Written By: Gail Foster
I had a closing about a month ago on a Friday morning. We didn’t leave the title company until 6 hours later! We sat six hours at the settlement table waiting for settlement sheet adjustments to be approved. What can take six hours? I can write out bills, make deposits, clean my kitchen, hit the yard sales, get my hair done and walk my dog in less than six hours.
Who is not doing their job? Certainly there was not much thought given to the buyer and seller who were actually paying for the service they didn’t receive! When finally the buyers check was given and keys exchanged, we left thinking that was the end. We were tired and frustrated but the deal was done. Or so we thought! I received a call Monday around noon from the title company saying the lender was threatening to recall the loan because a TIL had been changed yet again and needed to be signed by the buyer and a signature was missing from an insurance declaration page. The seller was calling the buyer demanding the keys back because he had never received his wired funds and the buyer’s head was spinning, wondering whether they had to repack everything they had just moved over the weekend. All this came after three weeks of delays, rescheduling closings, contract extensions, seller threats of withdrawal, angry phone calls and a buyer that didn’t know where she was going to live because she had given her notice to move and her apartment complex wouldn’t grant her anymore extensions.
Maybe this was just the purchase from… well you get the idea. And I wish I could tell you that this was an isolated incident, but more and more homebuyers are leaving the settlement table shaking their heads and wondering whether it all was worth it. I know because I’m there, sitting right next to the buyer or seller. What should be a happy, wonderful day, isn’t. Delayed settlements, multiple contract extensions, seemingly endless documentation requests, multiple appraisals plus confusion, frustration or disappointment are becoming more regular occurrences in the home buying/selling experience. I’m sure some of this insanity occurs because of the mortgage melt down, the high rates of foreclosure, the instability in the market, and the regular changes in financing regulations or maybe even some human error. My concern is that it cannot become commonplace. Regardless of the hurdles and challenges we face professionally to get the job done, we must get it done, mindful of the clients we serve.
We cannot forget that our clients are making plans for their lives and the lives of their families based upon our ability to get the job done in a timely manner. Dates are written into contracts and both buyer and seller are required to abide by the terms they agreed upon. Landlords are being given notice, sellers of homes are buying new ones and setting settlement dates and making new commitments based upon contractual agreement. Every delay can have an impact on multiple agreements, clients, families, plans and futures. We must all work to stop the insanity. Realtors need to work closely with lenders to determine realistic settlement dates and lenders must work to see that those dates are honored with service that everyone involved can depend on. We must work to earn clients confidence and trust. We need to deliver service mindful of those who are our business. We can regulate and monitor the product but without the customer it is all for naught.
About The Author
Gail Foster - As an active real estate industry professional for the past twelve years, Gail Foster is a proud licensed mortgage officer and a Realtor in the state of Maryland. If you would like to become a writer for NAMU®, please email us at: contact@mortgageprocessor.org.
