When you find the perfect home, the final step is to get the keys at closing. It’s an exciting time, and the process of getting to that final moment is handled by a professional escrow team. At NorthStar Title Agency, we understand the importance of a smooth and timely escrow, so we’ve put together a list of five surprising things that can delay your closing in Arizona, so you can be prepared for anything.
1. Financing Falls Through at the Last Minute
You’ve been pre-approved for your loan, so everything is good to go, right? Not always. Many buyers are surprised to learn that a pre-approval is not a final commitment. Lenders will perform a final check of your financial situation just before closing. If you’ve opened a new credit card, bought a new car, or changed jobs since your initial pre-approval, your loan could be delayed or even denied.
Tip: Avoid making any major financial changes between the time you get pre-approved and the closing date. This includes big purchases, opening new lines of credit, or switching jobs.
2. The Appraisal Comes in Low
For most buyers, the lender will want a home appraisal to make sure the house is actually worth what you’re paying for it. In a competitive market, it’s not uncommon for a property to appraise for less than the offer price. When this happens, the bank will only lend to you based on the appraised value. This can cause significant delays as you and the seller renegotiate the price or the buyer will need to come up with the difference in cash.
3. Issues with the Home Inspection
Getting a home inspection is an important part of buying a house, but it can sometimes slow things down. If the inspection reveals significant problems with the property, such as mold, a damaged roof, or faulty wiring, the buyer may require the seller to make the repairs before closing. This can push back the timeline, especially if the repairs are extensive.
4. The Final Walk-Through Reveals Problems
Right before you officially close on the house, you’ll do one last walk-through. This gives you a chance to make sure everything looks good and the home is in the shape you were promised. If you find a new problem or discover that a previously agreed-upon repair hasn’t been completed, it could delay the closing until the issue is resolved.
5. Title Problems You Didn’t See Coming
A title search is conducted to confirm the seller’s legal right to the property and to check for any liens or other legal claims. Sometimes, unexpected issues surface, such as unpaid property taxes, an old mortgage that wasn’t properly discharged, or even a dispute over property boundaries. Resolving these issues can be a time-consuming process that delays your closing date.
Get Expert Help with Your Escrow in Arizona
Navigating the complexities of real estate transactions can be stressful, but with the right team on your side, you can make the process much smoother. The team at NorthStar Title Agency is dedicated to providing professional escrow services to ensure your closing in Arizona happens on time and with confidence. We work with all parties involved to resolve any issues and keep your transaction on track. To learn more about how we can help you with your next real estate transaction, contact us today.
