The Lender:
1) Does not properly pre-qualify borrower
2) Decides at last minute they don't like borrower
3) Decides at last minute they don't like the property
4) Wants property repaired or cleaned prior to close
5) Raises loan rates, points, or costs
6) The Borrower does not qualify because of a late submittal
or addition of required information.
7) Requires a re-appraisal before final loan Docs can be drawn
8) The Borrower does not like the fine print in the loan Docs
they received 3 days before closing.
9) Lender loses the file
10) Does not simultaneously ask for all required information
from the borrower, they ask for the information in bits and pieces.
11) Gets credit data on wrong person from credit reporting agency
12) Credit reporting agency have erroneous data on right buyer
The Buyer:
1) Did not tell the truth on loan application
2) Did not tell the truth to their Agent
3) Submits incorrect tax returns to the lender
4) Lacks Motivation
5) Source of the Down Payment money changes
6) Family members do not like purchase
7) Is too picky regarding condition
8) Finds another property which is a "Better Deal"
9) Is a 'Nibbler' (Always re-negotiating)
10) Brings an Attorney into the picture
11) Does not execute (sign) paperwork in a timely manner
12) Does not deliver Escrow Closing money via a 'certified check'
to the closing officer
13) A Job change; Illness; Divorce; Or other Financial Setback
14) Comes up short on money to close
15) Does not obtain insurance in a timely manner
The Seller:
1) Loses Motivation
2) Illness; Divorce; etc.
3) Seller undisclosed defects are subsequently discovered.
4) Unknown defects are discovered
5) Home inspection reveals average amount of defects
but seller is unwilling to repair them
6) Gets an Attorney involved
7) Removes property from premises which buyer believed
was included in the sale.
8) Is unable to clear up problems or liens
9) Last minute 'Solvable' Liens are discovered
10) Does not own 100% of the property as previously stated.
11) Thought the co-owner's signatures would not be a problem.
12) Leaves town without giving anyone the power of attorney.
13) Seller's signature not clearly stamped by the notary.
14) Delays the projected move-out date
The Appraisal:
1) Appraiser is not local, and misunderstands the Market
2) No Comparable sales available
3) Appraiser delays (Too Busy; etc)
4) An Incorrect appraisal
5) Appraisal too low
The Escrow Company:
1) Fails to notify agents of unsigned or unreturned Documents
so that the agents can resolve the problems.
2) Fails to obtain information from Beneficiaries, Lien holders,
Title Companies, Lenders, or Insurance Companies in a timely manner
3) Lets Principles leave town without getting all necessary signatures
4) Incorrect interpreting or assuming aspects of the transaction, and
passing these items on to related parties such as lenders, attorneys,
Buyers and Sellers.
5) Too Busy
6) Incorrectly prepares the paperwork
7) Loses the paperwork
8) Does not pass on pertinent information quick enough
9) Does not coordinate work - items not completed simultaneously
The Cooperating (other) Agent:
1) Won't return phone calls
2) Transfers to another Brokerage
3) Did not pre-qualify their client for true motivation
4) Goes on vacation without a backup to handle file
5) Lacks experience in Real Estate, or misunderstands certain
issues or steps. (Includes 'part-time' agents)
6) Poor people skills with their clients
7) Gets upset over minor issues or points
8) Does not communicate effectively or often with their client
The Inspectors & Their Companies:
1) Too picky over minor things
2) Their Inspection Report scares Buyer
3) Their Inspection Report infuriates Seller
4) Make mistakes, or errors on Inspection report
5) Delays sending Inspection Report
The Title Company:
1) Does not find leins or problems till last minute
2) Makes no accomodations for unusual circumstances
3) Poor service, lack of communication
4) Loses paperwork or file
5) Gets wrong 'Preliminary Title Search' data
6) Gets wrong personal data on Sellers
Catastrophic Events:
1) Death of Buyer or Seller
2) Earthquakes; Fires; Land Slides; High Winds; Etc. |
