5 Issues That Could Delay Your Real Estate Closing

Whether you’re buying or selling a home, the closing process can be both exciting and stressful. Even when everyone agrees on a date and price, unexpected problems can still pop up.

According to data from the National Association of REALTORS® (NAR), about 11% of contracts face delays, and around 6% get canceled altogether.

No one wants to wait longer than they have to, but sometimes delays happen for reasons beyond your control. The good news? Most of these issues can be prevented or solved with the right preparation.

Here are five common reasons why closings get delayed and what you can do about them.

1. The Buyer’s Financing Falls Through

This is one of the biggest reasons closings get delayed. Even if a buyer is pre-approved for a mortgage, that doesn’t mean the loan is guaranteed.

Before closing, lenders check the buyer’s credit, employment, and bank statements one more time. If something changes — like taking out a new loan, switching jobs, or missing a payment — it can raise red flags and hold things up.

How to avoid it:

• Don’t open new credit cards or make big purchases before closing.

• Avoid changing jobs or moving money around.

• Stay in touch with your lender and fix any issues quickly.

A little financial stability goes a long way toward a smooth closing day.

2. The Appraisal Comes In Too Low

A home appraisal determines the property’s market value. Lenders use it to confirm that the home is worth what the buyer agreed to pay.

If the appraisal is lower than the purchase price, the lender may not approve the full loan amount, which can cause delays while everyone figures out what to do next.

How to avoid it:

• Sellers can make minor repairs or price adjustments.

• Buyers can cover the difference or challenge the appraisal.

• Both parties can work together to negotiate a new deal.

Appraisal issues don’t always kill the deal, but they almost always take time to fix.

3. Title Problems

A title proves who legally owns a property. Before you can buy or sell a home, the title must be clear — meaning no one else can claim ownership or money from it.

A title search checks for any problems, like unpaid taxes, old liens, or ownership disputes. If the title isn’t clear, the closing has to wait until everything is resolved.

How to avoid it:

• Sellers can get a title search early to catch issues ahead of time.

• Buyers should be patient and let the title company handle any complications.

It might take extra time, but clearing up title issues protects everyone involved.

4. Problems With the Money Transfer

On closing day, buyers need to pay closing costs and the down payment. If the money doesn’t arrive correctly or on time, everything gets delayed.

Some title companies require certified checks, while others prefer wire transfers. Sending money the wrong way (or to the wrong place) can cause big headaches.

How to avoid it:

• Double-check payment instructions with your lender or closing agent.

• Know exactly how much money is due and when.

• Bring your checkbook just in case small fees come up last minute.

Communication and preparation can save you from last-minute payment problems.

5. Surprises During the Final Walkthrough

The final walkthrough happens right before closing to make sure the home is in good shape. It’s the buyer’s chance to check that repairs were done, the house is clean, and nothing major has changed.

Delays can happen if:

• Agreed-upon repairs weren’t completed.

• Fixtures or appliances were removed.

• Utilities or systems aren’t working properly.

How to avoid it:

• Be specific in your contract about what stays, what goes, and what must be fixed.

• Schedule the walkthrough early enough to handle problems before closing.

• Keep open communication between agents, buyers, and sellers.

A good real estate agent can make sure everything is handled so there are no last-minute surprises.

Closing delays are stressful, but most of them can be prevented. The key is communication, preparation, and patience.

If you’re buying, don’t make big financial changes before the closing date. If you’re selling, make sure repairs, paperwork, and title issues are taken care of early.

And no matter what side you’re on, work closely with your real estate agent and lender, they’ll help keep things on track so you can get those keys (or that check) without unnecessary stress.