Hello,

What is the best way to pay for the summer house, if it’s not too much money and I decided not to take mortgage, and pay cash:

A) Should I issue certified check for full amount to my lawyer’s name prior to closing date.
B) Wire transfer to my lawyer’s escrow account prior to closing.
C) Should I make Certified check to the seller’s name and hold it till closing.
D) Something else.

I would do “C” but a lot of people saying that “A” and “B” should be fine too.
Which way would be easier or less risky?

Thanks

Hello tim:

E) Ask your lawyer. That's what you hired him for.

excon

How is closing going to be done. Are you going to be there.

Also nromally there are several checks required, taxes, if the other person has a mortgage, one to mortgage company,one to the person.
If you have an attorney, they will tell you what is required.

If you know and have used your attorney before, I prefer personally to have bank checks already prepared for figures title company has given me.

Hello tim:

E) Ask your lawyer. That's what you hired him for.

excon


I know. On signing a contract I gave a deposit check to my lawyer. On his name. And he passed it to the seller. Everything was fine.
But my question is about the balance... I already have Certified checks ready "paid to: my lawyer's name". But I just spoke with one of my friends, and he asked me, "why would you make your checks paid to your lawyers ???? make it to the sellers name..." and I don't know... he said, what if lawyer would take your money and disappear? Or I don't know... is there any reason for me not to trust my lawyer and redo my checks to the sellers name ?

is there any reason for me not to trust my lawyer?Hello again, tim:

No, there isn't.

excon

In NJ the normal procedure is that your attorney prepares all of the closing figures (purchase price, title insurance premium, taxes, escrows, etc.) and gives the buyer a final number. The buyer brings a certified or bank check for that amount to the closing, payable to their attorney. The attorney then deposits that check in an attorney trust account and writes separate checks for all of the various amounts.

Get norarized proof of the checks, but find out from your title company (if they are preparing the closing) as to what checks go where... most likely the check should go to them... you should not put them in your lawyer's name (unless you are in a state that the attorneys do your closings). Most likely the will issue checks made payable to the seller's lender (if they have one), and then there will be a check for remaining proceeds to the seller, and pay off anything if there are any types of liens of property, etc... hope that helps..