The common hindrances home sellers face during closing

 Wednesday, August 3rd 2022, 4:00 AM

Sell My House Fast - GSAP: What are the obstacles that delay the closing of a home sale?

Greenville, United States - August 3, 2022 /Sell My House Fast Greenville -Spartanburg-Anderson-Pickens/

Challenges faced during the closing 

Home sellers are well aware of how tedious, confusing, and time-consuming it is to sell a house. After a seller has gone through the stages of listing the house, marketing, staging, repairs, and negotiations, the last step of closing can still go wrong. Being aware of the potential issues that can disrupt a deal during closing can help sellers, as well as buyers, prepare and find solutions in time. Sell My House Fast - GSAP, a cash buyer in Anderson, shares some of the reasons why closing becomes complicated and delayed.

1. Poor appraisal

An appraisal is an evaluation of a property that is conducted and reported by an authorized appraiser. The purpose of this appraisal is usually to get home financing. The appraiser determines the value of the property to protect the lender’s interest. In case, the buyer fails to pay back the mortgage, the property’s value should help the lender recover the lending amount during foreclosure. So, when the appraisal value comes lower than the asking selling price, the buyer would need to either pay cash for the difference or the seller will need to lower the selling price.  

2. Title issues

A seller or buyer should ideally hire a title company to conduct a title search and issue title insurance during the escrow process. A title issue such as liens, forgery, or any judgments against property can jeopardize the ownership of the buyer, the lender’s money, and the ongoing deal itself. This title search ensures the buyer and lender that there are no other individuals or entities that have any legal right on the property.

3. Home inspection faults

A home inspection at closing is often a contingency in a purchase offer. During the final walk-through, if buyers find a serious flaw with a house, the contingency clause allows them to back out without any losses. The buyer may also ask the seller to conduct those repairs and delay the closing date. Buyers and sellers must be aware of this contingency and take measures in time to ensure the deal doesn’t fall through or get delayed due to a failed inspection. 

4. Cold feet

A buyer or a seller may back out during closing for various reasons. A buyer may have found a better property or failed to get a mortgage. A seller may receive a better offer or just doesn’t want to sell the house due to sentimental reasons. In both cases, the party that backs out will need to pay damages to the other party. A contract may mention certain contingencies that allow either party to back out without penalty but once these contingencies are waived off, the party backing out will owe damages to the other. 

5. Mortgage falls through

Understanding the difference between prequalified and preapproved is important for both buyers and sellers. Smart home sellers will avoid accepting offers from buyers who aren't pre-approved. A pre-approval means that the lender has agreed to grant a loan to a buyer after assessing factors such as credit score, assets, and income. The only reason a pre-approved buyer’s mortgage would fall through at the closing would be a fall in credit score, loss of income, or a steep hike in interest rates. 

Why Sell My House Fast - GSAP?

If you are looking to sell your house fast, Sell my House Fast - GSAP is the most reliable cash buyer in Greenville, Spartanburg, Anderson, and Pickens. The BBB-accredited, local business can offer fair and hassle-free deals to sellers by skipping the middlemen such as banks and agents. Home sellers don’t have to worry about repairs, commissions, loans, and paperwork with a cash buyer like Sell My House Fast - GSAP. 

Get “cash for your house” offer swiftly by following 3 simple steps. Fill out a form with contact information or call us, receive a fair cash offer within 24 hours, and choose a closing date as early as 14 days after accepting the offer.

To sell your house fast, call Sell My House Fast GSAP at (864) 428-9197 or email at myles@sellyourhomeupstate.com