Thompson Law Group, P.C. & Home Key Title & Closing, Inc.The Key Player In Getting Your New Home Keys2026-10-08T03:21:30Zhttps://www.homekeytitle.com/feed/atom/WordPress/wp-content/uploads/sites/1201691/2021/09/cropped-favicon-32x32.pngOn Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Understanding earnest money deposits in Massachusetts]]>https://www.homekeytitle.com/?p=475092026-10-08T03:21:30Z2026-10-08T03:21:30ZWhen you buy a home, you must submit earnest money before the transaction. This is just one of many steps involved in a Massachusetts home purchase.
Before you write the check, take some time to learn how earnest money deposits function. This can save time, money and heartbreak down the road.
What is earnest money?
An earnest‑money deposit is a good‑faith payment that shows that the buyer is committed to the transaction. A first deposit is usually submitted with an Offer to Purchase (OTP) and a second, larger deposit is submitted when the Purchase and Sale Agreement is signed. It is essential to understand that the OTP often constitutes a legally binding contract in itself. The earnest funds are typically held in an escrow account and applied to the buyer’s total purchase price at closing.
What are common deposit amounts?
Buyers commonly submit a small initial deposit at the offer stage, often close to 1% of the purchase price. The second deposit at the Purchase and Sale Agreement stage is larger, often ranging from 3-5% of the purchase price or higher in competitive markets. Buyers should confirm the exact amounts before signing because deposit terms are enforceable once accepted.
When can buyers lose or recover deposits?
It depends on compliance with any contingency deadlines and contract terms. Buyers may recover deposits if they:
Withdraw within a valid inspection contingency
Fail to obtain financing within the mortgage‑commitment contingency
Encounter a title defect that the seller cannot resolve
Deposits can be lost if a buyer defaults outside a contingency, misses a required deadline or attempts to back out for reasons not covered by the agreement. Unfortunately, even small missteps can affect a buyer's deposit rights. Since Massachusetts often requires attorney involvement, it is beneficial to obtain legal representation at the earliest stage of the process.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[What are the possible risks of buying a newly renovated home?]]>https://www.homekeytitle.com/?p=475052026-09-23T21:56:57Z2026-09-23T21:56:57ZA freshly renovated home is often appealing to buyers seeking modern finishes and turnkey convenience. However, these upgrades can mask underlying issues that were not addressed during the renovation process. A methodical review can help buyers distinguish between quality improvements and superficial work that could trigger future expenses.
Hidden structural and mechanical concerns
Fresh paint and updated fixtures can conceal deeper problems that require significant repair. Look beyond cosmetic upgrades to determine whether problems like these may exist:
Foundation movement disguised by patched walls or new flooring
Electrical limitations when older wiring was not replaced
Plumbing weaknesses concealed by new fixtures
With a thorough inspection, buyers can better determine whether the renovation also addressed core structural and mechanical needs.
Unpermitted or incomplete work
Some renovations proceed without proper permits or fail to meet current building standards. These issues can affect safety, insurance coverage and future resale value.
Unpermitted additions may not comply with zoning or building codes
Incomplete electrical upgrades can create fire hazards
Improper plumbing changes may lead to leaks or drainage problems
Noncompliant structural modifications can compromise stability
Verifying permit records and confirming compliance with local requirements helps buyers understand whether the work meets accepted standards.
Evaluating renovation quality
A combination of documentation review and targeted inspections provides a clearer picture of the property in these ways:
Permit history confirms whether major improvements were approved
Inspection findings reveal issues not visible during a walkthrough
Contractor information can verify the scope and quality of past work
Maintenance records help identify recurring problems
If you feel overwhelmed by these tasks, experienced legal support can help you interpret findings and address concerns before closing on the property. ]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Residential property disclosures in home sales]]>https://www.homekeytitle.com/?p=475022026-09-11T18:49:01Z2026-09-11T18:49:01Zresidential property disclosures helps buyers make informed decisions while supporting a smoother transaction. When handled correctly, they can create a more transparent process for everyone involved.
Seller disclosure basics
Disclosure forms require sellers to provide accurate information about the condition of the property. Buyers rely on these details to evaluate risks and plan for future maintenance. Examples include:
Structural issues such as past water intrusion, foundation movement and roof leaks
Mechanical concerns involving heating systems, electrical panels and plumbing performance
Environmental factors such as the presence of radon, asbestos and lead-based paint
Property history disclosures, which may include insurance claims, renovations and known defects
A complete and honest disclosure process helps prevent misunderstandings that could delay the closing.
Common gaps in residential disclosures
Even thorough disclosure forms can leave out important information. Some issues may not be obvious to sellers, and others may fall outside the scope of standard questions. Here are some issues commonly overlooked during disclosure:
Unpermitted work affecting safety and future resale
Drainage problems that only appear during certain seasons
Boundary concerns that arise from fences, sheds and driveways
Past pest activity that may not be fully resolved
Identifying these gaps early allows buyers to request clarification or additional inspections.
