What happens if you can't close on time? In the event of a delayed home closing, the process can be rescheduled. However, much depends upon the circumstances surrounding the delay. Any of the following could affect the closing date:
● Cloud on the title
● Low appraisal
● Negative termite or radon inspection
● Mortgage denial
● Uninsurable property
● Change of heart or “cold feet” on the part of either party
Depending on the terms outlined in the purchase agreement, the party causing the delay may be subject to penalties or, if one of the parties is unwilling to extend the time for closing, the deal could fall apart. Ideally, the buyer and seller and their representatives will be motivated to keep the transaction moving forward, even if they have to reschedule closing.
A more streamlined approach to closing, like that pioneered by Endpoint, provides greater flexibility and the ability to customize the process according to the needs and schedules of the various stakeholders. In addition, with digital document submission and the availability of mobile notaries, buyers and sellers have more flexibility regarding the time and place of the closing.