What Does a Condo Contract of Sale Look Like in NYC?
What does a condo contract look like in NYC? How complex is it and do you really need a lawyer for it? We’ll go over everything you need to know about the condominium contract in NYC and show you what a sample condo contract and contract rider looks like.
What Is a Condo Contract in NYC?
A condo contract is a legally binding agreement between a potential buyer and a potential seller of a condominium unit. Unlike some other states where purchase agreements are simpler forms that are typically not negotiated, a condo contract in NYC can be much lengthier and more complex. A condo contract typically consists of a more standard home sale contract along with a contract rider for the purchaser and a contract rider for the seller.
The main condominium contract consists of boiler plate language that is often not negotiated. Most real estate attorneys have an unspoken rule to not make edits to the more standard condominium contract, and instead to negotiate via the contract rider for their respective clients. In fact, it’s often a sign that an attorney does not specialize in real estate transactions in NYC if he or she marks up the boiler plate language on the main condominium contract.
Pro Tip: It’s critically important to work with a real estate attorney that specializes in real estate deals in New York City, and not someone who dabbles in a variety of fields. Read our guide on questions to ask your real estate attorney before you hire them, or simply contact us for a referral to one of the city’s most experienced real estate lawyers!
Do You Need a Lawyer for Real Estate Contracts in NYC?
Yes. Unlike some states which do not require attorneys for real estate transactions and where Realtors frequently guide buyers and sellers through standard purchase forms, New York law is strict in only allowing lawyers to negotiate and advise clients on legal agreements. In fact, it’s even against New York real estate licensing law for agents to modify or write contracts. Such an infraction is called the unauthorized practice of law and is a punishable offense.
Lawyers Are Critical for Due Diligence
You’ll need a real estate attorney in New York to review and negotiate the condo contract on your behalf. Furthermore, you’ll need your attorney to conduct legal and financial due diligence on your prospective purchase. Your lawyer will review the condo offering plan, the board meeting minutes, the building financial statements, the title report and more. An experienced real estate attorney is critical for contract review and diligence!
Pro Tip: Even though buying a condo in NYC is a dramatically easier process than buying a coop in NYC, you’ll typically still have to fill out some sort of condo application. Fortunately, you can expect the condo application process to be dramatically shorter and easier than the co-op board approval process. You won’t have to endure a co-op board interview nor fill out a lengthy coop board package!
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Disclosure: Hauseit (https://www.hauseit.com) and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction. The services marketed on Hauseit.com are provided by licensed real estate brokers and other third party professional service providers. Hauseit LLC is not a licensed real estate broker nor a member of any multiple listing service (MLS).
