As a For Sale by Owner you may get lucky and find a great buyer, willing to give you top dollar and have no complications during your deal. Let's hope that's the case, but it's not realistic or even likely.
As a professional in the real estate industry I've seen many deals dissolve for countless reasons and rarely do sellers get top dollar (especially these days).
So here is a list of 88 things that may go wrong with your deal. Now, there are more possible hang up's in a deal, but this is a comprehensive list that should cover many common items.
If you are not sure how to handle any of these items then you may want to hire a professional to assist you in your real estate transaction. Or you can learn as you go, it's Your Choice :-)
88 THINGS THAT MIGHT GO WRONG DURING YOUR TRANSACTION
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The Buyer/Borrower: |
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1. |
Does not tell the truth on loan application. |
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2. |
Has recent late payments on credit report. |
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3. |
Finds out about additional debt after loan application. |
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4. |
Borrower loses job. |
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5. |
Coborrower loses job. |
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6. |
Income verification lower than what was stated on loan application. |
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7. |
Overtime income not allowed by underwriter for qualifying. |
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8. |
Applicant makes large purchase on credit before closing. |
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9. |
Illness, injury, divorce or other financial setback during escrow. |
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10. |
Lacks motivation. |
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11. |
Gift donor changes mind. |
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12. |
Cannot locate divorce decree. |
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13. |
Cannot locate petition or discharge of bankruptcy. |
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14. |
Cannot locate tax returns. |
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15. |
Cannot locate bank statements. |
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16. |
Difficulty in obtaining verification of rent. |
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17. |
Interest rate increases and borrower no longer qualifies. |
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18. |
Loan program changes with higher rates, points and fees. |
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19. |
Child-support not disclosed on application. |
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20. |
Bankruptcy within the last two years. |
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21. |
Mortgage payment is double the previous housing payment. |
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22. |
Borrower/coborrower does not have steady two-year employment history. |
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23. |
Borrower brings in a handwritten pay stubs. |
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24. |
Borrower switches to a job with a probation period. |
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25. |
Borrower switches from job with salary to 100% commission income. |
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26. |
Borrower/coborrower/seller dies. |
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27. |
Buyer is too picky about property in price range they can afford. |
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28. |
Buyer feels the house is misrepresented. |
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29. |
Veterans DD214 form not available. |
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30. |
Buyer comes up short of money at closing. |
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31. |
Buyer does not properly "paper trail" additional money that comes from gifts, loans, etc. |
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32. |
Buyer does not bring cashier's check to title company for closing costs and down payment. |
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The Seller: |
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33. |
Loses motivation to sell (job transfer does not go through, reconciles marriage, etc.) |
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34. |
Cannot find a suitable replacement property. |
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35. |
Will not allow appraiser inside home. |
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36. |
Will not allow inspectors inside home in a timely matter. |
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37. |
Removes property from the premises the buyer believed was included. |
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38. |
Cannot clear up liens - is short on cash to close. |
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39. |
Did not own 100% of property as previously disclosed. |
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40. |
Encounters problems at getting partners' signatures. |
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41. |
Leaves town without giving anyone Power of Attorney. |
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42. |
Delays the projected move-out date. |
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43. |
Did not complete the repairs agreed to in contract. |
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44. |
Seller's home goes into foreclosure during escrow. |
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45. |
Misrepresents information about home and neighborhood. |
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46. |
Does not disclose all hidden or unknown defects and they are subsequently discovered. |
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The Realtor(s): |
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47. |
Has no client control over buyers or sellers. |
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48. |
Delays access to property for inspection and appraisals. |
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49. |
Does not get completed paperwork to the Lender in time. |
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50. |
Inexperienced in this type of property transaction. |
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51. |
Takes unexpected time off during transaction and can't be reached. |
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52. |
Misleads other parties to the transaction - has huge ego. |
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53. |
Does not do sufficient homework on their clients or the property and wastes everyone's time. |
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The Lenders(s): |
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54. |
Does not properly pre-qualify the borrower. |
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55. |
Wants property repaired prior to closing |
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56. |
The market raises rates, points or costs. |
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57. |
Borrower does not qualify because of a late addition of information. |
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58. |
Lender requires a last-minute second appraisal or other documents. |
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59. |
Lender loses a form or misplaces entire file. |
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60. |
Lender doesn't simultaneously ask for all needed information. |
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61. |
Lender doesn't fund loan in time for close. |
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The Property: |
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62. |
County will not approve septic system or well. |
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63. |
Termite report reveals substantial damage and the seller is not willing to fix. |
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64. |
Home was misrepresented as to size and condition. |
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65. |
Home is destroyed prior to closing. |
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66. |
Home is not structurally sound. |
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67. |
Home is uninsurable for homeowner's insurance. |
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68. |
Property incorrectly zoned. |
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69. |
Portion of home sits on neighbor's property. |
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70. |
Unique home and comparable properties for appraisal difficult to find. |
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The Escrow/Title Company: |
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71. |
Fails to notify lender/agents of unsigned or unreturned documents. |
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72. |
Fails to obtain information from beneficiaries, lien holders, insurance companies or Lenders in a timely manner. |
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73. |
Lets principals leave town without getting all necessary signatures. |
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74. |
Loses or incorrectly prepares paperwork. |
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75. |
Does not pass on valuable information quickly enough. |
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76. |
Does not coordinate well, so that many items can be done simultaneously. |
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77. |
Does not bend the rules on small problems. |
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78. |
Finds liens or other title problems at the last minute. |
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The Appraiser: |
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79. |
Is not local and misunderstands the market. |
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80. |
Is too busy to complete the appraisal on schedule. |
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81. |
No comparable sales are available. |
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82. |
Is not on the Lender's "approved list". |
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83. |
Makes important mistakes on appraisal and brings in value too low. |
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84. |
Lender requires a second or "review" appraisal. |
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Inspectors: |
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85. |
Pest inspector not available when needed. |
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86. |
Pest inspector to picky about condition of property. |
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87. |
Home inspector not available when needed. |
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88. |
Inspection reports alarm buyer and sale is canceled |
Phillip Jones, Broker/Owner
Your Choice Real Estate, Inc.
Phone: (904) 298-2679 Ext 501
E-Mail: email me for more info
www.ycre.net

