Real Estate Investment 101: Getting Started

Reasons Why The Closing On You Home Purchase Could Be Delayed

Have you made an offer on a home and now have a closing date in mind? If so, know that it is possible that the closing is delayed. A delay can happen for a variety, which is why it is important to be aware of what could happen.

Problems With The Final Walk Through

Before you close, you will be given the opportunity to have a final walk through of the house. This is your last chance to verify that all things have been done that were previously agreed up. For instance, the previous owner will need to get all of their belongings out of the house. If any repairs need to be made, they should be done by the final walk through.

If you show up to the final walk through and discover that things are not right, it will delay your closing. It is advised to not close on the home until the previous owners take care of all issues. If not, they are under no obligation to make those repairs or move out in a timely manner.

Problems With Your Lender

If you do not have an approved mortgage, there is no way to close on the home because you do not have the funds. Unfortunately, there are a lot of things happening with your mortgage lender that need to happen for your loan to be approved.

For example, the lender may simply not have approval of the mortgage in time. This can happen if you were looking for a speedy turnaround on the approval to close by a specific date, or the lender is simply being slow. There may be other issues that come up that delay the approval process, such as the appraisal coming back low and requiring a second appraisal to be done.

Work closely with your lender so there are no surprised leading up to your closing date. Try to get on top of potential issues quickly so that they do not delay the approval process.

Problems With The Paperwork

Your real estate lawyer will walk through all of the documents that you sign on your closing date. They'll also help verify that everything you are signing is correct. If they find a problem with the paperwork, such as the address of the home being wrong on several of the forms, it will delay the closing process. Your lawyer gives you some much needed peace of mind that everything you sign is accurate and legally binding.

For more information, contact a local real estate agent.