4 . Follow up and make sure that title work has also been started . You want to make sure that everything is done in a timely manner so that there are no holdups when you go to close . Every once in awhile you may discover some small glitch in the title work that needs to be addressed , such as a deed that wasn ’ t done correctly . There would need to be an additional quit claim deed done to correct the mistake . Make sure the title agent understands the contract paperwork and what entity the funds are to be paid to . You also want to make sure they do the 1099 correctly so the right entity gets taxed . You will also want to provide the title company with a copy of the existing title policy . This means that they will be able to come forward from the date of your policy , which takes less time and this may make the title search cheaper . Make sure the title agent understands who is going to pay for what regarding closing costs .
5 . Call the loan processor to make sure the property appraised for at least the amount of the contract . Make sure your buyer has ordered a termite inspection , a survey , a random inspection or whatever else is required by the lender in order to close . Is there anything you can do to move things along ? If you have a copy of a fairly recent survey , you can provide a copy . This will also save time and move you closer to the closing . Has your buyer ’ s deposit been credited ? Have they gotten the paperwork they need to the lender including employment verification and rental history ? These are all things you need to stay on top of .
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6 . If your buyers are using city or county funds to supplement their loan , there will need to be another inspection done by the city or county . This is a stipulation of their program . Make sure this gets done quickly in order to address any issues that could come up with the inspection . If your buyers are having a home inspection done , make sure it is done right away . Not getting it done in a timely manner can hold up your closing .
7 . Does the lender have your information in order to be able to order a payoff on any underlying loans on the property ? Have they received the payoff yet and have you reviewed it to make sure it is correct ? Don ’ t just assume that because they have been given figures that those figures are
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correct . Make sure they fax you a copy of the payoff for you to review . Double check the per diem amounts and make sure you aren ’ t being charged a prepayment penalty , if there isn ’ t one due . Make sure the most recent payment has been credited against the amount due . These are problems I have had to deal with . If the loan is with a private lender , sometimes it takes even longer to get a payoff from them . Some of them don ’ t know how to prepare one , so they need the help of the title company or their real estate attorney for this . This is also the time you might be able to negotiate a discount with them . This works especially well if it was a sellerheld mortgage . We have gotten private lenders and sellers to negotiate discounts on loans on several occasions , which just made our paycheck bigger .