As the weather heats up, so does the wedding season. It seems like there are more and more weddings to attend (or plan) every year. Picture this: You’re spending some quality time with your favorite engaged couple. You’re discussing the plans for the wedding and the exciting future in store after the wedding. You figure the time is right to pop the question: “Have you guys thought about a prenup?” I would imagine their faces would cringe as they both squirm uncomfortably at the thought the subject. Welcome to the wonderful world of a family law attorney!
Prenuptial agreements are probably one of the most misunderstood concepts of the marriage process. Most people attach an array of negative connotations to “prenups,” and unjustifiably so. One common misconception is that a prenup sets the marriage up for failure because the happy couple is anticipating a break-up. That’s not really true though – a prenup is more like a marriage seatbelt. When people get in a car, they wear their seatbelt to protect them from injury in case of an accident. That certainly does not mean that someone is anticipating getting into a car wreck every time they put on their seatbelt. In fact, the vast majority of people who ride in cars wear their seatbelts and expect to reach their destinations accident-free. The seatbelt is worn for protection in case of an accident, not because anyone assumes that they will crash. If they do crash however, they’ve done what they needed to do to protect themselves from physical harm. Prenuptial agreements run along the same lines; it is a protective device for couples to minimize the emotional and financial harm that is inevitable in a divorce situation. It does not mean that you expect the marriage to fail, just like putting on a seatbelt does not mean you expect to be involved in a 10-car pileup every time you drive.
Is a prenuptial agreement something that’s fun to think about? Not at all. If it was fun, you wouldn’t need an attorney. Similar to how an an estate plan forces you to think about your death. You have to do it to protect you and your family – but once it’s done, you don’t necessarily have to think about it again. You buckle up every time you drive (or almost every time if you’re like me) and you get where you’re going. Consider what’s best for you and the love of your life’s emotional and financial well-being, now and forever. Buckle up and expect to reach your destination. Hopefully, you never need the protection of your marriage seatbelt.
Good article on the subject from boston.com:
One of my areas of focus at Oreste Law is estate planning. If you have any questions, don’t hesitate to contact me. Your initial consultation is free and I’ll help you figure out what you need for an estate plan.
Having buyer representation is very important, especially for the first time homebuyer. My overriding role is to serve my client’s best interests – When I represent the buyer that means protecting the buyer from any terms or conditions that may be too seller-biased, like a purchase and sale agreement for a house “as-is.” It also means you have someone scheduling, tracking and reminding you of all important contingency deadlines.
A house is the largest investment most of us will ever make. Ideally, a buyer should have an attorney representing them before they even make an offer on a house because I’m the only one with a duty to protect your money. In today’s market, buyers should really have someone navigating the pitfalls for them in the real estate buying process.
If you or someone you know are first-time homebuyers or looking to buy a house this season, I can see to it that you get through closing as efficiently as possible. Home buying can be stressful enough on its own. You should have someone on your side to make sure your investment is protected.
This was my column that ran on Sunday, January 23 in The Sun Chronicle. I reprinted it here as enough people have asked me for it:
For most people, buying a home is one of the proudest moments of their lives. It is also one of the most stressful. The vision of being saddled with hundreds of thousands of dollars in mortgage debt is intimidating. When going through the real estate process, a large number of homebuyers do not hire someone to advise them such as a real estate attorney. As a result, no one is really looking out for the buyer’s best interests. For everyone who decides to buy a home on their own, I have one piece of advice: Buy an owner’s title insurance policy.
Before moving forward, here are two quick disclosures: Owner’s title insurance is optional in Massachusetts and lawyers make more money if you buy it. Having said that, buying an owner’s title policy is a one-time cost and it protects you against any title defects that may prevent you from either selling or refinancing your home.
If ever there was an event that should caution future real estate buyers who don’t get title insurance, it happened this month here in Massachusetts in a case called US Bank v. Ibanez. In a decision that made national headlines, the Supreme Judicial Court (Massachusetts’ highest court) came down on the foreclosure practices of banks who were selling mortgages to other banks without properly assigning ownership. In short, the Court found that these banks were foreclosing on mortgages that they did not own. The decision has shaken the foreclosure industry and the widespread impact of the Ibanez decision is still unknown. Hundreds, maybe thousands of mortgages across the state could be affected.
The biggest losers could be anyone in your community who bought a foreclosure in the last several years. As of now, it is very possible that they do not legally own their homes and are stuck in ownership limbo, unless they have title insurance. If so, they should be able to recover their investment from the insurance policy, which will be significantly easier and less costly than having to go to court against the big banks. For those that don’t have title insurance, there could be big problems ahead.
Buying a home is the largest investment most people will ever make – treat it as such. The Ibanez ruling is a cautionary tale to homeowners, present and future, urging them to protect themselves from anyone else that may claim ownership rights in the property. The additional cost is worth it for peace of mind.
Good article on what’s coming up in regard to foreclosures: http://www.bloomberg.com/news/2011-01-21/faulty-foreclosure-case-in-massachusetts-high-court-may-hurt-home-buyers.html
The lower court ruled that home buyers of foreclosures don’t legally own their homes…The Supreme Judicial Court is going to review the decision.