Options for Representation in Real Estate Transactions
REVIEW/COMMENT SERVICES
LIMITED ONE-TIME COUNSEL ON CONTRACTS,
TITLE COMMITMENTS, SURVEYS, AND THE LIKE
Review/Comment on Individual Documents. The review/comment process is available for TREC residential contracts as well as title commitments, surveys, and closing documents. Our method is to go through the document and make comments and recommendations item-by-item as needed.
Review/Comment is Not Full Representation. A review/comment consultation is a detailed and thorough discussion but it is still a one-time consultation that is limited in time and scope. It is not full representation in the entire transaction. After one hour of attorney time or after three business days (whichever comes first), the consultation automatically concludes. Review/comment is a form of limited legal counsel. The client agrees that our law firm shall have no professional liability for portions of the transaction on which we did not advise.
Consult Us BEFORE Both Parties Sign the Contract. In Texas, the earnest money contract substantially controls a real estate transaction, the rights and remedies of the parties, special requirements for closing, and the content of closing documents. After the contract has been signed, the opportunity to affect these factors and modify the contract to the client’s advantage has been lost. We decline to accept cases where the contract has already been signed.
Existing Homes Only. We do not review new construction contracts. These are usually non-negotiable by the builders except for price and other deal points. Attempting to negotiate legal terms is usually futile.
Use a Title Company for Escrow, Title Work, and Closings. We offer representation, legal counsel, and document preparation. We do not, conduct in-office closings, escrow and distribute funds, or offer title insurance. An established title company is recommended for these services.
Terms of Service. Our posted terms of service (see website) apply to all clients without exception in lieu of individual fee agreements or engagement letters. By proceeding, you unconditionally accept these.
FEES FOR REVIEW/COMMENT
Legal Fees for Review/Comment. Fees for review/comment are: $250 for a sales price of up to $999,999; $450 for a sales price from $1M (regular hourly rate applies, one-hour minimum).
Complex, Non-Standard, or Higher-Dollar Transactions. Since real estate transactions can vary considerably, quotes offered herein are guidelines only. We may, at our discretion, offer a specific fee arrangement that differs from the guidelines in complex, non-standard, or higher-dollar transactions. Our default for such situations is typically a two-hour non-refundable minimum to start, then our usual hourly rate of $450 thereafter. Advance retainer installments are required since we do not send bills after the fact. Retainers may not reach zero unless the matter is concluding.
ADDING A SPECIAL PROVISIONS ADDENDUM
Adding a Special Provisions Addendum. Standard contracts, whether TREC or TAR, are good contracts but are limited in the way they can be customized, particularly when it comes to creative transactions. Adding a custom Buyer’s Addendum, Seller’s Addendum, or other Special Provisions Addendum can significantly improve the client’s legal position. Fees begin at $350.
OUR ATTORNEY HAS A BROKER’S LICENSE
Our Attorney is Also a Real Estate Broker. However, this is primarily a law firm; we do not offer full brokerage services. For instance, we do not submit offers and counter-offers; list or show properties; arrange for surveys, inspections, appraisals, or repairs; or assist with financing. If you need this higher level of assistance then you should engage a full-service real estate broker. Using our law firm is not a way to obtain full brokerage services while avoiding a brokerage commission.
TREC Notice. TREC rules require us to direct you to TREC’s Information about Brokerage Services at https://lonestarlandlaw.com/wp-content/uploads/2020/04/IABS-1-0.pdf.
COMMISSION REBATES
Commission Rebate May be Available. Because our attorney has a broker’s license, a partial commission rebate (net after taxes) may be available at closing but only if you use our firm for the entire transaction and you are not already represented by an agent or broker. In such cases, our fees are usually 1/3 of the total subject to a 1% minimum. A post-closing check is written to the client (net after taxes). The gross commission is assumed to be the customary 3% per side. These are guidelines and may be varied at our discretion. We will need to discuss and review before committing to this arrangement.
LEGAL COUNSEL
IN THE ENTIRE TRANSACTION
Fees for Full Counsel
Sales Price up to $1M: $1,000. Advance non-refundable retainer of $500 with $500 due at closing. Three hour cap. Excess hours billed at the hourly rate.
Sales Price $1M to $2M: $1,500. Advance non-refundable retainer of $750 with $750 due at closing. Three hour cap. Excess hours billed at the hourly rate.
Sales Price over $2M: Inquire.
Custom Addenda Not Included. Special Provisions Addenda are not included in the above fees. These are separate add-on flat fees beginning at $350.
Retainers are Non-Refundable. The retainers mentioned above are paid in advance as non-refundable flat fees that are not subject to hourly accounting and are not contingent upon whether or not the transaction successfully closes. If the transaction does not close, however, nothing further is owed.
Fees are Per Transaction. The above fees are per property and per transaction (i.e., a single retainer does not cover multiple offers, properties, or transactions). Regardless of outcome, all retainers of this type expire after 30 days.
Excludes Negotiations. Services offered in this section are for advice and counsel, not for representation/negotiations versus the attorney party, the broker, or their attorney. Inquire if that higher level of representation is desired.
Legal Services Only. Our role is strictly legal in nature. We do not stand in or substitute for an agent or broker or perform those services that these real estate professionals typically perform.