Even though Halloween season is upon us, we don’t want for you to experience any unwanted nightmares at or leading up to the closing table.
Selling a home is supposed to be an exciting milestone, but for many it quickly transforms into a nightmare filled with emotional and financial stress and unexpected roadblocks. Whether you are dealing with buyers backing out or not performing at the last minute or discovering hidden structural issues during an inspection, the real estate journey can give you more than one scare along the way.
It's not unusual to experience a few bumps along the journey of selling your home. While some issues may unavoidable, many of the larger nightmares can be prevented when you have the right people and resources on your side
Failing to leave the house in broom-clean condition
The good news is that the most common closing day nightmare for sellers is something that is entirely in their control: failing to leave the house in “broom-clean” condition.
"Broom clean condition" is the exact phrase likely to be used in your Purchase and Sales Agreement, meaning that you have agreed to leave your home for the buyer as if it has been swept with a broom.
To meet the broom-clean requirement, you don’t need to hire a professional cleaning crew (but that’s not a terrible idea if you want to be really sure). You don’t even have to sweep it with a broom. But you do have to clear all of your belongings out. And that means all of your stuff. Cabinets and storage spaces in the house and the garage should be empty. All trash and debris should be removed. Nothing should be left behind for you to come back for later – because later this won’t be your house.
What should you leave behind? Only those items listed in your Purchase and Sales Agreement, such as keys and garage door openers, and anything else you have specifically agreed to leave, like a refrigerator or washer and dryer.
Structural issues and mold
Buyers typically get nervous when it comes to structural issues, mold, termites, or any other problem that could compromise the structural integrity of the home. One of the BEST ways to avoid this is to have a pre-inspection when you are listing your home, so you learn of issues ahead of time and have the chance to rectify on your terms.
Mortgage falls through
You know that not all real estate agents are created equal. It’s the same for lenders too. If the lender isn't thorough, your paperwork could end up forgotten on the bottom of their to-do list. Even if your deal isn't entirely forgotten, careless mistakes such as failing to track down a signature, misspelling a name or adding the incorrect loan amount could derail things. Since the buyer picks their own lender, there's not much you can do to avoid this, but your Realtor can help nudge the lender along and facilitate clear communication when needed.
Buyer was pre-qualified but NOT pre-approved
It is pretty easy for the majority of potential buyers to get pre-qualified for a loan since the screening process is not very in depth. Just because a buyer says they are pre-qualified does not mean, however, that they have actual buying power. A serious buyer needs to have a pre-approval commitment from a lender proving they will back the loan.
In this situation, your Realtor can ask the buyer to get pre-approved with one of their trusted lenders to ensure that the offer they submit on your home is legitimate. If the buyer insists on using their own lender, be sure to only accept offers from buyers who have true pre-approval commitment letters.
Repairs weren’t completed in the timeline or way expected by buyer
In some purchase negotiations, the seller and buyer agree to a change in price to cover the costs or repairs or updates. In other negotiations the seller and buyer may agree to the seller making certain repairs prior to closing.
If you agreed to make repairs to the home as part of the sales contract, be sure to get them completed before closing day. Instead of making multiple trips to the hardware store and rushing around, consider hiring a contractor to handle all repairs.