Problems always seem to arise at a real estate closing. Sometimes, a buyer or a seller discovers errors in closing documents or problems transferring the title of the property. Other times, one of the parties wants to add a last-minute condition to the contract. It is important to prepare yourself for common issues that might come up when you are buying or selling a house.
Three of the most common issues that occur at a real estate closing include:
- Payment issues: The most common issue at a real estate closing concerns the payment of a house. Either a loan does not come through in time, or the back denies the buyer’s mortgage request. If you are the buyer, talk with your lender in the days leading up to the closing in order to avoid any delays or financial repercussions.
- Missing items: Many buyers assume that appliances and fixtures come with the house. Unfortunately, this is not always the case.Window blinds, curtains, ceiling fans and refrigerators are a few of the many items that can be up for negotiation in a house purchase. If you are the buyer, it is extremely important that you determine which items will be staying in the house and make sure everything is correct during your final walk through. Once you have closed on a house, it is extremely unlikely you will get any of the missing items back.
- Buyer’s or seller’s remorse: It doesn’t happen regularly, but it is devastating when it does. Most often, buyers are the party who tend to back out of a real estate purchase. However, buyers who back out at a closing will likely lose any deposits they put down on a house. If a seller backs out, a buyer can sue the selling party for non-performance. If you are the seller, you should be absolutely certain that you want to sell your house before you put it on the market. A buyer will likely be able to recoup the costs associated with the purchase if you change your mind at the closing.
Many states require an attorney to be present at a real estate closing, including Alabama. However, this does not mean the attorney is on your side. Consider hiring an attorney of your own to advocate on your behalf when these and other issues arise at a real estate closing.