You’ve conducted the inspection, made a successful offer and secured the mortgage. Now, all that is left is closing on the home and moving in.
Unfortunately, there are several potential issues that can arise even after you choose a closing date. No homebuyer wants to delay the purchase of their new home. So, what are the most common closing delays and how can you avoid them?
Title issues
Before you officially purchase a home, you must conduct a title search to make sure that the seller actually has the right to sell it. A title search can also reveal other potential issues like liens or unpaid property taxes.
If you discover any red flags, a real estate agent or title company can help address these issues before you proceed with the purchase.
Failed financing
Financing can fall through even if the lender officially approves your mortgage. In cases like this, the most common culprit is significant life changes that can affect your financial status, such as:
- Job loss
- Divorce or marriage
- Medical emergencies
- Death in the family
These financial setbacks are often unavoidable. On the other hand, preventable things like making large purchases or taking on new debt can negatively impact your status as a borrower. Thus, it is advisable to avoid any significant changes to your credit and finances until the deal closes.
New home issues discovered upon inspection
One of the early steps of buying a home is conducting a home inspection. If the inspector finds any issues, you may negotiate with the seller to make repairs or lower the price.
Your real estate agent may also encourage a final walk-through to see if the seller indeed made the agreed-upon repairs. If not, you may have to push back on closing to address those issues.
Closing on a home can be just as complicated as finding the perfect one in the first place, which is why delays are so common at the final step. Whatever it may be, an experienced real estate attorney can help you address the cause of delay and protect your best interests as a buyer.
