Some real estate transactions will require a process agent for the deal to go through. You’ll want to make sure you appoint an agent in certain scenarios, so you can avoid delaying the transaction or even losing it entirely.
But when exactly do you need a process agent for real estate or mortgages? What are process agents for? And when is it possible to do their job yourself? Keep reading to find out.
What Are Process Agents?
Let’s start by making sure you understand what a process agent is. Essentially, this is the person who acts as an official point of contact to receive notices on your behalf.
The idea is that you hire a process agent that’s based in the country where you’re planning to do business, if you don’t have a registered address in that country. For instance, if you’re buying real estate in the UK, you could hire a UK-based process agent, like Point Processing, to receive documents on your behalf.
When You’ll Need a Process Agent:
Here are several scenarios where you might need a process agent for real estate deals:
When You Buy or Sell Across State Lines
If you live in one state but you’re involved in a real estate transaction in another, you might need to hire a process agent in the state where the property is located. This may be a legal requirement in the region where you’re doing business, and even if it’s not, you might end up missing important notices without an agent.
When You’re an International Buyer or Seller
Let’s say you’re a foreign investor buying property in another country without living there. In this case, you’ll also need to have a process agent, again, often as a legal requirement. The agent will make sure to receive and redistribute any court papers or official communications to keep the deal running smoothly even when you’re thousands of miles away.
When You Form a Legal Entity to Hold the Property
If you’re buy or managing real estate through an LLC or corporation, this is another occasion where you’ll typically need to appoint a registered agent. When you’re making real estate transactions, a process agent will be responsible for getting legal documents to you or your attorney with no delays.
When Lenders or Contracts Require It
Some lenders and contracts will insist that you appoint a process agent before they’ll close the deal. This is often built into financing agreements, especially if you’re investing in commercial property or a large residential development. With the process agent’s address as the official place for serving notices, you’ll be able to avoid disputes about whether or not you received an important document.
When You Can’t Be Physically Present
Finally, in any scenario where you’re traveling, living abroad, or simply not in the same location as the transaction you’re making, you’ll need to hire a process agent to handle the delivery of legal paperwork. The last thing you want is for something to get lost or delayed because you weren’t available, and a process agent will prevent this from happening.
