It can be disheartening to have anxiously awaited the closing on your new home only to have something delay it. It isn’t much fun if you are the seller either. While some things can be completely beyond your control, it is important to know what issues can cause delays so you can anticipate them and perhaps avoid them entirely.
- Appraisal Issues- With any luck, the seller’s real estate agent and yours have been accurate when determining the selling price and subsequent offer, but it is possible that the appraiser could come up with a lower value. Since your lender will not approve a loan higher than this appraised value, you are now in a situation that needs to be resolved. The options are to negotiate to lower the price, challenge the appraisal or get a new one if you don’t agree with it, or cancel the contract.
- Loan Issues- While you most likely started the home buying process by getting prequalified, the lender will now go through everything with a fine-tooth comb before approving your loan. They will require proof of everything you have provided on the application and if anything doesn’t match up, it can delay residential closings or even derail it completely. To avoid this scenario, only put provable facts on your application and be ready to get all documentation to them in a timely manner to avoid delays.
- Inspection Issues- There is no such thing as a completely perfect house, but if something major shows up in the inspection that needs to be resolved, it can delay residential closings anywhere from a few days to weeks depending on the severity and resolution needed.
- Paperwork Issues- When you work with professionals, the likelihood of paperwork issues delaying residential closing is minimized, but it can happen. Be sure to carefully read any documentation you are given ahead of closing and at the closing table to be sure everything is accurate.
Here at Bright Law, PLLC, we focus our law practice on real estate law so that we do our part to reduce the chance of a delay in residential closings. We also make it convenient to get your closing day into your schedule with our mobile closing services. If you have any questions about our services or would like to learn more about the process, don’t hesitate to contact us.