This is a Big question I get from buyers and sellers - Why Is My Closing DELAYED?!!!! For a buyer, it is very frustrating as they have given the lender everything that was required at the beginning. Now, it's time to get ready to move and they are asking for even more documentation! And the buyer has to get an extension from the seller. What if the seller will not give them one? What if the seller received an acceptable back up offer for more money or from a cash buyer? Doesn't the seller have to extend since it's just a few more days?
First, the seller does NOT HAVE to extend. I have seen it happen. The seller is just waiting for the buyer to mis-step, ask for repairs, ask for extensions, etc so they can cancel that purchase agreement and go with a better one that they have received. Buyer asks, doesn't the seller HAVE to let us know they have another offer. That answer again is NO.
As a buyer, what can you do to prevent delays? I can't guarantee that you can prevent a delay to your closing but you can certainly hedge your bets by doing these items:
1. Make sure your taxes have been property filed timely. If you filed late, let your lender know up front BEFORE you write the offer, and see if that will pose any problems. This is probably the number one reason a strong buyer has their closing delayed.
2. If you have any issues that your lender sees up front BEFORE you write the offer, get those issues cleared up. If you need a vendor to make corrections to your credit report, you are at their mercy. They will get to it when they get to it. They have no vested interest in doing it timely for you. Get this done before before writing the offer on the house.
3. When you do your pre-approval, see if the lender sees any potential issues that needs to be addressed up front.
4. Ask you lender how long they need to close the loan (another big issue - you need to know how much time your lender needs - don't assume they can get it done in 30 days).
5. If getting a Rural Development loand know that they are always seeming to run behind. Your lender can tell you how much extra time you need to add to make sure you don't have to ask for an extension later on.
6. And perhaps, one of the best things you can do to make sure you close on time is selecting the right Realtor and have them recommend several lenders that they have had success with.
Call us today to help you purchase your home and close timely!
