Austin TX Real Estate - Hill Country Austin Lakeway Homes for Sale: Deals Can Fall Apart that Are Beyond Our Control

Deals Can Fall Apart that Are Beyond Our Control

I wanted to follow up to my post that I wrote called, "I said, I Have Never Had a Buyer or Seller Walk at the Closing Table." From some of the comments, it made it seem like I was saying there were never any deals that fell apart. I'm the first one to admit that yes, deals fall apart, but well before the closing table.

Here are some examples of deals I was involved in that fell apart during the transaction, that were out of my control.

austin real estate homes for saleI had a buyer very eager to buy a condo. He didn't make much money, and he was in the $55k price range. He was so excited he was approved for a mortgage and called me multiple times a day to make sure it was real. I kept the listing agent in the loop everyday, and the seller moved out... the buyer was demoted which included a paycut, and when the lender called to verify employment, he was denied for final underwriting... he thought he could get away with not telling anyone his pay was cut.

I had a buyer who was self-employed and relocating at the same time. This was in the Summer of '09 when things were blowing up in the lender world. While we were waiting patiently for the builder to complete the house, rules changed. A buyer could no longer get a second lien if they were self employed AND relocating. We tried for just one lien, but then the buyer would have needed mortgage insurance, and the MI companies were following the second lien holders in their criteria. Buyer had to terminate and drop his price point.

I had a seller who did not tell me he stopped making his mortgage payments. When I turned in the contract, the title company pulled title and an $80k tax lien popped up. That was our focus to clear. No idea that the foreclosure was going on in the background until I got the call a couple of days later from the new listing agent from the bank...

Those are the only three examples that I can remember falling apart in my career. Granted, there have been several that terminated during the inspection period, some because of the inspection and some because the person woke up on the wrong side of the bed and just decided it wasn't the right house. Buyers are allowed to terminate for any reason during this time.

For the most part, I've been very successful at getting my clients to closing, and that's a pretty good record if you ask me!

 

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donna harris Realtor Austin TX blog

Donna Harris, REALTOR®
RE/MAX Austin Skyline
www.DonnaHomes.com
Donna@DonnaHomes.com
austin-texas-homes-for-sale.com

Austin TX Real Estate

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Copyright© 2013 By Donna Harris, All Rights Reserved. You may re-blog with links back to this post.
* Deals Can Fall Apart that Are Beyond Our Control
* was first published on donnahomesblog.com.

Comment balloon 6 commentsDonna Harris • March 15 2013 01:52PM

Comments

Donna, this kind of stuff happens to all of us.  I like to get the kick outs over with during the first week or so, but sometimes wierd stuff happens at the last minute.  But not at the settlement table. 

Posted by Patricia Kennedy, Home in the Capital (RLAH Real Estate) over 5 years ago

Hi Donna, Some things are beyond our control but it sounds like you stay on top of what you can.  Have a great spring season.

Posted by Phil Hillerman, Crye-Leike Realtors® (Crye-Leike Realtors®) over 5 years ago

Hi Donna,

Everyone experiences situations like this in their real estate career..somethings are out of our control! Just keep the pip line full and you wo't feel it!

Posted by Dorie Dillard, Serving Buyers & Sellers in NW Austin Real Estate (Coldwell Banker United Realtors® ~ 512.346.1799) over 5 years ago

Donna, changing financial status and misinformation to you will certainly make deals fall apart when checking the validity of the qualification. ALL of us have deals fall apart long before closing, so true. Great three examples... the sooner they are over for all of us, the better.

Posted by Gary Woltal, Assoc. Broker Realtor SFR Dallas Ft. Worth (Keller Williams Realty) over 5 years ago

Donna rarely do deals fall about after the home inspection period for us. As you know the key to a high success rate of closings is due to knowing the client  can qualify upfront (no ands ifs or buts) and knowing the sellers financial situation on their home.  We've had so many short sales this past year so digging into the real truth of what's happening was critical - no surprises please.  I am trying to think of one that fell apart at closing - I can't recall any.  I'll have to think about that one - there must be one over 24 years!!

Posted by Anna Banana Kruchten CRB, CRS 602-380-4886, Arizona's Top Banana! (Phoenix Property Shoppe) over 5 years ago

I think we have all been there Donna.   Like you I don't recall ever having one fall apart at closing but at other times yes it has happened

Posted by Jim Patton, Realtor - Stanislaus & Merced county Realtor. (Century 21 M&M - 209-404-0816) over 5 years ago

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