How Can I Avoid Delays When Buying a Home in St. George?

The home buying process involves many moving parts, and a single mistake can lead to setbacks or even cause a deal to fall apart. Before you begin the search for homes for sale in St. George, be sure you understand these common missteps buyers make that lead to a deal falling through or being delayed.

Making Financial Changes Before Closing

During the time between getting pre-approved for your mortgage and closing on the new home, you should seek to keep your financial situation the same. Your lender will monitor your financial status from pre-approval to closing and making significant changes—such as switching jobs, financing a big purchase, or taking on new debt—can alter your debt-to-income ratio and put your loan approval at risk.

It's common to begin shopping for furniture and appliances for the new home, but it's best to wait until after you close. Similarly, some buyers feel excited and relieved when they get pre-approved, and view it as a green light to make another big purchase or change jobs. However, it's essential to maintain financial stability until after closing. Avoid major purchases, career moves, or new credit inquiries before your loan is finalized. Even if you ultimately still qualify for the mortgage, a change in your financial situation can cause major delays because the lender will have to re-evaluate your application.

Making Assumptions Instead of Getting Pre-Approved

It's easy to misunderstand or make an assumption about your budget and get it wrong. In fact, we recommend all our buyers start with mortgage pre-approval because it gives you real numbers to work with and a confidence in your house hunting process. 

Many buyers assume they can afford a home based on an online mortgage calculator or verbal estimates. However, failing to get pre-approved by a lender can result in delays, unexpected loan denials, or the inability to make a competitive offer.

Ignoring Contingencies

Including contingencies—such as financing, appraisal, or home inspection contingencies—in your offer can be a great way to protect yourself as a buyer, but they can also cause delays if not handled properly. If you don’t meet the required deadlines, you may risk losing the home or your earnest money deposit.

It's essential that we work closely together, and that you stay in communication with your lender, to stay on top of deadlines and ensure all contingencies are met within the agreed timeframe.

Not Having Cash for Closing Costs

It's common to pay attention to the purchase price and mortgage rate, but neglect to have cash on hand for closing costs. Many buyers focus solely on their down payment and forget about closing costs, which typically range from 2% to 5% of the home’s purchase price. If buyers don’t have enough cash on hand to cover these fees, the closing could be delayed.

Ask your lender for an estimate of closing costs early in the process and ensure you have enough saved to cover them. This may mean liquidating an asset or simply being careful to avoid overspending. Whatever you need to do, make sure you don't delay closing because you forgot about this essential component.

Delaying Homeowner's Insurance

One of your tasks during the closing process will be securing homeowners' insurance because lenders require proof of homeowners insurance before closing. If you wait until the last minute to get coverage, closing could be delayed. To avoid this, shop for homeowners insurance as soon as you have a signed contract and provide proof of coverage well before the closing date.

Working with an Inexperienced Realtor

Finally, sometimes buyers end up with a delay simply because of an error or honest mistake made by their realtor. This is one reason it's so important to work with a team of experienced real estate professionals like us. Our Erika Rogers says, "A trusted and experienced realtor knows the ins and outs of the home buying process, helping you navigate potential pitfalls, stay on track with deadlines, and avoid costly delays. With the right guidance, you can move smoothly from offer to closing, stress-free and with confidence."

Ready to find your new home in St. George? Contact us any time.