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Why lenders can not close the deal when they said they will?

I am suppose to close on a house a week ago, my lender default and the sellers are mad. They are asking me to pay Per Diem plus remove the financial contingency with new closing date. What are my options here?
  • August 10 2012 - Herndon
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Answers (3)

Best Answer

there are hundreds of reasons why a deal doesn't close on time.  It could be the lenders fault, the sellers fault, the buyers fault, the escrow companies fault, etc...    There are so many parties involved that if any one of them cause a delay, everybody else gets backed up.   The lender ALWAYS gets blamed if a deal doesn't close on time because they are the last step in the process.  

Perfect example, I just closed a deal 3 days late. We were ready to fund the loan last week, but the escrow company rejected our wire transfer because they were missing the sellers signatures on the loan docs and they were out of town. So even though we were able to close on time, the seller caused us to not make it. 

Talk to your agent, identify what the delay is, and try to get an extension from the seller.   If it were me, I would refuse to pay a per diem fee to the seller if the delay was not my fault.  
  • August 10 2012
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In today's market lenders have a list of challenges that were unheard of in past years. They have several hurdles to over come to make sure their clients can get the loan at the end of the deal. The trick is to find LO that knows the market and can predict these hurdles prior to the end of the deal. If you ask your RE agent They should be able to point you in the right direction. They should have at least one LO that they use regularly that they KNOW can get the deal done or more importantly KNOW when they can't get the deal done prior to you spending time and money on the deal.
  • August 10 2012
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Profile picture for salwa1
Thank you so much!
  • August 10 2012
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