Verifying disclosure accuracy
Buyers can take practical steps to confirm the information provided. A thorough review of inspection reports, public records and property history helps create a more complete picture of the home. Guidance from real estate and legal professionals can also help ensure that disclosures are handled properly and reduce the likelihood of unwelcome surprises after closing.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Buying a home with an ADU in Massachusetts]]>https://www.homekeytitle.com/?p=475012026-08-26T18:09:10Z2026-08-26T18:09:10ZADU Incentive Program.
Massachusetts now allows many ADUs of 900 square feet or less by right in single-family residential zoning districts. Even so, the statewide law does not automatically legalize every unit that was built or converted in the past. Before purchasing a property with an existing ADU, a buyer should confirm that the unit complies with applicable state and local requirements.
Check the legalities before you agree to buy
The seller or listing agent may describe the property as having an in-law apartment or rentable second unit, but that description does not establish its legal status. Buyers should ask for building permits, inspection records, certificates of occupancy and any zoning approvals associated with the construction or conversion.
Municipal building and zoning records may reveal whether the work was approved and the ADU may lawfully be occupied. If the seller cannot produce the necessary documentation, the buyer’s attorney may recommend contacting the local building or zoning department. An unpermitted ADU could lead to fines, required alterations or an order prohibiting its use – and all of that will fall on the buyer if the deal goes through.
Another issue of concern is the utilities. An ADU may share electricity, heat, water and other utilities with the main residence or have separate systems and meters. Buyers should understand the arrangement before closing, particularly if they intend to rent the unit. Shared utilities can create practical and legal complications when calculating rent or allocating expenses between the two dwelling spaces. There could be even more complications if the dwellings share a septic system, since the existing system may not be rated to handle that many occupants.
An ADU can add significant value to a Massachusetts home, but the last thing a buyer wants to find out after closing is that the unit cannot be legally occupied or rented. When in doubt, it’s always better to seek experienced legal guidance.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Key considerations when buying a vacation home]]>https://www.homekeytitle.com/?p=474982026-08-10T10:47:26Z2026-08-10T10:47:26ZPurchasing a vacation home can be very exciting, and it is often a dream goal for many people. They may have a specific location where they love to go on vacation, and they look forward to owning a home there to give themselves stability and consistency; they want to really feel like they are part of the community.
While there are many upsides to buying a vacation home, there are some key things to keep in mind when considering this type of purchase.
What will you do with it when you are not on vacation?
Owning a vacation property can be expensive, especially if you have a monthly mortgage. Some people rent the property out, either to cover the cost or make extra income. They may also see the land as an investment. So it is important to consider how you will use that property even when you are not physically visiting.
Can you find the right location?
With any real estate, location is key. With a vacation property, this becomes especially important. It needs to be the right location, where you will be excited to visit, and in a place that fits the needs of your family. Naturally, you also want to find a property that fits your budget and your lifestyle, but starting with the optimal location is crucial.
It creates new obligations
Finally, just consider the obligations that will come along with it. You will have to pay taxes, for example. There will be maintenance and upkeep costs. You need to consider utilities and taking care of the property, even when you are not on vacation. It is not necessarily a place you can visit one year and then forget about until you return the following year. You face ongoing obligations once you own that property.As you can see, it is important to understand what types of things to look for when you are considering a vacation property. Be sure you know what steps to take during the real estate transaction process.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Residential home inspection waivers in Massachusetts]]>https://www.homekeytitle.com/?p=474972026-08-04T22:20:00Z2026-08-04T22:20:00Zresidential home inspection waiver in Massachusetts.
No forced waivers
It’s unlawful for a seller in Massachusetts to force or encourage a buyer to skip an inspection. A law that became effective last October prohibits sellers and their agents from requiring or encouraging buyers to waive their right to a property inspection as a condition for an offer to be accepted. This law can only be exempted in limited, clearly defined transactions, such as in family transfers, foreclosures, short sales, auction sales or estate planning transfers.
Additionally, a seller cannot accept an initial offer that waives or includes language signaling an intent to waive the right to an inspection. Before or at the signing of the first purchase contract, a seller must provide a disclosure form affirming the buyer’s right to a home inspection. After an offer is accepted is when a buyer can voluntarily decide to skip an inspection.
The law also prohibits contract provisions that effectively render a home inspection meaningless. Prohibited provisions include giving a buyer an impossible time limit to complete an inspection and make a decision or stating that an inspection results cannot be used to negotiate repairs or exit the contract under any circumstances.
Residential home inspection waivers in Massachusetts are often misunderstood. Learn more about this aspect to protect your interests.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[A quick guide to FHA loans in Massachusetts]]>https://www.homekeytitle.com/?p=474962026-07-13T14:52:08Z2026-07-21T14:51:16ZKey financial requirements
Your credit score plays an important role in determining your mortgage eligibility and the amount you will need for a down payment. A credit score of 580 or higher typically qualifies you for the minimum 3.5% down payment, which may be covered by gift funds or assistance programs like MassHousing. While scores between 500 and 579 may still be eligible, they usually require a larger down payment.
Lenders also consider your debt-to-income (DTI) ratio, or the share of your gross monthly income used for debt payments. Generally, it should stay below 43%, though some lenders may allow up to 50% with strong compensating factors.
