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Acquisition Responsibilities
Purchase Agreement
* Prepare initial draft of purchase agreement from attorney notes or interview.
* Coordinate with other parties (buyer, seller, title company, opposing counsel, lender).
* Take comments about purchase agreement and revise as necessary.
* Arrange for execution of purchase agreement.
* Review purchase agreement for critical dates and contingencies and calendar same.
* Prepare closing checklist.
* Draft deed.
Due Diligence Responsibilities
Matters of Title
* Conduct or arrange for title search and request abstract of title. Order title commitment and/or preliminary title
report.
* Negotiate title insurance coverage.
* Review legal description of the property and track against map, if available.
* Review exceptions (standard exceptions regarding survey, taxes and assessments, etc.) and cumbrances of record.
* Arrange for discharge/satisfaction of deed trust/mortgage (existing mortgages of record on the property) and obtain
payoff figures.
* Draft and review any permits and easements. If necessary, plot against legal description.
* Review and determine validity of mineral claims through search of Bureau of Land Management records.
* Draft escrow instructions.
* Arrange for issuance of title policy.
Existent Contracts/Lease Declarations
* Review contracts and leases for assignment, due on sale and due on encumbrance provisions; prepare abstracts regarding
same.
* Draft requisite assignment, amendment or extension documentation.
* Review condominium declaration/resale certificate for due on sale provisions/rights of first refusal.
Purchaser/Seller Representations
* If necessary, obtain corporate organizational documents, including authorization of the applicable parties to purchase
and/or sell, for all parties.
* Review corporate documents for prohibitions against borrowings, power of decision making bodies, and so forth.
* If necessary, obtain certificates of good standing/certificates of existence.
* Conduct public records search of the parties, including judgments, tax liens, and UCC filings.
Environmental
* If necessary, order environmental assessment.
* Review environmental assessment and prepare releases.
Insurance
* If residential, provide purchasers with information about homeowner's insurance.
* Coordinate with lender and purchaser to ascertain lender insurance requirements.
* Obtain and review required evidence of insurance from purchase or insurance agent.
Closing Matters
Prorations
* Prorate real and personal property taxes and utilities, and adjust for closing figures.
* Obtain closing figures from bank and prorate all closing costs.
* Exchange all figures with other parties.
* Review figures with client.
Purchase Money Loan
Loan Documentation
* Perform financial calculations (amortization, net present value, discounting, annual percentage rate).
* Draft loan agreement, promissory note, deed of trust/mortgage, security agreement, assignment of leases and rents,
guaranties, and Truth-In-Lending disclosure statements.
* Obtain and/or draft necessary corporate, partnership, or limited liability company documentation and resolutions
in connection with loan transaction. (See Business/Corporate Section, supra, for more detailed information.)
* As necessary, draft any leases and/or assignments, extensions or modifications to lease.
* If necessary, draft Uniform Commercial Code (UCC) financing statements, amendments, extensions, and/or terminations.
Closing
* Finalize closing checklist.
* Organize closing folders.
* Attend closing and assist attorney in activities regarding execution of closing documents.
* Educate signatories with respect to the documents being executed.
* If appropriate, notarize documents upon execution.
* Coordinate recording of real estate documents and filing of UCC financing statements.
Post-Closing
* Obtain documents to be executed post-closing.
* Coordinate with all parties concerning post-closing questions and, if necessary, provide documents.
* Follow-up on recorded/filed documents.
* Prepare closing binders.
Tax-Related Matters
* Obtain solicitation form from seller, if applicable, and prepare and file Form 1099.
* Record capital gains/loss on client's income tax return.
* Draft appropriate capital gains tax affidavit.
* Assemble tax bills and payments.
* Obtain and analyze property information and current valuation.
* Draft complaint on real property assessment.
* Draft discovery requests and responses to discovery requests in conjunction with real property assessment.
* Coordinate formal property appraisal and report.
* If appropriate, prepare notice of appeal on valuation of property.
Leases
* Obtain terms of lease from attorney notes or interview.
* Prepare initial draft of lease.
* If necessary, negotiate and revise lease.
* Conduct due diligence to the extent necessary.
* Arrange for any existent contract modifications.
* If necessary, draft subleases.
* If necessary, prepare memorandum of lease.
* Facilitate execution of lease and memorandum of lease.
* If necessary, record memorandum of lease.
* Review or draft estoppel certificates and/or subordinates, non-disturbance and attachment agreements.
Foreclosure
* Prepare notice of intent to accelerate.
* If necessary, appoint substitute trustee.
* Draft foreclosure notice.
* Facilitate posting of foreclosure notice.
* Attend foreclosure sale.
* Prepare judicial foreclosure documentation.
* As necessary and appropriate, negotiate with owner/lender.
* See Foreclosure Section, supra, for more detailed information.
Miscellaneous
* Prepare subdivision, condominium, and timeshare registrations for in-state and out-of-state registrations.
* Prepare registrations of recreational subdivisions for federal registrations.
* Assist with probate and trust transfers and property investigations.
* Draft notice of mechanic's lien; determine validity of existing mechanic's liens; prepare releases or waivers of
rights and assist with foreclosing mechanic's liens. (See Construction Section, supra, for more detailed information.)
Note - Some of the information contained in the Business/Corporate, Construction, Environmental, Domestic Relations/Family
Law, Foreclosure and Landlord/Tenant, Probate/Estate Planning sections of this publication also includes work performed in
the Real Estate specialty area.
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