Real estate law is a growing, constantly changing career path with global reach.
From land parcels to innovative facilities, outlining the legal requirements and lease details for properties across the world requires a clever class of negotiators. There are multiple disciplines within real estate law, and a few sectors to consider.
Residential and commercial real estate are two major parts of the real estate legal world, each with different investment and legal requirements challenges. Here are a few details about each area to help you understand the world you may join.
Residential Real Estate Law
Real estate lawyers need to earn a Juris doctorate. The American Bar Association has a Real Property, Trust, and Estate law division that outlines the needs and opportunity of the real estate law domain, which creates a network of legal study and opportunity.
Many real estate lawyers focus on real estate transactions. This involves preparing and reviewing land parcel and property documents, negotiating terms and conditions of a transaction, and transferring titles.
Each of those documentation areas is rife with opportunities to sweeten the deal for your client or to fall into the trap of a more clever legal team–or in average situations, a lack of clarity or forgotten documents that can create property loss or debates in the future.
At the residential end, you’re dealing with a more volatile market than commercial or industrial real estate. Your job depends on the interests of individuals needing a new home, individuals or groups who flip or manage housing, and larger housing developments.
Commercial Real Estate Law
Commercial real estate delivers a more stable cash flow compared to residential real estate, which extends to legal team job security. Commercial and industrial real estate leases are usually larger and longer than residential leases, meaning larger amounts of money over longer periods of time.
This allows greater, long-term speculation based on funding and an easier time investing in new properties. Newer properties mean more legal agreements, research, and opportunities.
On the downside, banks usually want a greater down payment when investing with commercial and industrial real estate. Payments of around 30% can make it harder for newer teams to enter the market.
A legal team can justify their position by positioning themselves as risk assessors who can find legal traps in otherwise tempting properties.
Both residential and commercial real estate law has long-term effects on limited space, even if you’re not working with land parcels. Contact a real estate legal career professional to talk about current opportunities.