At most Massachusetts closings with a mortgage, the attorney running the closing is hired by the lender and represents the lender, even though the buyer often pays that attorney’s fee. A buyer’s attorney is a separate lawyer who works only for you, from the offer through the closing. Zaheer Law Group in Lynnfield represents buyers and sellers across Greater Boston and the North Shore, and this guide explains the difference so you know who is looking out for you. For a broader look at the closing itself, see our guide to what a real estate attorney does at closing in Massachusetts.
Why Is There an Attorney at Every Massachusetts Closing?
Massachusetts treats closings as legal work. In 2011, the Supreme Judicial Court held in Real Estate Bar Association v. National Real Estate Information Services that an attorney must be substantively involved in conducting a residential real estate closing. That is why you will see an attorney at the table in Massachusetts even in states where title companies run closings elsewhere.
Who Does the Lender’s Attorney Represent?
When you finance a purchase, your lender typically chooses a closing attorney from its approved list. That attorney’s job is to protect the lender’s loan. The work usually includes:
- Running the title search and certifying title to the lender
- Preparing the mortgage, note, and closing disclosure paperwork
- Collecting and paying out the funds at closing
- Recording the deed and mortgage at the Registry of Deeds
Much of that work benefits you too, because clean title matters to everyone. The lender’s attorney cannot give you advice that runs against the lender’s interests, though, and is usually not involved in the offer or purchase and sale agreement at all.
What Does a Buyer’s Attorney Do That the Lender’s Attorney Does Not?
A buyer’s attorney represents you and only you. The most valuable work often happens weeks before closing, when the terms of the deal are still being set:
- Reviewing the Offer to Purchase before you sign, since a signed offer can be a binding contract in Massachusetts
- Negotiating the purchase and sale agreement, including inspection, mortgage, and closing date deadlines
- Protecting your deposit if the deal falls apart
- Flagging title, survey, and condo document issues and pushing the seller to fix them
- Answering your questions about the closing documents before you sign
The Massachusetts Supreme Judicial Court held in McCarthy v. Tobin (1999) that a signed Offer to Purchase was binding even though the parties planned to sign a fuller agreement later. That is why many buyers bring in their own attorney before they sign anything. Our article on why your P&S agreement may need new contingencies covers terms worth negotiating.
When Should You Hire a Buyer’s Attorney?
The best time is before you sign the Offer to Purchase, or at the latest before you sign the purchase and sale agreement. By closing day, the deadlines, deposit terms, and contingencies are already fixed, so there is much less an attorney can change. If you are house hunting in a fast market, it helps to line up an attorney in advance so a draft offer can be reviewed the same day.
What Does Each Attorney Cost?
In a typical Massachusetts purchase with a mortgage, the buyer pays the lender’s attorney fee as part of closing costs, and it appears on the closing disclosure. A buyer’s attorney is a separate fee, often a flat fee for a standard residential purchase. Ask any attorney for the fee and what it covers in writing before you engage them, and ask whether title insurance for you as the owner is included or quoted separately. Owner’s title insurance is optional in Massachusetts, while the lender will require its own policy.
Can One Attorney Represent Both the Buyer and the Lender?
Yes, in some cases. If your own attorney is on the lender’s approved list, the lender may allow that attorney to handle the closing as well, as long as both clients consent after the attorney explains the arrangement. This can simplify the process and sometimes lowers the total legal cost. Ask your attorney early whether they are approved by your lender so you can plan around it.
Does the Seller Need an Attorney Too?
The seller is not represented by the buyer’s attorney or the lender’s attorney. Sellers usually hire their own attorney to prepare the deed, review the purchase and sale agreement, deal with payoff of their existing mortgage, and resolve title problems the buyer’s side raises. If you are both selling and buying, one firm can handle both sides of your own move.
Is a Buyer’s Attorney Worth It for a First-Time Buyer?
For most first-time buyers, the answer is yes. The offer and purchase and sale stages are where deadlines, deposits, and contingencies get set, and those are the moments when an attorney who works only for you can make a real difference. Our guide to the legal steps first-time homebuyers in Massachusetts cannot skip goes through the full timeline.
Get Someone in Your Corner Before You Sign
Knowing who represents whom helps you walk into closing with fewer surprises. Our real estate attorney team works with buyers and sellers in Lynnfield, Peabody, Salem, and across the North Shore, and our real estate closing attorney in Lynnfield, MA page covers local details. Call (978) 301-6100 or email legal@zaheerlaw.com to schedule a free 15-minute consultation. No pressure, just answers.
This article is for informational purposes only and does not constitute legal advice. Contact an attorney for guidance specific to your situation.