THINGS THAT CAN GO WRONG WITH REAL ESTATE SALES

When closing the deal on a real estate sale, a combination of stress and excitement can lead to mistakes being made. Little slip-ups and oversights can cause major delays and frustration when it is time for closing. Having an idea of what problems you can expect will keep these common errors from happening in your sale as well.

Common Mistakes

One of the most common mistakes is not reading the details of paperwork closely enough. Even simple errors like typos and the misspelling of names can take hours to correct once the papers have been signed. Catching these errors early will speed along the process.

Another problem to look out for is a money transfer not getting to the seller by the appointed day. This is usually a bank problem, with the delay being on their end. However, you can prevent this from happening by either bringing a check to the closing meeting, or wiring the money to the seller a few days in advance.

One final problem to look out for is the loan documents going missing. If sent by mail to you, there may be inexplicable delays that force an alteration in the deadlines. Keep this from happening by demanding expedited shipping with tracking

The appraisal kills the deal

When a seller wants to sell a home and finds a buyer who wants to buy it, you'd think they'd have a deal. What could go wrong?

These days, plenty. In this tough financial climate, there are both longstanding pitfalls and a crop of new ones. At best, these can cost you time or money. Or both. At worst, the home you want could slip from your grasp.

Even after you and the seller have agreed on a price, the appraiser — the expert assigned by the bank to authenticate the home's value — can ruin everything.

A little background: Your lender needs to know that the home you're buying is worth what you're paying. Banks are touchy on this subject at the moment. They own countless foreclosed homes and stand to inherit millions more from defaulting borrowers. Your lender wants to be sure your new home won't be added to this pile.

Appraisers arrive at a home's value in part by comparing recent sales of nearby homes. But falling prices, and foreclosures and short sales in the neighborhood, make these comparisons tough.

Your sale can suffer if the appraiser doesn't know the neighborhood, which can lead to sloppy, hasty and inaccurate appraisals.