Heard about New Jersey’s attorney review and wondering what it means for your Chatham home purchase? If you are relocating or buying for the first time in Morris County, this short window can feel confusing and high stakes. The good news: once you know how it works, you can protect yourself and still stay competitive. This guide explains the basics, the timing, and practical tips tailored to Chatham so you can move forward with confidence. Let’s dive in.
What attorney review is
In New Jersey residential sales, attorney review is a short, standard contract window where each side’s attorney can look over the signed purchase agreement. During this period, an attorney may approve the contract, propose changes, or cancel the contract without penalty. The contract is not fully binding until the review ends without objection, or both attorneys sign off on agreed changes. If an attorney cancels within the window, the contract is usually void and the deposit is handled as the contract states.
Only attorneys can use these rights during this time. Your attorney’s focus is to protect major contingencies, clarify timelines, and clean up language so your interests are covered before the deal becomes binding.
How the 3-day window works
Most New Jersey contracts include three business days for attorney review after both parties sign. How business days are counted and when the clock starts depend on the exact contract language. Weekends and legal holidays are often excluded, but you should confirm the definition in your contract.
During the window, attorneys can send approval, propose edits, or cancel. If neither attorney acts before the deadline, the contract typically becomes binding as written. In some cases, both attorneys agree in writing to keep negotiating past the initial window. That extension must be clear and documented by counsel.
Common attorney edits
Your attorney’s edits often aim to protect you, reduce ambiguity, and set fair timelines. Typical changes include:
- Contingencies: financing, appraisal, home inspection, title, and sometimes the sale of your current home.
- Dates: closing date, possession date, and how risk of loss is handled before closing.
- Escrow details: who holds your deposit, when it is refundable, and release conditions.
- Seller documents: title commitments, municipal certificates, HOA documents if applicable, and any required disclosures.
- Costs and credits: who pays specific fees, how taxes and utilities are prorated, and credits in place of repairs.
- Personal property: items included or excluded, such as appliances or fixtures.
Chatham market realities
Chatham Borough and Chatham Township are sought-after suburbs with steady demand and limited inventory in many seasons. That competitive backdrop can shape attorney review:
- Sellers often prefer quick, clean attorney responses to reduce uncertainty.
- Buyers may be encouraged to limit edits, but most experienced buyers still keep core protections.
- Local requirements can include municipal certificates or, depending on property type, well or septic filings. Your attorney will review local items and title exceptions that are common in suburban New Jersey.
The key is balance. You want to move fast while keeping essential protections intact.
Offer-to-close timeline
Every deal is unique, but here is a common flow for Chatham transactions:
- Day 0: You and the seller sign the purchase agreement. You deliver the initial deposit per the contract.
- Days 0 to 3 business days: Attorney review period. Confirm when the clock starts and how business days are counted.
- First week: Schedule your home inspection. Many inspectors book within 3 to 7 days of signing.
- Days 7 to 14: Complete inspections and receive reports. You and your attorney may negotiate repairs or credits.
- Days 10 to 45: Lender processing and appraisal if you are financing. Timelines vary by lender and loan type.
- Days 30 to 60: Typical closing range for financed purchases. Cash closings can be faster.
These timeframes are practical norms. Your exact dates should follow your contract and your lender’s process.
Risks and how to avoid them
A strong offer does not mean taking unneeded risks. Watch for these common pitfalls.
- Waiving attorney review: Sellers may ask for this to remove the short cancellation risk. If you waive, you lose a key safety valve. Consider a rapid, limited review with counsel or offer a different concession instead.
- Deposit disputes: Make sure the contract states where your deposit is held, how it is safeguarded, and when it is refundable.
- Missed deadlines: The definition of business days and exact dates matter. Track your attorney review expiration, inspection dates, and financing milestones.
- Informal assurances: Rely on the written contract and your attorney’s guidance, not verbal promises.
Buyer checklist for Chatham
Use this quick list to stay organized from offer to close.
Before you submit an offer
- Line up an experienced New Jersey real estate attorney and share their contact details with your agent.
- Get a strong mortgage pre-approval or proof of funds to support your offer.
- If the market is very competitive, discuss inspection strategy and timelines with your team.
Right after your offer is accepted
- Confirm when attorney review starts and when it ends, based on the contract.
- Schedule your home inspection within the first week.
- Send your deposit to the named escrow holder and get confirmation of receipt.
- Share documents promptly with your attorney and lender to speed up underwriting.
- Ask your attorney to review title commitments, municipal certificates for Chatham Borough or Township, HOA documents if applicable, and any local requirements.
During attorney review
- Expect fast back-and-forth between attorneys. Respond quickly to keep your offer strong.
- If a seller pushes for speed, consider limited edits that preserve core protections. Make these choices with your attorney.
Before closing
- Verify all contingencies are satisfied, including financing and inspection items.
- Set up homeowner’s insurance and review your closing funds with your attorney and lender.
- Coordinate utility transfers, municipal steps, and your final walk-through.
Keep deals moving
Communication is your competitive edge. Share your attorney’s and lender’s contacts with all parties on day one. Ask your attorney how they count business days under your contract so you know the exact expiration. If you need more time for a specific item, have your attorney request it in writing early.
When a seller asks you to waive review
In a hot moment, you might hear this request. Before you agree, ask your attorney about a quick, targeted approach that preserves essential protections like inspection, financing, and clear deposit terms. You can also keep your offer attractive with stronger proof of funds, a responsive timeline, or a larger deposit held in escrow under clear release conditions.
Your next step
If you are eyeing a home in Chatham, a fast and thoughtful attorney review helps you stay protected without losing momentum. With the right team, you can move from accepted offer to smooth closing on a clear timeline. Ready to map out your plan and align the right attorney, lender, and inspection strategy? Connect with Meghan Mullin for local guidance tailored to your goals.
FAQs
What is attorney review in New Jersey home purchases?
- It is a short window after signing where each side’s attorney can approve the contract, propose changes, or cancel without penalty before the deal becomes fully binding.
How long does attorney review last for a Chatham contract?
- Most contracts allow three business days from the date of signing, but the start time and what counts as a business day depend on the exact contract language.
When does my New Jersey home contract become binding?
- Once the attorney review window ends without objection, or after both attorneys sign off on negotiated changes, the contract becomes binding as modified.
Can I book inspections during attorney review for a Chatham purchase?
- Yes. Many buyers schedule inspections right away, often within 3 to 7 days of signing, so results can inform any early negotiations.
What if a seller asks me to waive attorney review in a competitive offer?
- Waiving removes a key protection. Consider a rapid, limited review with counsel or offer a different concession, such as stronger proof of funds or clear deposit terms.
Who holds my earnest money deposit during attorney review?
- The contract should name the escrow holder and state when the deposit is refundable. Have your attorney confirm these terms at the start of the review.
Can attorneys extend negotiations past the initial 3 business days?
- Yes, if both attorneys agree in writing to continue negotiating, the timeline can be extended by mutual agreement.
