There is Work to Be Done to Get from Contract to Closing
Many sellers think the job is done once the contract has been signed. Not so. There are many things to be done and it certainly isn't a sure thing that the closing will happen until some hurdles have been crossed. Most buyers get financing and that becomes a contingency on the contract. The buyers must take immediate action to get in touch with their lender to get the process started.
- The buyers' lender will make sure the buyer is applying for the right loan for their circumstances and the type of home. The buyers will complete the loan application. The lender may request a loan application fee be paid to cover the cost of the credit report and to order the appraisal. The lender will request all kinds of documentation and verifications from the buyers. Buyer must be compliant and responsive so the closing date can be met. It takes a cooperative and willing buyer to meet deadlines.
- The buyer will order the home inspection. Standard time frames for home inspections are 7 to 14 days. Depending how busy inspectors are, more time may be needed to get this completed. Other inspections may also be required during the inspection period like termite/pest inspections, HVAC, septic, well or structural inspections.
- Inspections reveal issues that must be resolved between the buyers and sellers or the contract may be terminated. This is one of those hurdles that must be crossed.
- An appraiser will come to evaluate the home for value, condition and to see if it is good security for the loan. He will use recent market data and property closings to see how the subject home compares to other sales. Remember the appraiser may require repairs or determine the value to be quite different than the contract. This is another hurdle to cross.
- Meanwhile the loan is being processed and the buyers' credit history, financial stability and assets are checked. If any surprises are discovered there may be some explaining to do. If something major surfaces, this may be a show stopper. This is another hurdle to cross.
- Financed homes must be insurable with the proper hazard insurance policy to protect the asset of the home. The lender will not lend money on the property if insurance cannot be written. This is another hurdle to cross.
- Closing may now be getting close. Buyers should not make any major purchases or changes in jobs, income or assets. Even large deposits or withdrawals in bank accounts can call a halt to the loan closing. A final credit report may be ordered a few days before closing to see that all credit looks stable. If not, this could be a hurdle to cross.
- The title will be checked on the sellers' side to assure that clear title can be given once all liens, debts against the property and selling costs can be paid from the sellers' proceeds. This is another hurdle to cross if funds are very tight on the sellers' side or there is very little equity. The sellers may have to bring money to the table if the home is to close.
If the buyer satisfies all these conditions and all hurdles are crossed then you will get to the closing table. A good agent will be with you every step of the way to help you and keep you informed.
When selling Clarksville TN real estate, you need an agent that can be with you to guide and advise you. When you are ready to sell, contact Debbie Reynolds at 931-320-6730.
2130 Wilma Rudolph Blvd.
Clarksville, TN 37040
it would be my pleasure to assist you!
"The Real Debbie Reynolds"
931-771-9070 Office | 931-320-6730 Cell