Anyone wait until sellers sent the docs back to wire money?

[MooseBucks]

Now that I am through ROFR and onto the fun time of waiting for closing docs, I wanted to see if folks just send the closing docs with a cashiers check or wait until the sellers send their docs back in to wire the funds? I'm tempted to wait and wire the funds because subconsciously I think this will help speed the seller up in getting their docs back. What did you do or what would you do in the future?

 

[DduzDis]

I think the Seller will do what they are going to do. I had my docs back and the money wired within 2 hours of receiving, but my seller was selling multiple contracts and waited to have all of them before going to the notary. It was a few days before the docs were returned (which I think is still reasonable). It's already a long process. I didn't want to be one that held it up longer.

 

[Matty B13]

The funds are wired to the closing company and they hold the funds till the deed is recorded. The funds are not released to the seller till after the deed is recorded. If something were to go wrong after the funds were released to the seller, the closing company would be in a lot of trouble.

 

[MooseBucks]

The funds are wired to the closing company and they hold the funds till the deed is recorded. The funds are not released to the seller till after the deed is recorded. If something were to go wrong after the funds were released to the seller, the closing company would be in a lot of trouble.

True, but if the seller disappears how long and hard of a process is it for me to get my money back? I would think it is safer/easier to just have them contact me when the seller's docs are received and I can wire the money at that point.

Henry

 

[Matty B13]

I have seen people suggest leaving it with the closing company to use it towards another contract in that case where a seller didn't sign closing contacts. I haven't had any problems with the 2 closing I went through so I couldn't tell you the turn around time and costs.

 

[DduzDis]

True, but if the seller disappears how long and hard of a process is it for me to get my money back? I would think it is safer/easier to just have them contact me when the seller's docs are received and I can wire the money at that point.

Henry

I actually wired too much for closing. The title company wired the overage back to me that day. I did have to cover the bank fee, but it was my oversight so no worries there.

 

[pirate33]

I actually wired too much for closing.

I did this too! I was surprised a few weeks later to receive a check from the title company for $1000. I think I forgot to deduct the deposit I had already made. I was glad for the title company's honesty because while I'm quite careful in tracking our money, I doubt I would have revisited these entries in Quicken and discovered my error.

 

[ELMC]

Now that I am through ROFR and onto the fun time of waiting for closing docs, I wanted to see if folks just send the closing docs with a cashiers check or wait until the sellers send their docs back in to wire the funds? I'm tempted to wait and wire the funds because subconsciously I think this will help speed the seller up in getting their docs back. What did you do or what would you do in the future?

I suppose you could, but what if the seller is waiting for you to send the money before they send their documents? It's not a big deal to get the money back should the sale fall through and I think that in delaying you are adding in some potential hiccups that are not needed.

 

[sndral]

Be sure to check w/ your bank and the escrow co.'s bank about how much wiring the funds will cost.
Personally, at this point the seller is the one operating on trust - the seller's contract details have been verified. The remaining unknown is if the buyer actually has the funds to close the deal. In my case I really wanted the contract and figured if the seller's knew that the cash was at the title co. just waiting for them they'd have an incentive to send the doc.s. faster.

 

[pirate33]

Regarding the original point, I would check the contract to be sure you are not in breach by not sending the money. I would not want to be at risk of losing my deposit. In any event, per the posters above, I see no reason to delay sending the funds to escrow so that you can close the transaction. You want to get the deal done! If you send the money and the sellers are in breach by not doing what they are supposed to do, then you'll get your money back from escrow. That what escrow is for.

 

[CarolMN]

Now that I am through ROFR and onto the fun time of waiting for closing docs, I wanted to see if folks just send the closing docs with a cashiers check or wait until the sellers send their docs back in to wire the funds? I'm tempted to wait and wire the funds because subconsciously I think this will help speed the seller up in getting their docs back. What did you do or what would you do in the future?

I would send the money with the documents. Anytime you depart from the "norm" you add opportunity for mistakes and delay. Not worth it.


FWIW, if I were the seller, and a buyer did that, I'd start wondering if the buyer was thinking about backing out or maybe didn't even have the money to close.

 

[MooseBucks]

Regarding the original point, I would check the contract to be sure you are not in breach by not sending the money. I would not want to be at risk of losing my deposit. In any event, per the posters above, I see no reason to delay sending the funds to escrow so that you can close the transaction. You want to get the deal done! If you send the money and the sellers are in breach by not doing what they are supposed to do, then you'll get your money back from escrow. That what escrow is for.

Nothing in the contract says I have to send the money at the same time as I send the closing docs back. It does state that the contract must be closed within 90 days.

When does a mortgage company actually fund the mortgage? From my homebuying/selling experience the closing agent sent all the signed documents from both the buyer and seller to the mortgage company and then the mortgage company funded the mortgage.

 

[Matty B13]

Are you using a home equity loan? or paying cash? or using some other type of loan? If you have the money already, I would just send it in to the closing company.

 

[MooseBucks]

Are you using a home equity loan? or paying cash? or using some other type of loan? If you have the money already, I would just send it in to the closing company.

Cash

 

[Matty B13]

I would just send it in then.

 

[Shellyred8]

I would send it in and have it all done from your side. Then, if there is a delay of any sort, you know it's not your fault.

In our situation, the closing company sent us a pre-paid fed-ex label for us to use to send a cashiers check. So we sent our paperwork along with our check. We also had a small hiccup on our side in that we didn't send enough to the closing company. The closing company had sent us both the seller's closing statement and the buyers closing statement. We looked at the wrong one when making out the check. Woops!! So, it cost us an extra amount to have a second cashiers check created and fed-ex'd to them. We will pay closer attention next time!!

Good luck with your purchase!!

 

[Sean91]

We just sent, it's the title company and not the seller that you wire funds too and with us being international it can take upto two weeks for the funds to get to their destination according to my bank. We didn't want to prolong it anymore then we had too.

 

[ScubaCat]

I actually wired too much for closing. The title company wired the overage back to me that day. I did have to cover the bank fee, but it was my oversight so no worries there.

Going over a little is actually a recommended practice, because being under even by a dollar will hold up closing. I always add $200 when I close on a house, for instance. Sometimes a fee will change or something small was missed. When I sold my previous house, the lawyer that handled my prior closing forgot to record the lien release and I had to pay for that a second time when I went to sell. Sucks, but it is what it is and I wasn't about to waste my time going after a law firm for $45. However, the shortage would have held up the closing, hence adding the small amount of extra cash to the wire. They refund it immediately after you close anyway.

I did this too! I was surprised a few weeks later to receive a check from the title company for $1000. I think I forgot to deduct the deposit I had already made. I was glad for the title company's honesty because while I'm quite careful in tracking our money, I doubt I would have revisited these entries in Quicken and discovered my error.

That's a standard part of closing a real estate transaction. Once they send out all the disbursements per the contract, they refund the rest back to the buyer in order to close the escrow account. They wouldn't be in business very long if they tried to keep that money.

 

[mustinjourney]

I did this too! I was surprised a few weeks later to receive a check from the title company for $1000. I think I forgot to deduct the deposit I had already made. I was glad for the title company's honesty because while I'm quite careful in tracking our money, I doubt I would have revisited these entries in Quicken and discovered my error.

I did the same thing! Getting a check was a nice surprise.