Coinciding (or back to back) Settlements

Coinciding (or back to back) Settlements

Coinciding or "same day settlements" frequently don't work as planned.

Usually they are complicated by extenuating circumstances and cause enormous stress at a time that is already inherently stressful for buyers and sellers to begin with.

Real estate transactions are inherently tedious in detail, and exceedingly prone to breech by the slightest slip up by one tiny player. There are so many parts in the entire process and any minor oversight of one component in the process can seriously impact or delay a settlement to everyone's frustration. 

Mortgage officers, loan underwriting staff, loan processors, title attorneys, title processors, realtors, buyers, sellers, family emergencies, movers, appraisers, and many more all have crucial impact on the timely success of any contract purchase/sale.

Frequently, buyers and sellers attempt to coordinate the timing of a buying transaction upon the completion of a selling transaction of the previous home, find themselves trapped in a highly vulnerable position when the details of the selling transaction get delayed for one reason or an other. 

Without any room for error factored in before the purchase transaction must occur, you could be forced to accept a highly unfavorable situation in order for the seller of your purchase property to agree to accommodate your need to adjust settlement terms or dates at the last minute.

These situations cause hostilities and bitter recriminations to flare up at the drop of a hat. The consequences can be overwhelming for a buyer.

Do yourself a HUGE favor and plan an overlap of at least 2 weeks between moving out of an old property and settling on a new one.

The Good News

Fortunately, there are solutions to this problem and Dan vehemently encourages utilizing these alternatives rather than positioning yourself for failure. Pre/Post settlement occupancy, double moves, and bridge loans all have negative aspects to them but in the long run they can go a long way in making your life easier in complicated housing situations.

Ask Dan about the options and consequences of any of these courses of action.