Perhaps you have finally found your dream home. You and the seller have agreed to a closing date, which appears in the purchase contract.
Unfortunately, that may not happen. Here are four situations that could cause a delay in your targeted closing date.
1. Unrealistic timing
The closing date that appears on the purchase contract may be unrealistic. Once parties are in agreement on a purchase offer, the closing normally takes 45 to 60 days.
2. Appraisal problems
When you are about to obtain a mortgage, your lender will perform an appraisal of the property you wish to purchase. Your real estate agent should monitor progress to make sure the lender works on this in a timely fashion. Any issues that surface may require repairs that may delay the closing.
3. Request for additional documents
It is not uncommon for the lender to make a last-minute request for additional documents. For example, the lending institution may want to review your bank and credit card statements one more time.
4. Walk-through issues
The last walk-through usually happens just prior to closing. You want to be sure everything from the HVAC system to the toilets function property. If not, repairs must follow and will likely delay the closing.
Prepare for closing
When the time comes for the closing, you have the right to expect that no liens exist on the property. Your attorney can perform a title search to ensure that you have clear title. As the buyer, you should come prepared with your photo ID and any paperwork required. You should have completed the final walk-through, and prepare to negotiate with the seller if you encountered any problems. With the help of your team of professionals, the closing will happen as close to the target date as possible. Keep a good thought—that dream house is about to be yours.