5 Common Closing Setbacks
Whether you’re a buyer or a seller, closing on a property can be stressful. There could be document errors, wire transfer failures, or last minute problems with the house. However, if you do your research, prepare accordingly and work with an experienced South Florida real estate agency, the probability that everything will go smoothly is dramatically increased. Here are some of the more common closing problems, and the solutions you’ll need should you encounter any of these hitches on the big day.
1. Document Errors
Any mistakes found in the documents during closing could delay the closing for hours, if not days. To avoid this issue, every document must be carefully reviewed, certainly during the closing and/or ahead of time, if possible, to ensure that all of the information is complete and accurate. Specifically, look for spelling errors, confirm that all personal information is correct, and double check payment amounts, interest rates and all other financial aspects of the transaction. If you find anything you don’t understand or that seems strange, point it out to your real estate professional and/or the closing agent as soon as possible and certainly before signing anything.
2. Money/Wire Transfer Delays
Unfortunately, it’s not uncommon for money to be an issue at closing. The bank may fail to transfer your funds on time, or when the funds do transfer, the amount may be incorrect. In order to make sure that your wired funds arrive on time and in full, arrange for the bank to send your wire at least a day early if possible (if not a few days). Likewise, make certain to get an accurate amount from your closing agent or mortgage professional in advance to ensure the right amount is delivered to the closing table. Finally, bring your check book, just in case there are any small, non-closing statement reconciliations that may need to be made to complete the transaction.
3. Missing Loan Documents
If the loan documents do not arrive to the closing on time, you’ll have to wait. Considering all of the paperwork that needs to be signed in a closing, it’s possible for things to be misplaced or lost. To make sure that all of the documents arrive to the closing on time, speak with your real estate professional and closing agent in advance of your closing appointment to confirm that all of the documents are completed and ready to sign when the time comes.
4. Last-Minute Title Surprises
Nobody wants to find out at closing that there is a complication with their title, or right to ownership, of the property. Therefore, the best way to avoid this unwanted surprise is to do your research beforehand and review your preliminary title report, also called a title commitment. If anything sounds questionable, address it before closing to avoid any delays.
5. Problems Discovered During the Final Walk Through
If any problems are discovered during the final walk through of the property (or at any point for that matter), it’s crucial to resolve the issue prior to closing. Make sure you are accompanied by your real estate professional and the issue is documented, photographed and communicated immediately to develop a timely solution.
At Stein Posner, we want every closing to be as stress free as possible. That’s why we are diligent to take all necessary steps and anticipate any potential issues or delays ahead of time so that you don’t have to worry. If a smooth and low-stress closing is something that you’re interested in, call our South Florida Real Estate Agency today.