Strategies to Avoid Closing Delays

It is of utmost importance that you develop clear communication with your real estate team. This includes not only your Realtor, but also your Mortgage Specialist & Home Inspector (on buyer’s side), and your Lawyer. A real estate transaction is a collaborative process and having all your professionals working together and supporting the process will give you the best benefit.  

If you're the buyer, secure a thorough pre-approval for your mortgage. This not only strengthens your position during negotiations but also reduces the risk of finance-related delays. Ensure all necessary documentation is provided promptly to your lender. A mortgage pre-approval is not a guarantee. While it gives you an estimate of how much you can borrow based on your financial situation at the time, changes to your employment status, large purchases on credit, documentation issues, etc  can still affect your final loan approval. Notify your Mortgage Specialist if there are any changes to your financial situation, so they can adjust your approval to avoid disappointment.  

A buyer’s condition of sale is often the satisfaction of the property inspection, conducted by a licensed Home Inspector. Scheduling a timely inspection is important so that there is time to address any identified issues. A buyer may simply accept the inspection report and waive or decline the condition, or they may be inclined to renegotiate. It is important for both parties to respond promptly after the inspection so that all issues can be addressed in a timely manner, before the closing date.   

It's common for a buyer's bank to require an appraisal even after a deal is signed. This is a standard part of the mortgage approval process to ensure the property’s value justifies the loan amount. Sellers, be accommodating in booking the appraisal appointment. If an appraisal identifies discrepancies or concerns, address them swiftly. This may involve renegotiating on pricing or addressing any required repairs. A timely resolution is key to avoiding delays.

The property title is a legal document that establishes ownership of a piece of real estate. It includes details about the property, such as its legal description, identifies the owner(s), and identifies any claims or liens against the property. The real property report (RPR) is a document that provides a detailed account of the physical characteristics and legal status of a property. It's often used to verify the property's boundaries and when accompanied by a compliance letter, ensures compliance with local regulations. It ensures the property is free from any legal issues.Your Realtor will gather this information and provide it to your lawyer, for your sale. Delays can arise from unforeseen complications in the property's title, or RPR, so proactive measures can prevent last-minute obstacles. It is becoming increasingly common to seek Title Insurance, in lieu of an RPR & Compliance Letter. Title insurance is a type of insurance that protects property buyers and lenders from financial losses due to defects in the title of a property. It ensures the buyer & lender are protected if a problem with the title arises after the purchase. Discuss this option with your Realtor when negotiating the deal.

Timely submission of required documents and request for information is crucial for a successful deal. Whether you're a buyer providing financial statements or a seller sharing property-related information, be proactive. Delays often stem from incomplete or delayed paperwork. A timely response keeps the momentum going and the deal on track.  

Coordinate closing logistics well in advance. This includes scheduling the closing date and confirming that funds and documents will be ready. Proactive planning reduces the likelihood of scheduling conflicts. It is also important that you schedule your utility connections, notify post office, schools & other providers of your change of address, book your moving company, cleaners, and contractors, if required to assist in a successful move. 

Regular check-ins with your Realtor can help identify potential issues early on and address them before they cause significant delays. If there is anything that you think could cause issues, bring it up early. It is better to get everything out on the table, rather than discovering it during the closing process or even after the transaction is complete.  

At Jason Rustand Team, we believe a well-coordinated and proactive approach is your best ally against closing delays. By fostering clear communication, addressing potential issues early, and staying on top of key milestones, we assist our buyers and sellers navigate the closing process with confidence and ensure a smooth transition to homeownership.