Announcement - SOLD & Closed!
Your Choice Real Estate is pleased to announce the successful closing of 5174 SAND RIDGE , JACKSONVILLE , FLORIDA ; 32258.
The deal closed on 11/06/09. The original asking price was $176,000 and the final sale price was $174,000 representing 98.9% of the list price. The home was listed on September 3, 2009 and went into contract in 47 days on October 20, 2009. This is shorter than the national and regional average DOM of 209 days.
The sellers listed the property with Jamie Walker (904-268-6700) of Floridian Realty (904-268-6700).
The buyer was represented by Phillip Jones (904-298-2679 Ext. 501) of Your Choice Real Estate of Orange Park, FL.
Funding was provided from Sun Trust Mortgage, Inc. The transaction was closed by Title America of Jacksonville, Florida.
Special thanks go to everyone involved for pulling together this transaction.
For more information about the services the sellers used to get such great results call or email me anytime.
Phillip Jones, Broker/Owner
Your Choice Real Estate, Inc.
Phone: (904) 298-2679 Ext 501
E-Mail: email me for more info
www.ycre.net

Announcement - SOLD & Closed!
Your Choice Real Estate is pleased to announce the successful closing of 5015 ORTEGA, JACKSONVILLE, FLORIDA ; 322105.
The deal closed on 10/14/09. The original asking price was $339,900 and the final sale price was $291,000 representing 72.8% of the list price. The home was listed on February 28, 2009 and went into contract in 216 days on October 2, 2009.
The sellers listed the property with Amy Powell (904-327-3933) of Re/Max Specialists.
The buyer was represented by Mari Schmid (904-318-2477) of Your Choice Real Estate of Orange Park, FL (904-298-2679)
Funding was provided from Equity Mortgage Group Inc. The transaction was closed by HomeGuard Title & Trust of Orange Park, Florida.
Special thanks go to everyone involved for pulling together this transaction.
For more information about the services the sellers used to get such great results call or email me anytime.
Phillip Jones, Broker/Owner
Your Choice Real Estate, Inc.
Phone: (904) 298-2679 Ext 501
E-Mail: email me for more info
www.ycre.net

Announcement - SOLD & Closed!
Your Choice Real Estate is pleased to announce the successful closing of our listing at 236 Charlemagne , Ponte Vedra, FL ; 32082.
The sellers listed the property with Phillip Jones (904-298-2679 Ext 501) and selected our MLS Assist listing format.
The deal closed on 10/8/09. The original asking price was $299,999 and the final sale price was $275,000 representing 91.7% of the list price. The home was listed on June 22, 2009 and went into contract in 78 days on September 8, 2009. This is shorter than the national and regional average DOM of 209 days.
The buyer was represented by David Gotto (904-887-5967) of Watson Realty Corp.
The transaction was closed by Keith Watson Title Services, Ponte Vedra Beach FL.
Special thanks go to everyone involved for pulling together this transaction.
For more information about the services the sellers used to get such great results call or email me anytime.
Phillip Jones, Broker/Owner
Your Choice Real Estate, Inc.
Phone: (904) 298-2679 Ext 501
E-Mail: email me for more info
www.ycre.net

Announcement - SOLD & Closed!
Your Choice Real Estate is pleased to announce the successful closing of 3750 SILVER BLUFF BLVD 2706 , ORANGE PARK , FLORIDA ; 32065
The deal closed on 8/31/09. The original asking price was $120,000 and the final sale price was $120,000 representing 100% of the list price. The home was listed on May 8, 2009 and went into contract in 137 days on August 31, 2009. This is shorter than the national and regional average DOM of 209 days.
The sellers listed the property with Michael Morris (904-422-4446) of RE/MAX Specialists.
The buyer was represented by Phillip Jones (904-298-2679 Ext. 501) of Your Choice Real Estate of Orange Park, FL
Funding was provided from Prime Lending, a Plains Capital Company. The transaction was closed by HomeGuard Title & Trust of Orange Park, Florida.
Special thanks go to everyone involved for pulling together this transaction.
For more information about the services the sellers used to get such great results call or email me anytime.
Phillip Jones, Broker/Owner
Your Choice Real Estate, Inc.
Phone: (904) 298-2679 Ext 501
E-Mail: email me for more info
www.ycre.net

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