Colorado is often spotlighted as a state of exceptional beauty and multiple attractions, making it an obvious lure for purchasers of high-end residential properties. Many such buyers are state residents, of course, but legions of would-be out-of-state and international buyers are also on the constant lookout for vacation homes and compelling investment opportunities.
One in-depth overview discussing residential purchases notes the happy moment when, as a prospective purchaser, “You’ve signed a purchase agreement, put down your earnest money, and now you’re ready to finally relax.”
There’s a caveat to that, concerning actually closing on the purchase. In the real world, things do sometimes go south or get a bit dicey at or near the closing stage. “There are many problems that can arise,” stresses the above-cited article.
Here’s one: a latter-stage wrench thrown into financing. That does happen, for various reasons.
And here’s another, which we reference on a relevant real estate transactions page of our website at the proven real estate law firm of O’Brien Legal Services in Denver: a problem emerges with a property’s title.
Concerning that, it is perhaps the case that another party has asserted an ownership right. Maybe a challenge exists regarding taxes that are allegedly owed. Or perhaps a construction contractor is asserting a mechanic’s lien for uncompensated work performed. Those are just a few examples from a broad realm of negatives and issues that can potentially arise unexpectedly just before – or after – closing.
A high-value residential real estate transaction obviously warrants due care from the outset. Parties should ensure that customary pre-closing formalities and closing documents are completed and correct. A seasoned real estate attorney can be valuable throughout the process, taking care of many items that should occur from contract through closing.