russian Federation stating that the funds will soon be sent to the seller as fulfillment of its obligations to the buyer.
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Legal registration of lease
Transactions related to registering a plot for rent are quite simple. The main nuances affect the scope of powers and obligations of the parties for the maintenance and use of the property, as well as making rental payments and compensation for payments for housing and communal services on the part of the tenant.
One of the important aspects is the provided grounds for vacating the occupied land plot at the initiative of the parties. It is important to stipulate in the contract the conditions under which this is permissible. For example, a landlord may have the right to unilaterally terminate a lease if rent is not paid within three months. In turn, the tenant may be allowed to refuse the lease if the landlord violates the procedure for visiting the rented property.
If a controversial situation arises regarding the leased plot, the disagreement will have to be resolved in court. Therefore, it is recommended to provide in the contract all possible difficulties that the parties to the contract may encounter. This can be done by a qualified lawyer.
In addition, it is worth taking into account that a lease agreement issued for a period of more than a year is subject to mandatory registration with Rosreestr. Transactions of shorter duration do not need to be registered. A professional lawyer can also help with registration issues.
What difficulties might you encounter?
When purchasing territory from the owners, buyers may encounter problems. The first is an unscrupulous seller.
It happens that in order to speed up the sale, owners keep silent about important circumstances. The plot may belong to the territory of the forest fund - sale in this case is unacceptable.
Often sellers do not inform about the category of memory. Agricultural land cannot be used for industrial purposes.
The buyer will be required to change the category independently. If the plot turns out to be seized without permission, there are no rights to it under the law. The territory can be arrested, pledged or resold (without a cadastral number, according to an old-style deed).
The second problem is incorrect documentation: a discrepancy between the information in the new certificates and the existing cadastral passport. If the right to land belongs to a minor citizen, the agreement will require the consent of the guardian (trustee).
Due to his carelessness, the buyer may receive a different plot - not the one that was shown to him. When inspecting a planned purchase, you must ensure that the cadastral numbers in the certificates do not differ from the area being inspected.
