Or if I’m being optimistic lets call it a FUTURE CLOSING…I hope!
So here’s how things went down…
4/30/09 – Closing scheduled directly with Seller’s attorney’s office (I have the Buyer) with carbon copy (acknowledged) by lender setting closing for today, 5/6/09 @ 11am. It feels like a ho-hum transaction with client having no difficulty with lender issues and really only concern being Seller vacating property by closing…elderly, non-English speaking Seller.
5/4/09 -Primary client contact with CitiMortgage says client/Buyer is ‘clear to close’ and 5/6 closing date seems solid.
5/5/09 – Strangely my office gets an e-mail correspondence from Citi’s loan processor midday asking whether or not the closing has been scheduled (don’t these guys communicate with one another?? See 4/30). Nonetheless once she’s set straight she claims we’re still fine to close 5/6 @ 11 a.m. Yet, as of close of business title company has no lenders figures nor a lender’s mortgage package. So I’m getting concerned.
5/6/09 -
9am – Still no lender figures/package at title company and calls to lender go unanswered…I’m thinking we’re not closing at 11am.
10am – Client calls to say walk-thru went well…sort of suprising and the only good news for today. I’m on hold not wanting to head out to Seller’s attorney office since I know nothing will happen without lenders stuff. So I work the phones and continue to hear nothing from Citi’s loan processor.
11am – Finally hear from loan processor who says the closing is canceled because of a problem with the title company’s closing protection letter. The problem? I kid you not, the title company’s logo hadn’t come though on the letter and this had Citi canceling the closing like that.
1130am – We go over loan processors head and issue is resolved and closing’s back on set for 2pm.
**Good news, but a bit of communication upfront sure would have avoided unnecessary frustration.
2pm – We show-up at Seller’s attorney for closing. Seller has pre-signed and attorney isn’t around. Seller’s figures are wrong and attorney can’t be reached via telephone. I make necessary HUD corrections and we proceed to sign Buyer’s mortgage package. Slight delays on Buyer’s two wires hitting but within the realm of normalcy.
330pm – Couple major problems…corrected HUD now shows Seller owing some $500. No big deal, unless your attorney had suggested to you several hours before that you’d be receiving proceeds of $10,000! Yikes and Seller doesn’t just rush in with the $450…she’s pissed. Meanwhile, listing real estate agent doesn’t appear at closing and no one knows where the property’s keys are.
415pm – Seller can’t be tracked down and Seller’s attorney still nowhere to be found. We dry close with Seller’s attorney to meet with client first thing tomorrow morning to explain how +$10,000 became -$450. And there’s nothing unethical going on with attorney just overlooked some Seller costs and unfortunately has created unrealistic expectations with Seller.
Ugh!! A consistent lender problem: bad communication. On the attorney side, it ain’t rocket science, but thoroughness and an attention to detail are critical.
Tomorrow: The Conclusion…I think.
Closed?
It did actually. Real estate brokers cut their commissions by $450…god forbid the attorney who didn’t know what he was doing cut his fees at all.
I am curious what seller charges the seller’s attorney overlooked. They must have been significant to add up to over $10,000.
Oh the main chunk was just the real estate brokers commission. And then there was a 3% closing cost credit in the deal. Just must have rushed but real distorted client’s expectations.