Home Closings - What Can Go Wrong
Closing on a home is the final step to the home selling/buying process. It can feel stressful and overwhelming, especially to first-timers. Here are some things that most often go wrong with home closings, and how to avoid them!
WALK THROUGH - A walk through of the home is done before closing to confirm that everything is as it was when you signed the purchase agreement. It’s also the time to make sure any repairs that you requested were completed. If you get to your walk through and discover that the owner took the washer and dryer they had agreed to leave or there were agreed upon repairs not done, your closing will definitely be put on hold. Money will be placed in escrow to cover the costs and deadlines will be extended.
FEES - You will want to look at a copy of your HUD-1 Settlement Statement before going to your closing so that you can look over all the fees and ask questions should you have any. Fees on the statement will include those from your lender, closing attorney, city, insurance, surveys, and transaction fees among other things. You don’t want to get all the way to your closing and find out there are fees you weren’t aware of which may delay proceedings.
TITLE SEARCH - Make sure the title search is completed with plenty of time to deal with any issues that may arise. A professional title examiner should be utilized by your closing attorney to be sure there are no defects on the title that would prevent the property from being sold. If the title search is done at the last minute and there are problems, it might take a long time to fix thus holding up the closing.
WIRE TRANSFER - The wire transfer of funds needs to arrive within a specific window of time for closing. An issue with the wire can hold up closing. It’s vital to check with your lender and closing attorney to be sure that all parties have the correct wire information and timelines.
CLOSING PACKAGE - A common problem that delays closings is the Closing Package not being ready. At the end of the loan process, there are a lot of loose ends that must be tied up and they can sometimes cause delays. Timing is everything. You may be scheduled to close at 11:00 AM, but if your package isn’t ready until 2:00 PM and your lender and attorney has other closings scheduled, your closing may be postponed to the next day.
If you are in the market to sell or buy a home, let Sandra Nickel and her Hat Team of professionals assist you with all your real estate needs. Call them at 334-834-1500 today!
Photo Credit: realtor.com