With the drop in local home sales, many condo developers have been pushing their projects into final closing recently, leading to a spike in real estate closings for me lately. Unfortunately, many of these developers do things on such short time frames that I am often rushed to get everything done. This rush is really created because they can't get their figures together in time or they don't advise solicitors of the closing dates, thus forcing us to rely upon our client's memory.

As a result, I've had to close several condos with only a few days notice. The mortgage is often the most complex part. When meeting with my clients, I always ask them if they have any questions or if they want to review the documents themselves in more detail so that they can raise any questions or concerns with me. While some people may feel intimidated asking a lawyer a question that they believe may be stupid, I remind my clients that I've had almost everything asked to me in the past. This includes a client who pointed at the date on a signing document and asking what it was.

On one hand, I want to be able to answer all questions honestly and candidly with my clients, but on the other hand, a solicitor's insurance coverage doesn't allow them to answer or provide "non-legal" services. It's one thing to tell a client that I can't answer a question, but it's another when the mortgage company tells me I need to discuss on a non-legal issue with a client.

For example, I handled a mortgage for a bank where the bank also provided me with a life insurance application and told me to have the client sign it to agree to apply for coverage or to waive such coverage. I really do not believe that it is the role of a lawyer to sell insurance for the bank, but nevertheless, my client needed the funds and the bank would not advance without the completed application, so I put it in front of him for his review. His question, much like many I have had before, was, "Do you think I need this?"

The problem with this question is that it really falls into "non-legal" advice. I don't have knowledge of the client's financial situation or how reliant his family may be on his income. I don't know if he has a medical condition that affect his decision. I really don't know enough about life insurance or about his position to advise him on it. The answer I gave was a pretty standard one, "Ask your insurance professional."

Recently, with the downturn in the real estate market, I've also been getting more questions about what to do with the properties that people already own. These questions can range from "What do you think about the market?" to "Do you think I can flip my unfinished condo before closing?" to "Do you think I got a good deal?" Unfortunately, those are all questions I can't answer as a lawyer. It's sort of like asking your dentist what to do when your leg hurts; the correct person to ask in this situation is your doctor. For questions about the market, you should really ask a real estate agent.

So I'll keep inviting clients to ask me anything. I just can't answer everything.

        

 

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