Employment and income stability
To qualify for an FHA loan, you must show steady employment for at least the last two years.
You also need to provide the following to documents prove consistent, verifiable income:
In some cases, lenders may ask for additional paperwork if you are self-employed, have multiple income sources or have recently changed jobs.
Property standards and occupancy
The property you want to purchase must be your main home, as FHA loans cannot be used for investment properties or house flips. Additionally, the residence must meet strict safety and habitability standards. In Massachusetts, you need to address common issues or structural decay before closing.
Mortgage insurance premiums (MIP)
In addition to the down payment, you must also pay MIP, including an Upfront Mortgage Insurance Premium (UFMIP) and an annual premium usually divided into monthly payments. This protects the lender and helps make homeownership more accessible.
Making homeownership your reality
Before applying for an FHA loan, reviewing your credit report and gathering the necessary documentation can ensure a smoother process. A lawyer can help you throughout the transaction, from drafting your purchase and sale agreement to closing the loan.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[Buying a home with a partner if you’re not married: What to know]]>https://www.homekeytitle.com/?p=474942026-07-11T00:32:54Z2026-07-11T00:32:54ZUnderstanding your ownership choices before closing
When two unmarried people purchase a home together, deciding how the property will be owned is one of the most important steps. The way the deed is written can affect what happens if one owner passes away, wants to sell their share or if the relationship comes to an end.
Common ownership options include joint tenancy with the right of survivorship and tenancy in common, and each offers different rights and responsibilities. Choosing the option that best fits your situation is an important part of the home-buying process.
A cohabitation agreement can help protect your investment
It is also worth considering a cohabitation agreement before purchasing a home together. While couples who have only recently moved in together and own very little property may not need one, many people build savings, acquire valuable assets and take on shared financial responsibilities over time.
A cohabitation agreement is designed specifically for unmarried couples. It can outline who owns certain property, how household expenses and income will be handled and how the home or other property will be divided if the relationship ends. It can also establish a process for resolving disagreements, helping both partners avoid unnecessary conflict, legal expenses and uncertainty in the future.
If you are purchasing property with a partner and have questions about ownership or protecting your interests, speaking with a legal professional before closing can help you move forward with greater confidence.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[When a seller removes fixtures before a closing]]>https://www.homekeytitle.com/?p=474922026-06-23T00:01:53Z2026-06-23T00:01:53ZWhat constitutes a fixture?
Light fixtures, including sconces, chandeliers and ceiling fans, are fixtures. So are built-in mirrors fixed to the wall in a bathroom. While framed mirrors that hang on a wall are personal property, mirrors built into bedrooms, closets and bathrooms are fixtures.
Window treatments and built-in appliances are also typically fixtures. Even plants used to landscape the yard may need to pass with the property unless the seller made arrangements in advance.
Buyers make offers based on the condition of the home, including its fixtures. In cases where there may be concerns about the retention of specific resources that influence the buyer’s interest in the property or their valuation of the home, clarifying the right to retain those specific items when negotiating a purchase agreement can be a beneficial step.
Buyers who discover missing fixtures during a walk-through or while assuming possession after a closing may need to take legal action. Learning more about issues that can complicate residential real estate closings can help buyers protect themselves and hold sellers accountable for inappropriate behavior.]]>On Behalf of Thompson Law Group, P.C. & Home Key Title & Closing, Inc.<![CDATA[When can a seller back out of a home sale?]]>https://www.homekeytitle.com/?p=474912026-06-15T23:03:18Z2026-06-15T23:03:18ZUnderstanding contingencies
Whether a seller can back out of a home sale often depends on the terms of the purchase contract and the stage of the transaction. Once both parties sign a legally binding agreement, the seller generally cannot simply change their mind without consequences. However, certain contingencies or contract provisions may allow a seller to cancel the deal under specific circumstances.
A common reason a seller may be able to withdraw from a home sale is when a contingency in the purchase agreement is not satisfied. Contingencies are conditions that must be met before the transaction can move forward. Common examples include financing, inspection and title contingencies. Some contracts may also contain a home sale contingency, which makes the transaction dependent on the successful sale of another property. If a contingency is not met, the seller may have legal grounds to terminate the agreement.
Title issues can also affect whether a sale proceeds. If a seller discovers problems such as liens, ownership disputes or restrictive covenants, they may be unable to transfer clear ownership to the buyer. Depending on the circumstances and contract terms, a seller may have the right to delay or cancel the transaction until the issue is resolved.
Remedies for the buyer
If a seller backs out without a valid legal reason, the buyer may have several potential remedies. One option is pursuing financial damages for losses related to the failed transaction. These damages could include expenses such as inspection fees, appraisal costs, temporary housing expenses or other costs directly connected to the purchase process. The availability of damages will depend on the facts of the case and applicable state law.
A home purchase agreement is one of the most important contracts many people will ever sign. If a seller has backed out of a real estate transaction or a contract dispute has arisen, seeking legal guidance can help you better understand your rights, evaluate your options and determine the most effective path forward.]]>