Overlooked details, unexpected issues, financing conundrums — they’re what real estate nightmares are made of. There are many moving parts throughout the homebuying process, and they all need to be completed successfully before you can have your keys in hand.

Don’t panic: As long as you have your wits about you as you move through each stage, stay organized and communicate clearly with all involved, you can experience a successful culmination of your transaction.

Here are five closing pitfalls that might get the better of you if you don’t have your eyes wide open going into the transaction.

Mortgage dilemmas
For those who don’t have massive amounts of cash, a mortgage is necessary for buying a home. So, it’s crucial to be thorough when it comes to qualifying for a mortgage. What could go wrong? A buyer could be denied or have a much smaller prequalification than initially expected.

If all the information you provided to the lender isn’t perfect, that can also cause hiccups. And here’s an unfortunate predicament: racking up too much credit card debt in your excitement of a prospective new home, resulting in an unsavory final credit check.

Additionally, if a buyer’s employment changes and their debt-to-income ratio isn’t holding up, that can also be a big bump along the road to homeownership.

The preapproval process ahead of the home search process is a key step to avoiding any mortgage issues. 

Unexpected appraisal amount
If a home appraises low, the seller either needs to lower the asking price so the buyer can obtain the loan, or the buyer will need to make up the difference in cash. Setting realistic expectations is important; things may not turn out exactly the way you envisioned, so it is important to compromise.

Red flags during the inspection
Every home has its quirks and opportunities for improvement, but if serious problems arise, you may find yourself in a bit of a pickle. Many buyers will include an inspection clause that allows them to hire additional professionals to come and inspect the property.

If problems surface, the buyer and seller will need to come to an agreement on how the items will be resolved.

Uncompleted contingencies
Here’s where sellers may be holding their breath: the final walkthrough. At this point, all agreed-upon conditions should be met. If they aren’t met, the sale is at risk.

So, sellers need to take these agreements seriously and actively resolve any issues in a speedy and professional manner. On the other side, buyers need to be aware and thorough during the final walkthrough, checking their boxes off with meticulous care.

Emotional roadblocks
Cold feet are real and something buyers and sellers should both be cognizant of. If feelings of uncertainty arise on either the buying or selling side, the deal can quickly crumble.

Call us at (480) 205 2234 to help you through the preapproval process and also meet all your mortgage needs.