Why You Shouldn’t Schedule Your Closing For May 28, 2010
The federal home buyer tax credit expires April 30 and the deadline is sparking a home sale surge. It figures to burden real estate, mortgage and title offices nationwide over the next 60 days so plan your closing date accordingly.
Especially because the last Friday in May is the Friday before Memorial Day.
Now, if the connection between the tax credit and Memorial Day is not immediately clear, think of your own office on a 3-day weekend’s Friday. Some of your colleagues take a half-day at work, others take the entire day off.
Office-wide, productivity drops.
The same is true in the real estate space. Offices are short-handed ahead of a holiday so, if you’re under contract for a home and plan to close in May, consider a closing date other than Friday May 28, 2010.
And meanwhile, with 6 weeks until Memorial Day, here’s some steps you can take today prepare for other people’s time off later.
- Notify your lender of your planned vacation time between now and your scheduled closing
- Purchase a homeowners insurance policy and prepay the first year. Send proof of payment to your lender.
- Have Power of Attorney forms lender-approved and signed by all parties in advance, if applicable
- Deposit gift monies and/or retirement fund withdrawals into an acceptable bank account, if applicable
- Schedule your final walk-through as far in advance as is realistic so there’s time to make “fixes”, if needed
- Have your closing funds ready at least 1 day in advance
The tax credit’s expiration is around the corner and as it gets closer, real estate-related businesses are taking on more work. Basic title and mortgage tasks are taking longer to complete and that should persist for a while.
Get ahead of the curve and beat your contract dates handily. Use the checklist above and be responsive to your lender’s requests.
And, if at all possible, avoid closing on the Friday before Memorial Day and even the Tuesday after — it’s when office staffs are at their smallest.
Related posts:
- Closing On Or Near Labor Day? Plan Ahead.
- Explaining Why Per Diem Is Not A Closing Cost
- Who Pays What — A Guide to Closing Costs
Michael Haigh has 20+ years of professional experience in the banking and mortgage industry. He has the knowledge, education, and dedication to get you the best loan for your situation, answer your questions honestly and completely, and make your mortgaging experience a pleasure. His reputation includes being the number one lender in the country for CitiBank for 9 years, then at Chase for 1 year and now with WJ Bradley since August of 2009. This is because of the quantity of loans, myriad of people he's helped, and his dedication to helping his clients find the perfect loan for them.
