Avoid These Closing Day Surprises With Lessons From The Tortoise & The Hare
Remember the story of “The Tortoise And The Hare?”
It’s the story of the cocky, overconfident hare who is challenged by the slow and steady tortoise to a race. The hare runs ahead at the beginning of the race and eventually pauses to take a nap, thinking he has all the time in the world. The tortoise, meanwhile, moves forward one step at a time. In the end, the tortoise wins and the hare is awakens to the cheering of the tortoise’s victory.
So, what can we learn from this school age fable? In terms of the road to closing, buyers can learn a lot.
Once the offer is accepted, many buyers go on autopilot. The hard work is done, the house had been found and it’s just counting down the days to closing. Unfortunately, the days prior to closing are very important. There are a lot of things that happen between accepting the offer and signing off on the closing paperwork.
There’s a lot that can be learned from the steady tortoise, who keeps his eye on the prize, and does what needs to be done in order to get to the finish line. If you take the role of the hare, you may be surprised with some closing day nightmares. In this post, we’ll show you to avoid being like the hare by avoiding these closing day nightmares.
Check The Details
The nitty-gritty details matter when you’re closing on a home. Things as simple as the spelling of your name, the price your paying for the house, and how much the seller is paying in closing costs all matter.
During the process of buying a home, it’s important that you pay attention to those details. For example, pay attention to loan paperwork as you sign off on initial paperwork. Is you name spelled right? Do they have your social right? Do they have the correct purchase price?
All of these things are important details. When these items are wrong and discovered at the last minute, they can become a closing nightmare. There are times where fixing these items can involve multiple parties and multiple days, thus possibly delaying closing. Don’t be like the hare and assume everything is okay, speeding through everything doesn’t guarantee a win. Take your time and go through the details is the key to avoiding a closing day nightmare.
Do A Final Walk-Through Early
Final walk-through is important to avoiding closing day nightmares. A walk-through should be done prior to closing to ensure that you new house is in the proper condition.
Typically, a walk-through is done a few hours prior to closing. As you walk-through the home, make sure all necessary repairs were made and that they meet your approval. Be sure that items that were supposed to be left in the house are still there. And, be sure that the final condition of the home meets your approval.
Skipping this step could lead to a closing day nightmare. You may find that the seller’s left the house a mess or that they damaged the house when they moved out. A final walk-through give you one last chance to view the home before it’s yours. Be sure to make sure that you don’t get a nasty surprise, like the hare did.
Verify You’ve Taken Care Of Everything
In order to avoid being caught off guard, be sure to take care of any last minute details. It’s those last minute details that can cause closing nightmares.
Did you need to submit a last minute pay stub to your lender? Did you finalize your homeowner’s insurance? There are a lot of small details that need to be taken care of prior to closing. Be sure to check with your loan officer and realtor to ensure that you’ve taken care all of the last minute items.
Closing nightmares tend to happen when the buyer isn’t prepared. This is why being like the tortoise is important. Don’t focus purely on the finish line, focus on each step forward in your journey to buy a home.
Make Arrangements For Closing Funds
Finally, funds for closing can be a last minute nightmare if you don’t plan properly. One thing buyers often forget is that closing funds must either be in the form of a cashier’s check, certified check or bank wire.
For buyers that are coming from out of town or that don’t bank locally, it is important that arrangements are made prior to closing so there are no last minute delays.
In addition, if funds are being taken from a 401(K) or IRA, it is also important to have a plan in place to know the requirements and turnaround time for getting those funds for closing. Be like the tortoise, pay attention to the details along the way and focus on the finish line.
Are you thinking about buying your first Knoxville home this year? Please let us know if there is anyway that Knoxville Home Team can assist you. Rick can be reached at 865-696-9002 or via email at Rick@KnoxvilleHomeTeam.Com. Kati can be reached at Kati@KnoxvilleHomeTeam.Com.
You can start your home search today on our Knoxville Home Search Page.