Who's Who in Real Estate

It takes many players to put a real estate transaction together and take it from contract to closing. Familiarize yourself with each of these players so that you will know what to expect during the buying or selling process.

For most of the professionals listed below, it's a good idea to have your agent recommend one or more referrals and explain the overall timing involved.

Appraiser

A professional who estimates the value of a home to be purchased. In the purchase of a home, the appraiser is usually hired by the mortgage lender to determine whether the price paid is in line with fair market value and therefore justifies the mortgage amount.

Buyer's Attorney

A real estate attorney who represents the buyer(s) in a real estate transaction.

Buyer's Representative

A real estate agent is a buyer's representative if they have a contractual relationship with a buyer to help the buyer purchase a home.

Client

People with whom the real estate agency has established a contractual relationship to represent them in the buying or selling of a home.

Customer

Buyers and sellers that a real estate agency does not represent but whom they assist in the purchase or sale of a home.

Home Inspector

Most purchase contracts allow a buyer to have a home inspected within five to ten days of signing the purchase contract. A home inspector performs an inspection of the home to be purchased on behalf of the buyers in the transaction. The inspector examines the home for structural soundness and identifies recommended repairs in his or her report. Depending on the area of the country where you sell, common practice may include other types of inspections, including a termite inspection and a radon inspection.

Insurance Agent

A person who sells insurance policies, such as homeowners' and automobile insurance. Typically, home buyers need to show proof of homeowners' insurance before or at the time of closing on the purchased property. Without this, some closings can't move forward as planned.

Loan Officer

An employee of a mortgage lender who helps borrowers secure financing for a home purchase.

Mortgage Broker

An independent contractor who helps bring borrowers and lenders together by originating residential and/or commercial loans offered by multiple wholesale lenders.

Mortgage Lender

A mortgage loan company that originates, services and sells loans to investors or purchasers.

Seller's Agent

A real estate agent is a seller's representative if they have a contractual relationship with a seller to help sell a home (also often known as the listing agent).

Seller's Attorney

A real estate attorney who represents the seller(s) in a real estate transaction.

Surveyor

Usually on land deals, this person takes a legal description of the property and maps out the exact boundaries. The legal description, in many cases, refers to physical landmarks. Those landmarks can change over time, and there may be unintentional or intentional encroachment by neighbors over time. Neighbors may have even been given permission, for example, to put a driveway on a neighbor's property, but when the house is sold, the driveway can become a point of contention.

Title Companies

Once the purchase contract on a property is completed, terms are agreed upon, and financing arrangements have been made, the lender orders a title search of the property to be purchased. Depending on the region, a title company or practicing attorney can conduct this search. A title search is the examination of public records to determine that the person selling the property has the right to sell it and the buyer is getting all the rights to the property. The title search seeks to uncover any liens or other problems with the title. Any problems with the title must be corrected before the closing attorney can issue a lender's title insurance policy. The title insurance policy protects the lender's interests in the property. Buyers also may obtain an owner's policy to protect their interests.