Buying a new house is an exciting yet sometimes daunting experience. Whether you are in the beginning stages of purchasing or have come to the end of the process of home buying, you have likely already realized that the road of purchasing is not always bells and whistles. We have been on both sides of the buying – selling road and want to share some tips for you to keep in mind to stay mentally afloat when facing closing.
First of all, it is important to note that most closing periods can last as long as sixty days on average. This can seem like an eternity when you are eager to get into your new home. Know that it will pass and remember too that there are some hiccups that can extend the process of closing. Below are tips to help ensure you have minimal bumps in the road during your closing period.
How to Avoid Delays in the Closing Process from a Buyer’s Perspective
Money – The primary reason for a delay in the closing process is a problem with the buyer’s financing. To ensure that your offer is solid, seek out a pre-approval letter from a financer before putting an offer on a home. This will not only solidify your position in the sale process but can help to speed it up.
Homeowner’s Insurance – Homeowner’s insurance is a must before occupancy may take place. Failure to secure insurance can delay closing as well.
Appraisal Discrepancies – Appraisals are vital in order to obtain a mortgage from a lender. If the appraisal comes in low, you will quickly find yourself back at the negotiating table.
Timing is Everything
Don’t rush your closing and do your best to avoid an end-of-the-month closing. By closing on the last day of the month, you may find yourself trying to beat the clock in the midst of potential computer crashes or delays in communication. Be prepared and allow time for a closing. Schedule it for 5 to 10 days before the end of the month.