Getting a property under contract feels great, but there’s still a lot that needs to happen before closing.
Inspections, financing, appraisals, title work, and deadlines can all bring unexpected issues along the way. Some are easy to handle, while others may require help from your broker or another professional involved in the transaction.
As a new agent, you’ll eventually deal with real estate transaction problems. You won’t always have the answer right away, and that’s fine. What matters is knowing who to ask and making sure the issue gets the attention it needs.
Real estate transaction problems happen, and dealing with them is part of working in the business. For a new agent, the important thing is learning what needs your attention, who needs to be involved, and when it’s time to ask your broker for help.
The Inspection Finds Something
An inspection can bring up things neither you nor the buyer noticed during the showing. It could be an older roof, an electrical concern, an HVAC issue, or something else the buyer wants to know more about.
When that happens, don’t feel like you have to explain what’s wrong or how much it might cost to fix. That’s what the inspector and, when needed, the appropriate contractor or specialist are there for. Once your buyer understands the issue, you can work with your broker and review the contract to determine what comes next.
Financing Slows Down
Even with a pre-approval, things can come up while the loan is being processed. The lender might need another document, have a question for the buyer, or need more time to get something cleared.
As the agent, keep up with where things stand and watch the important dates, but don’t try to answer questions about the loan yourself. That’s a conversation for the buyer and their lender.
If financing starts affecting contractual deadlines or the closing date, that’s when the agent needs to pay close attention. Talk with your broker and communicate with the appropriate parties rather than assuming everything will work itself out.
The Appraisal Creates a Problem
Sometimes the appraisal comes back at a different value than everyone expected, especially when it doesn’t match the contract price. That’s when buyers and sellers are likely to start asking what happens next.
There isn’t one answer that fits every transaction. Take a look at the contract, talk with your broker, and make sure your client understands the options that apply to their particular situation.
This is a good time to review the situation with your broker and make sure your client understands the options available to them under the contract.
A Title Issue Appears
Every now and then, something comes up during the title search that needs to be cleared up before closing. It could be a lien, a question about ownership, or something in the property records that needs a closer look.
If that happens, let the title company or attorney handle the explanation and next steps. You don’t need to figure out the title issue yourself, but you should know where things stand and whether it could affect the closing.
A Deadline Is Getting Too Close
As you get closer to a deadline, make sure you know whether everything that needs to happen is actually on track. If an inspection, financing item, or document is taking longer than expected, follow up before the date comes and goes.
If the delay could affect the transaction and you’re not sure what to do next, that’s a good time to get your broker involved.
A calendar or transaction management system can help, but software won’t follow up for you. You still need to know what’s happening with your transactions.
The Buyer or Seller Gets Frustrated
When a deal hits a snag, don’t be surprised if your client gets frustrated or nervous. They’ve got a lot riding on the transaction, so even a small delay can feel like a big deal to them.
Keep them updated on what you know and what’s still being worked out. And if you don’t have an answer yet, just say so. It’s better to tell them you’re checking on it than to guess or promise that everything will be fine.
Tell your client what you know, explain what’s currently being worked on, and avoid promising an outcome you can’t guarantee.
Sometimes simply knowing that someone is paying attention to the problem can make the situation easier for a client.
Know Who Should Answer the Question
One of the most useful things a new agent can learn is who handles what:
- Financing question? Talk to the lender.
- Inspection question? Let the inspector explain it.
- Title issue? Go to the title professional or attorney.
- Legal question? That’s one for an attorney.
- Contract question you’re unsure about? Start with your broker.
Trying to answer every question yourself doesn’t make you a better agent. Knowing when to bring in the right person does.
Not Every Transaction Will Close
Sooner or later, you’re going to have a deal that falls apart. Maybe financing doesn’t work out, something comes up during the inspection, or the transaction just doesn’t make it to the closing table. After spending weeks working on it, that’s never a good feeling.
When it happens, sit down with your broker and go over what happened. There may be something you could have caught earlier, or it may have been completely out of your hands. Either way, you’ll know a little more the next time you run into a similar situation.
Then get back to work. Deals fall through sometimes. It’s part of the business.
Learn the Business at LEAP
You can learn a lot about real estate in the classroom, but some things start making more sense once you’re working with actual buyers, sellers, and transactions. Having a solid foundation before you get there can make a big difference.
LEAP Real Estate Academy in Orlando offers the Florida Sales Associate Pre-Licensing course to help you learn the business and prepare for your next step toward becoming a real estate professional.
If a career in real estate is something you’ve been thinking about, enroll with LEAP today and start working toward your Florida real estate license.
