Home Buying in New York>Question Details

jh89, Home Buyer in New York, NY

My (buyer) attorney wants to represent my mortgage lender too. Is this normal? And are there any conflicts of interest I should be cautious of?

Asked by jh89, New York, NY Mon Aug 27, 2012

Details- I'm a first time home buyer. I am days away from receiving the commitment letter.

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I believe this is okay. I have been at the table for several closings and the attorney represented both the bank and the buyer. In all cases a disclosure was given to the buyer. As well, in the state of New Jersey, the buyer's attorney receives all the bank docs and represents the bank interest as well. This is not an option, it is the rule in New Jersey. In New York you do have the right to opt out and choose your own attorney if you have a concern, but then again if you later detect a problem this might be your way out to invalidate the loan.

Personally, I do not see a problem but if you do just tell your attorney you are not comfortable and would rather if he chooses.
0 votes Thank Flag Link Mon Aug 27, 2012
I see it all the time. In my opinion it actually makes things easier for you. You don't have the additional attorney to schedule for the closing. Your attorney is familiar with your file and can also get you to the closing table to sign all the documents prior to the closing. Active real estate attorneys frequently also represent banks.
Don Mituzas
http://www.nyhomeseller.com
1 vote Thank Flag Link Sat Sep 15, 2012
Happens all the time! Good luck!
1 vote Thank Flag Link Thu Aug 30, 2012
I think you would love this event that Trulia is putting on tomorrow at 12pm PDT:

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T
1 vote Thank Flag Link Mon Aug 27, 2012
Saw that!
Flag Mon Aug 27, 2012
Hi JH!
Your attorney can not represent you and your mortgage lender at the same time. If hi represents the mortgage lender, find an other attorney for you self. Like a first home buyer you should have a good attorney specializes in real estate, to advice your.
Best.
Veronika Baba Kian Relaty NYC
1 vote Thank Flag Link Mon Aug 27, 2012
This practice is not that unusual here (though I also find it a bit odd) Recently my buyer's attorney also represented the bank at closing.
Jolie Muss
Licensed Real Estate Broker & Brokerage
"The Upper West Side's Buyer Broker"
331 Columbus Avenue, New York, NY 10023
Office: 212 721-3301 Email: broker@joliemuss.com
Website: http://joliemuss.com Trulia: http://www.trulia.com/profile/jolie
LinkedIn: http://www.linkedin.com/in/joliemuss
0 votes Thank Flag Link Thu Sep 6, 2012
You hould have your mortgage lender's attorney talk to your attorney.
0 votes Thank Flag Link Mon Sep 3, 2012
Thanks everyone! After seeing the responses, doing some online research and talking to my agent, I decided that I'm comfortable going forward with my closing attorney handling the bank end as well.
0 votes Thank Flag Link Thu Aug 30, 2012
A buyer's attorney also representing the lender is not the norm in New York City or its New York suburbs. However, in New Jersey the buyer's attorney does represent not only the lender but also the title company at the closing. What concerns me about your question is tha you say your attorney wants to represent the lender. This leads me to believe your attorney is getting an undisclosed benefit which may create a possible conflict of interest.
0 votes Thank Flag Link Tue Aug 28, 2012
If you are not comfortable with the idea, you are free to choose/hire a different attorney.
0 votes Thank Flag Link Mon Aug 27, 2012
I'm confused by your question, it really doesn't make sense. Is the buyer's attorney employed by the lender?
0 votes Thank Flag Link Mon Aug 27, 2012
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