How to Speed Up Real Estate Closings

Speeding up a real estate closing is sometimes necessary. Due to a variety of circumstances, a buyer (or seller) might need a shorter timeline. Or, just needs the sale to sail through quickly. But, to fast-track a real estate closing, you must really be prepared. That means you’re ready-to-go at a moments notice.

Common Home Closing Problems

The truth is, most home closings go through on or right around the scheduled date. Statistically, only about 10 percent of real estate settlements fail to close under normal market conditions. Things like surprises found during the final walk-through is one reason. A second or soft credit check might also be a culprit.

“Real estate closings can be fraught with complications and setbacks, but they can go smoothly and quickly — if planned for carefully. You may think that an “all cash” deal would go through closing faster than a sale that involves a mortgage — but that is not always the case. Unresolved title issues, such as an unknown mechanics lien from a former building contractor or boundary or unsettled disputes from the past can show up. Also, serious structural problems with the property may be revealed in an inspection report, and they can cause weeks or even months of delay. The buyer’s cash to close might not arrive to the closing agent in time, or the wrong amount may be received.” —Washington Post

Then, there are things such as title clouds or title defects. Of course, just a clerical or technical error or glitch might cause a delay with fund transfers. Cold feet are yet another issue, as both buyers and sellers can suffer from remorse. If you go in with fewer contingencies, prepared paperwork, and more, you’ll get through to the closing in less time. However, most issues are ironed out and the deals go through.

How to Speed Up Real Estate Closings

Of course, there are other possible obstacles. An inspection could uncover one or more issues. But, if all goes well from the time the purchase offer is accepted by the seller, there’s still some work to do. To speed up a real estate closing you can do the following:

  • Get pre-approved. A pre-qualification just isn’t enough. You need a mortgage pre-approval. Because, the former is just a cursory look at your situation. While a pre-approval is a more in-depth examination. So, it’s far more accurate. And, it’s necessary to motivate a seller into accepting a purchase offer.
  • Narrow your search. Another way to fast-track a home closing is simply to cut down the search timeline. In other words, the longer you look, the longer it will take to find the perfect property. Narrow your search and focus on what’s most important. Pare down the wish list and you’ll find a great home quicker.
  • Look for lingering listings. Along the same lines is expanding your search to uncover lingering listings. Homes with long DOMs or days on the market are prime candidates. These sellers might well be more motivated to move the property and sell on a short timeline.
  • Make a strong purchase offer. Speaking of purchase offers, it’s best to forgo lowball offers. These not only generally insult sellers but also, potentially cause you to lose out.
  • Prepare your paperwork in advance. Get the last quarter’s worth of paystubs, bank statements, and the like ready. Because organization is key to getting through closing faster.

If you are considering buying or selling a home in Orlando, contact us for the latest market information. We’ll also provide you with the right advice about the local real estate market so you make the best decisions.