Why is the closing where a deal fails the most?

6 Replies

@Brittany Tilley its just part of the business. Deals fall out for a variety of reasons and depends on whether you are talking about buy side, sale side, wholesale, retail. 

Best thing you can do is thoroughly vet the buyer, get proof of funds or pre-qualification from a lender and a big non-refundable deposit.

If it's a seller issue could be title or things like that.

The closing is where everything has to come together exactly correct. Any errors, omissions, or other glitches caused by any number of factors can throw a wrench in the works. A case in point, a relative of mine recently had a closing fall apart because the buyer had a large amount of cash in the bank from their house selling and pulled that cash out because they didn't feel comfortable with that much money in the bank. (I don't get it either), anyway, it caused an issue with the lender and delayed the closing by several weeks. And then there was a domino effect regarding two more purchases and sales downstream so those closings were affected too.

Your jumping to Algebra 2 instead of learning how to add and subtract. 

Hi @Brittany Tilley

I don't think they fail too often at the table. In my experience (my state, our contracts etc) Deals fall apart long before the table most often. Occasionally they do at the end but usually it's one side wanting to change the terms at the table and the other saying no.

Originally posted by @Brittany Tilley :

Why do deals fall apart at the closing and how would I avoid this/prepare myself so everything goes smoothly?

 It's real estate. It won't go smoothly.

Somehow we've survived over 300 years as a culture in North America with real estate not going smoothly. You'll get used to it. It isn't personal.