Caution....Roadblocks Ahead!
5 Things That Can Delay Your Closing
Everyone is anxious to close their first home but many are amazed when they run into delays - first the lenders and the inspections, then the holidays roll around…..you find yourself thinking what's next!?!
….TIME, it can kill a deal like nothing else!
1. Problems with the lender – This can happen for a number of reasons, ranging from underwriter delays and appraisals not coming in as expected. Find out up front, anything that you may need to provide to your lender to avoid delays.
2. Inspections not completed – Many home buyers think that the home inspection covers it all. Don't make this mistake, although home inspections are important, lenders may require termite, well and/or septic inspections as well. Ask your lender what, if any; additional inspections they require and your State Wide Realty agent what inspections the purchase contract included and whom is responsible for getting them done (you or the seller). If you wait until the closing to find out; then you have to find an inspector, get scheduled and then wait on their report.
3. Holidays - Avoid scheduling your closing around a holiday. Many people forget about the minor holidays that close down city and county offices. Having your closing around such a holiday can delay the recording of your deed, which allows the seller and other parties involved to be paid. So, if the seller says "No check – no key", you may not get into your home for three or four days if you close around a holiday.
4. Property Repairs – Keep in mind when asking for repairs after a home inspection to include wording about when the repairs are to be done prior to closing and if there is a delay due to unforeseen circumstances if money will be held in escrow and closing happen or if closing will delayed until such repairs are made.
5. Time Kills Deals – the longer it stretches out the more likely the deal will never close!! If it doesn't kill it, time can still be costly. Many lenders charge the buyer a fee for every day past the closing date that a deal doesn't close. Also your finance rate may expire and the rate may increase if you don’t close before your quoted rate expires. So be aware of these clauses and make sure you meet the deadline or are ready to pay.
Don't be an idle engine, watch for delays and push things along….ask questions and plan - it's the best way to keep a deal on track. You can rely on your State Wide Realty agent to take care of many of these things but make sure you are aware of the details too.
Need more advice before you decide, let us know. We'll be glad to help. Call 434-392-6163 or visit www.VaStateWideRealty.com today!
