Frequently Asked Questions
Q: What is the typical timeline for closing on a residential property?
A: The closing timeline depends on several factors, including the type of property and whether the buyer is obtaining financing. We map out a personalized closing timeline for you from the start so there are no surprises.
- For a condo unit purchase with a mortgage, closings generally take approx. 45-60 days from contract signing.
- For a co-op unit purchase with financing, the process is longer due to co-op board approval requirements, so typically 60-90 days.
- For a single- or multi-family home purchase with a mortgage, the typical timeline is 30-60 days from contract signing.
- All-cash transactions across all property types may close in 15-45 days.
Timelines are also impacted by deal-specific factors such as board responsiveness, title issues, lender readiness, or individual party needs. We anticipate obstacles and work hard to keep your deal on track.
Q: How long does it typically take to sign the contract after the seller and buyer have an accepted offer?
A: Once there’s an accepted offer, we step in immediately and move the transaction forward the same day. On average, it takes approximately 5-7 days to sign the contract after an accepted offer. The timeline can vary depending on factors such as the scope of pre-contract due diligence, inspection timing, the responsiveness of management companies and other third parties. We’ve handled transactions where contracts were signed within 24 hours when all parties were aligned, as well as cases where delays from third parties extended the process significantly. Our proactive and organized approach always helps move things forward as efficiently as possible.
Q: What’s the difference between a Down Payment and a Contract Deposit?
A: The contract deposit, often referred to as the contract down payment, is typically 10% of the purchase price, paid by the buyer at the time of signing the contract, usually held in the seller’s attorney’s escrow account.
The down payment, more broadly, refers to the total amount of cash the buyer intends to contribute toward the purchase price at closing, with the remainder typically financed through a mortgage. The contract deposit forms part of the total down payment.
We guide you through each step and requirement, so you never feel uncertain.
Q: When does the buyer need to have readily available cash for the contract deposit and total down payment?
A: We advise clients to prepare funds well in advance, as transfers or liquidations can take several business days.
Many buyers need to liquidate securities or transfer funds across accounts in order to pay the contract deposit and total down payment. Since this process can take several days, we generally recommend initiating the process with the financial institution at least 5 business days in advance of the due date.
The exact timing should always be discussed with the attorney and the financial institution to ensure alignment with the transaction schedule and to avoid delays, or worse, jeopardizing the contract or the closing due to late delivery of funds.
Q: What are the key differences between a co-op and a condo?
A: When you buy a condo, you receive a deed to your individual unit and a percentage interest in the common areas of the building. When you buy a co-op, you’re purchasing a certain number of shares in a corporation allocated to the unit you’re acquiring, and a proprietary lease for that specific apartment for a certain time period.
Co-ops often have lower purchase and closing costs, but tend to impose stricter rules on buyer approval, financing, renovations, and subletting, because the co-op board has a broad authority to enforce building-wide policies in order to protect stability of the cooperative, while Condos generally offer more flexibility, easier financing, and fewer restrictions.
Clients are always encouraged to consult with an attorney to determine which option best fits their personal and financial goals.
Q: Do different legal issues come up when buying a single-family home in NYC vs. the Hamptons?
A: Yes. In NYC, it’s common to encounter unresolved title defects, such as outstanding liens or ancient mortgages, but properties tend to involve compact lots with fewer land use concerns. In the Hamptons, we often navigate larger parcels with beach access or shared driveways, which require detailed surveys, zoning analysis, and review of environmental regulations. Each location demands a distinct legal approach and we tailor our due diligence to safeguard your interests accordingly.
Q: What legal issues can come up with shared driveways in the Hamptons?
A: Shared driveways are common in the Hamptons but they often come with hidden legal risks. The access rights, usage boundaries, and maintenance responsibilities are not always clearly defined or formally recorded. Such ambiguities can lead to serious disputes causing driveway blockages or issues about snow removal, etc. Our goal is to protect your ability to use your property freely without future neighbor battles.
Q: What should I know about beach access in the Hamptons?
A: Beach access is often advertised, but it isn’t always guaranteed. In many cases, access depends on an easement across a neighboring property and those easements aren’t always recorded or clearly defined. We conduct careful due diligence to confirm that beach access is documented and transferable to ensure that future use is not challenged or restricted.
Our focus is making sure you’re not just buying a property but you’re securing the lifestyle that was promised.