- Of Counsel
The real estate market has been charging back from the Recession of 2008. Real property values have increased and with the economy continuing to improve, those considering purchasing new homes have begun to do so and take advantage of continued, historically low mortgage interest rates.
Whenever a contract of sale is signed by a purchaser, care should be taken with regard to the mortgage financing contingency. Not only does the purchaser have to determine the amount of the mortgage loan she or he will require, but they should also be concerned that the property will support the mortgage loan. This is determined when the lender, following the filing of a mortgage application, orders and obtains an appraisal of the real estate. Lately, it is not uncommon to see buyers who fail to qualify for their mortgage loan as a result of a real estate appraisal that was below the agreed-upon purchase price.
To minimize disputes over the termination of the contract of sale due to the failure to obtain a mortgage commitment, we advise our clients to attempt to negotiate with the seller additional contingency language as it pertains to the mortgage loan. The contingency language would protect the purchaser should the property appraisal amount be lower than the purchase price.
Trishka Waterbury Cecil, Of Counsel with the Firm, will be speaking at the New Jersey State League of Municipalities (NJLM) Orientation seminars for Municipal Officials this month. This orientation is designed for municipal officials who are newly elected, re-elected, or experienced. It is fast paced and designed to quickly bring officials up-to-date on important municipal issues. Newly elected officials will get a thorough overview of their major areas of responsibility, key contacts at the State level, and important sources of information and assistance.
Trishka Waterbury Cecil, Of Counsel with the Firm, has completed her annual Year-End Law Review for 2020 (a/k/a the “Big Book”) which is now available for members on the New Jersey Institute of Local Government Attorneys (NJILGA) website: https://www.njilga.org/. At a webinar presented on November 19, 2020 at the New Jersey State League of Municipalities Virtual Conference, Trishka (NJILGA Past President) and Steve Goodell (Treasurer), highlighted and discussed selected local government cases from the past year and entertained questions and comments from attendees.
Sharon Dragan, a Director with the Firm, has recently been elected to serve as Secretary for the NJ Institute of Local Government Attorneys in 2021. For more information about the NJILGA, see
Click Link Here to read important information regarding the Families First Coronavirus Response Act.