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REASONS A SALE FALLS THROUGH & HOW TO AVOID THEM

Tuesday, July 11, 2023   /   by Ameil Gill

REASONS A SALE FALLS THROUGH & HOW TO AVOID THEM

REASONS A SALE FALLS THROUGH & HOW TO AVOID THEM


Nothing is more disappointing than thinking your home sale is a done deal, only to have it crumble in the final stages of the process. Unfortunately, not every home that goes “under contract” makes it to closing. From inspection issues to low-ball appraisals, there are a few common reasons a sale will fall through. Whether you’re considering buying or selling, it’s important to understand these potential pitfalls so that you can take proactive measures to prevent them.


1.INSPECTION ISSUES


Every home will have issues that arise during inspections, which is why as a buyer, having a knowledgeable inspector and agent by your side is crucial to understand what should be of concern and what you can easily repair once you move In.


To prevent fallout from an inspection, sellers should consider having a pre-listing home inspection. This allows sellers to get ahead of issues a buyer might find, get estimates for repairs, or at the very least, disclose any issues that were found during the inspection.


2.APPRAISAL ISSUES


If the appraisal doesn’t come back at value, it can derail the entire sale.


As a buyer, it’s essential to partner with an agent who can help educate you on local market stats and comparable sales so that you can protect yourself when submitting an offer.


Sellers: In a competitive market, where home prices are going well above “market value”, it may be in your best interest when considering offers to negotiate with potential buyers to cover any gap in the appraisal if it ends up coming in low.


3.BUYER’S REMORSE


In the super competitive seller’s market, where buyers need to decide very quickly on whether or not to submit an offer on a home (sometimes in less than 2 hours), there have been more and more cases of buyer’s remorse, or “cold feet”.


The market is still very competitive, and inventory is low, but when you’re looking at a home, try to slow down, drive around the neighborhood and area, look past the seller’s furniture, and review a payment estimate before making a decision.


4.PROPERTY TITLE ISSUES


A title search reveals liens against the property or other legal claims that could potentially sink a deal if the sellers don’t have the cash to cover the outstanding liens, unpaid property taxes or utility bills, or unpaid work by a contractor.


It’s important to remember, that even If you are not getting a mortgage, you should always get title insurance.


Sellers should make sure there are no outstanding judgments or liens before putting their home on the market to avoid any surprises.


By being aware of these common hurdles and taking proactive measures, you can increase the chances of a successful home sale. Working closely with a knowledgeable agent who has experience navigating these challenges is essential. Clear communication, proper preparation, and a proactive approach are key to avoiding the pitfalls that can derail your home selling journey.


If you’re considering selling, send me a message — I’d love to share how I can help you sell your home successfully (the first time!)

REMAX Realty One Inc. - The Gill Team
Ameil Gill
50 Burnhamthorpe Road West Sussex Centre Ste #102
Mississauga, ON L5B 3C2
416-884-1359

Information is provided exclusively for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. Data is deemed reliable, but is not guaranteed accurate by the MLS®. Copyright 2024 Last Updated May 24, 2024
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