If you’re purchasing a home in North Carolina, you’ve probably searched for the perfect property to fit your requirements. Becoming familiar with common problems that can delay the real estate closing process can be helpful. Doing so should safeguard you from experiencing any significant surprises that would disqualify you from completing the transaction.
Finalizing your real estate transaction requires a legal closing
After finding a home and making an offer on the property that the seller accepts, the next step is to sign a legal agreement, which closes the deal and transfers the property from the seller to you. Getting a real estate closing completed requires communication between your agent, lender, appraiser and title agency. Ensuring there aren’t any problems with the property or financing is critical before a real estate closing can occur.
Problems causing delays in the closing process
Closing a real estate transaction will generally take a few weeks to complete as long as there aren’t any delays. If issues do occur, they can slow down the process and must be fixed before the transaction can be finalized. Common problems to watch for can include the following:
- Minor problems are found during the inspection – While completing a home inspection may not be mandatory before a real estate closing occurs, it’s usually a good idea. Doing so helps ensure there aren’t any underlying problems such as insect infestation or mold. Once the problems are remedied, the closing process can proceed.
- The home’s valuation is appraised lower than the purchase price – When the purchase price is higher than the appraised value of the property, the lender may not want to approve the loan. Renegotiating the cost of the property must be done and agreed upon before a real estate closing can occur.
- Making an offer without getting preapproved – If you’re borrowing money, knowing the loan size a lender will provide to finalize the property purchase is essential. Getting preapproved can save time and frustration.
Being aware of common problems with a real estate transaction can help you speed up the process and avoid delays that would hinder the final real estate closing.