Legal Fees

Discuss fees and services the first time you meet with your lawyer. Don’t hesitate to ask questions. Obtain a written fee agreement specifically stating what services will be provided and the basis of your fees.

Lawyers have different ways of calculating fees. They might charge a flat fee for doing a specific task, an hourly rate, or a percentage of the value of the property you are buying or selling. They might also charge for their time in increments such as five, 10 or 15 minutes. If your lawyer charges in 10-minute increments, a two-minute phone call will end up costing you the entire 10 minutes.

Some lawyers will also charge you for out-of-pocket expenses such as travel, parking, plane tickets, hiring experts, photocopying, etc. Discuss with your attorney the possibility of putting a cap on these fees, regardless of how they are determined.

Fees vary widely, and depend upon the community you live in and the lawyer you choose. In addition, some lawyers do all or most of the work themselves, while others might assign much of it to a paralegal or junior associate. Make sure you know who will be working on your case and the cost of their services. Make sure that the final bill reflects the services you have been provided and is itemized.

TIP: Utilizing a lawyer's services might be tax-deductible in certain situations, such as in setting up your business. Maintain detailed records and discuss deductions with your accountant or other tax preparer.

TIP: If you are considering refinancing your property, it is wise to have your attorney handle the paperwork.

TIP: Real Estate Lawyers.com provides articles and resources about the real estate industry, including listings of local real estate attorneys.

TIP: If you are buying or leasing property, use a real estate lawyer. Lawyers have specialties just like doctors. You wouldn’t go to a heart specialist, if you had a problem with your eyes.