Doug Kenny & The Kenny Team -- Montgomery County Real Estate

Situations Where a Real Estate Agent Can Help

These are the Problems I Promise to Overcome
on Every Real Estate Transaction:

It is the wise agent who prepares for problems before they happen! I also believe in this concept for my business. For this reason I would like to share my problem checklist that keeps me busy every day. Since no escrow is closed until it is closed, the following items are our potential roadblocks.

I wanted you to understand these potential problems for the following reasons:

1. A transaction cannot close until escrow has cleared all of the following problems.

2. To let you know that I have great experience in heading off these potential pitfalls and thus can hopefully make you feel more secure in that you chose the correct broker.

3. To make these pitfalls clear to all the parties we are working with so that problems can be discovered early.

4. To make you aware of these pitfalls so that you can warn me of any potential problems.

15 years of experience and many successful closings have armed me with tools to overcome the problems encountered here. It would, however, be unfair for me to say that every problem can be solved. I have placed a delay of closing estimate next to each problem and the ones with asterisks (*) are potential deal-killers. Here we go:

LENDER

Lender does not properly pre-qualify borrower	2 weeks or *
Lender decides last minute they don't like borrower	2 weeks or *
Lender decides last minute they don't like the property	2 weeks or *
Lender wants property repaired or cleaned prior to close	1 to 3 weeks
Lender raises rates, points, or costs	2 weeks or *
Borrower does not qualify because of a late addition of information	2 weeks or *
Lender requires, last minute, a re-appraisal	2 weeks or *
The borrower does not like the fine print in the loan documents that we receive 3 days before close	3 days or *
Lender loses file	1 to 3 weeks
The lender does not simultaneously ask for information from the buyer, they ask for information in bits and pieces	1 to 4 weeks

THE UNCOOPERATIVE AGENT:

Won't return phone calls	1 to 3 weeks
Transfers to another office	1 week
Did not pre-qualify the client for motivation	2 weeks or *
Goes on vacation and leaves no one to handle file	1 to 4 weeks
Does not understand or lacks experience in real estate	1 week or *
Poor people skills with buyer	1 to 3 weeks
Gets client upset over minor points	1 to 3 weeks
Does not communicate with their client	1 to 4 weeks

THE BUYER:

Did not tell the truth on loan application	1 week or *
Did not tell the truth to their agent	1 week or *
Submits incorrect tax returns to lender	4 weeks or *
Lacks motivation	1 week or *
Source of down payment changes	1 week or *
Family members do not like purchase	1 week or *
Is too picky regarding condition	1 week or *
Finds another property that is a better deal	1 week or *
They are "nibblers" (Always negotiating)	1 week or *
The buyers bring an attorney into the picture	2 weeks or *
They do not execute paperwork in a timely manner	3 weeks or *
They do not deliver their money in a "check cleared" fashion to the closing agent	3 weeks or *
Job change, illness, divorce, or other financial setback	3 weeks or *
Comes up short on money	1 week or *
Does not obtain insurance in a timely manner	1 to 4 weeks

ESCROW:

Fails to notify agents of unsigned or unreturned documents so that the agents can cure the problems relating to same	1 week or *
Fails to obtain information from beneficiaries, lien holders, title lien holders, title companies, insurance companies, or lenders in a timely manner	1 week or *
Lets principals leave town without getting all necessary signatures	1 to 2 weeks
Incorrect at interpreting or assuming aspects of the transaction and then passing these items on to related parties such as lenders, attorneys, buyers and sellers	1 week or *
Too busy	1 t o 3 weeks
Incorrectly prepares paperwork	1 to 3 weeks
Does not pass on valuable information fast enough	1 to 4 weeks
Does not coordinate well so that many items can be done simultaneously	1 to 4 weeks

SELLER:

Loses motivation (i.e. job transfer did not goe through, etc.)	1 week or *
Illness, divorce	1 week or *
Has hidden defects that are subsequently discovered	1 week or *
Unknown defects are discovered	1 week or *
Home inspection reveals average amount of small defects that the seller is unwilling to repair	1 week or *
Gets attorney involved	1 week or *
Removes property from premises that the buyer believed was included	1 to 3 weeks
Is unable to clear up problems or liens	1 week or *
Last minute solvable liens are discovered	1 to 3 weeks
Seller did not own 100% of property as previously disclosed	1 week or *
Seller thought partners signatures were "no problem" but they were!	1 week or *
Seller leaves town without giving anyone power of attorney	1 to 4 weeks
The notary did not make a clear stamp when notarizing the sellers signatures	3 days - 1 week
Seller delays the projected move-out date	1 day or *

THE APPRAISAL:

The appraiser is not local and mis-understands the market	1 to 3 weeks
No comparable sales are available	1 week or *
Appraiser delays (too busy, etc.)	1 to 3 weeks
Incorrect appraisal	1 to 3 weeks
Appraisal too low`	1 week or *

THE INSPECTION COMPANY:

Too picky	1 day or *
Scares buyer	1 week or *
Infuriates seller	1 week or *
Makes mistakes	1 to 3 weeks
Delays report	1 week or *

THE TITLE COMPANY:

Does not find liens or problems until last minute	1 week or *
Does not bend rules on small problems	1 to 3 weeks
Poor service	1 to 3 weeks
Loses paperwork	1 to 2 weeks

ACTS OF GOD:

Earthquake, tornado, fire, slides, etc.

1 week or *

I appreciate the time you have spent to understand the challenging time between contract acceptance and close. Pleased be assured that I will pay attention.