5 Things That Can Delay Your Mortgage in Floresville

Delay Your Mortgage

You’ve found that perfect home, and so you’re ready to move on to closing as soon a possible. The last thing you need is for some problem or surprise to cause any delays, especially with respect to your mortgage. There are, in fact, a lot of things that can go wrong and cause depressing delays, but not (most of the time) if you know about and are prepared to deal with the causes of these delays. With that in mind, here are 5 things that can delay your mortgage in Floresville.  So understand and try to be ready in the event that you have to deal with these.

1. Appraisal Too Low

Before your lender will approve a loan for the purchase of a property, that property will have to be appraised to ensure that it’s really worth what you’re wanting to borrow. An appraisal that is too low can delay your mortgage in Floresville quicker than anything. If that happens, you’ll have to negotiate with the seller for a lower price and/or get further appraisals. This is an area where a qualified agent can be a huge help.  If this problem arises, there are several ways to resolve but it does have to be negotiated.  A couple of other choices are that the buyer can bring the extra cash to closing or terminate the contract.  That resolution will have to be discussed with your lender and agent to understand all the ramification.

2. Inspection Surprises

Homes for sale checklistAnother common scenario that can delay your mortgage in Floresville is one involving an inspection that discovers unknown or undisclosed problems. You will typically have a home inspection done.  That is part of the first process of the contract.   If it is a VA loan and the home has a septic system an inspection is required by the lender  as well as a pest inspection. Your lender will require an appraisal.  If the appraiser notes any possible issues such as wood rot or broken windows or foundation issues they require those issues to be fixed before they will loan on the home.  These are called lender required repairs and the contract addresses those issues.  At this point in Texas the contract says that until you negotiate rectification of these problems the buyer cannot get the loan.  This is another negotiation issue between the sellers and buyers.  Again, a good agent can provide invaluable assistance in this situation. (You can discover more about this at (210) 216-7722.)

3. Title Problems

The buyer is guaranteed a clear title to close.  Before closing, a title search will have to be done to ensure that the title is clear. But if it turns out that there are liens against the property or that someone other than the seller actually owns it, this too could delay your mortgage. Normally sellers know about the liens and plan to pay them off at closing.   But in the event of a title issue, it could take months to get such title problems sorted out. And your lender will not extend a mortgage until the title is absolutely clear and free of all encumbrances.  That is to protect you as the buyer.  The title to the house must be clear.

4. Big Purchases

boatIf you go out and make big purchases, you could be shooting yourself in the foot, mortgage-wise, that is. Remember, the house isn’t yours till you get the mortgage, the money changes hands, and the all the dotted lines are signed and notarized at closing. Maybe you made an offer and the seller accepted, so you want go out and put new living room furniture and a new refrigerator on your credit card. But don’t. These kinds of major purchases can put you over the debt limit so that you no longer qualify for the mortgage you need. Real estate experts agree that this could not only delay your mortgage but could even be disastrous. Close to the closing date-like the day of closing, your mortgage lender will pull your credit again to make sure that nothing has changed, especially with respect to your total debt. I have seen people lose their mortgage approval over small things that they did not discuss with their lender before proceeding.

5. Down Payment Issues

Although it doesn’t happen often, it does happen sometimes that your lender will unexpectedly require a larger down payment than you had been informed of previously. This usually happens when the lender re-assesses the income and debt documentation you provided or when a key piece of information was delayed. Whatever the case, you’ll have to find a way to come up with new down payment, and the mortgage will have to be re-written – delays all around. That is if the seller agrees to delay the closing.

The Best Solution

The best solution for avoiding these things that can delay your mortgage in Floresville and help you close sooner rather than later is to hire an experienced real estate agent. A good agent can help you head off or navigate around most of these delay-causing problems.  They will also know lenders that are proactive and stay on top of everything to make sure your loan goes smoothly.

More info: How to get a home mortgage

Are you ready to buy a Floresville house? We can help! Send us a message or give us a call today! (210) 216-7722

As the Floresville Real Estate Agent – Faye Y Taylor is here for your questions and to help

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