Here are just a few of issues you could encounter when selling your home.
The buyer’s loan. Buyers must submit a ream of paperwork to qualify for a loan, and the paperwork must accurately reflect the buyer’s debt situation, credit standing, income and employment, and many other variables. Any misrepresentation, omission or failure in providing this information to a prospective lender can cause the lender to reject the application.
Title issues. When you sell your home a title search will be conducted. If there are encroachments, easements, liens, a missing mortgage discharge, or other issues, expect closing delays. If the title issues are not remedied within a certain amount of time, the buyer could walk.
Change of heart. We all hope prospective buyers are interested enough to make a serious offer in good faith and will follow that offer through to its completion. There are, however, cases when a buyer has a change of heart, commonly known as “cold feet.” Before you consider even the most reasonable offer a done deal, remember that the other party might not share your conviction.
Life-changing event. For even the most reliable individuals, the unforeseen can occur. Illness or injury, divorce, job loss, or death can occur at any time, forcing a truly committed buyer to back out of a sale.
Closing delays. Even if the buyer has already put money on the table and has done all the lender has asked, there still could be delays pertaining to financing. Most escrows close on schedule, but both parties should always be prepared to be somewhat flexible.
Most real estate transactions conclude without incident, but arming yourself with knowledge of the possible difficulties that can arise will give you a leg up when it’s time to handle unforeseen events and salvage the sale or prepare yourself to begin the process anew. Educate yourself about how to navigate potential troubles and you’ll be a step ahead when it comes to closing the sale.
Also see Brown’s: “Buyer beware: Things that can go wrong with a real estate transaction”
Source: Kristin Brown has been a real estate agent with for Coldwell Banker Residential Brokerage in Lexington, MA for nearly a decade, working with buyers, sellers and developers. Brown-Orr is also a contributing writer with Lexington Patch’s House & Home section.