Planning to buy some properties in the USA? Or planning to switch to a real estate business? Whatever the reason it may be, it is important to understand the real estate regulations in the region.
It is not necessary that you will possess all the knowledge about the real estate. Each region has their own set of rules and regulations which has to be adhered.
If you are a beginner and do not have profound knowledge about real estate in the USA, this will guide you through and make you a professional.
Following are the common FAQs that will answer all your queries and help you understand about the real estate
- Are there any restrictions for the foreign citizen? (e.g., an IT professional from Asia working in the USA and wanting to buy a property there)
The laws are quite equal, but the person must report if he comes under any of the following conditions:
- If he or she has purchased 10% of an informal or formal business, including buying a real estate.
- Hold any direct property valued over 50,000 dollars.
- Control a foreign or domestic corporation.
- When is the ownership of the title(of land) transferred from the seller to buyer?
In most jurisdiction, the title passes upon the delivery of the deed. Title insurance is used to protect any “gap” insurance or claims.
- What are the laws regarding mortgage of property?
A mortgaged property becomes valid only upon recordation of the transactions. Also, it must be recorded within ten days of execution perfecting the date of delivery of the deed.
Local tax has priority over deed and mortgages irrespective of whether the charges are due or payable.
- Can any transactions related to real estate be completed electronically? Which states support electronic documentation and transactions of property?
With the advent of the electronic world, buying and selling becomes safe and transparent with proper electronic transactions. Also, this provides lifelong guarantee receipts for transfer documentation and evidence of payment.
The real property electronic recording Act, 2004 has been enacted in Arizona, Alabama, New Mexico, New York, Arkansas, Washington DC, South Dakota, South Carolina, Utah Virginia, Indiana,Tennessee, Oklahoma, Texas, Pennsylvania, Minnesota, Mississippi, Michigan, Florida, Georgia, Connecticut, Delaware, and Illinois. This gives the country clerks to provide recordings of real property instruments.
- Will the seller be liable to the buyer for misrepresentation?
Yes. The compensations and remedies of such misinterpretations is documented during every sale. Even after the purchase of property payment can be sought from the seller if documented.
Bottom line is to make sure if your buying property has all the promises ensured by the seller in written documented form.
Real estate rules regarding renting a property
Here are the tenants rights and some important issues regarding renting of property.
Whether you need help in grasping the landlord-tenant laws in your respective state or are just looking to rent an apartment or house, or you got involved in a landlord-tenant dispute – this section will help you to speed up the process.
- What are my Rights as a Tenant?
If the tenant rejects your application, you have a right to know! If it is due to discriminatory reasons, then it is illegal for a landlord to refuse your rental application.
Federal law prohibits discrimination on the following basis:
- National origin
- Familial status i.e denying the house to an unmarried woman with children, etc.
- Physical disability
- Mental disability (also includes alcoholism and past drug addiction)
- What are some of the common issues regarding security deposits?
- The landlord may refuse to give your security deposit back or
- He fails to provide the deposit back within the time set by law.
- Or if you dispute the charges that your landlord deducted from the deposit.
- What are the rules regarding Security Deposit?
Disputes over security deposits are the most common factor for friction between tenants and landlords. When in a dispute, check the specified rules in your state regarding the following:
- What is the percentage of rent the landlords can keep as a security deposit,
- 2 How the landlord can use the security deposit,
- What is the timeline for the landlord to return the security deposit.
- How to Add a Roommate to Your Lease?
It’s always nice to have someone split your bill.
It’s pretty easy to get a roommate either through brokers or friends. While with landlords, most of them create a new lease agreement when you get a roommate. (This not only helps the landlord but also brings the roommate under the law and they become officially liable to pay half the rent, so it’s for your benefit too.)
Many landlords tend to ask for more rent for the same room. Also, the roommate will have to pay their security deposit.