Funds delayed for closing

[CanadianDVC2024]

Im a buyer and our closing date is next Monday. My funds are stuck in wire transfer hell. I don’t think funds will arrive on time for our Monday close. Bank says it will arrive likely Tuesday or Wednesday. Can seller cancel sale and I lose my deposit? What recourse do I have if it’s a banking issue. I received closing documents on December 19th and closing is scheduled for January 6th. I should never have agreed considering all the closures for the holidays.

 

[Brian Noble]

If it were me, I’d talk with the broker and let them know. It is very likely that everyone will agree to push the date, especially if you’ve shown you asked for the transfer in a timely way.

 

[clh2]

Deleting my comments…I was responding as if this were a regular house purchase, not DVC.

But want to wish you some good vibes for a successful outcome! My guess, this is probably not the first time this has happened.

 

[Matty B13]

Let the broker know ASAP, I'm guessing a 1 to 3 day delay will be fine with the seller and the broker. No one wants to go through ROFR and the closing process twice.

 

[VandVsmama]

Notify the broker. We had this happen to us earlier this month on our resale purchase and it worked out ok.

 

[juliebee]

The seller doesn't want to go through this process again with a different buyer, so I'd guess you'd be fine. Let the broker know and with the holidays, it makes sense for them to be patient for a couple days.

 

[Jimmy Geppetto]

Just because the closing date was set as January 6th 2025 doesn’t necessarily mean you are in violation of the contract. Based on the escrow company issuing closing docs on December 19th, I would assume your contractual closing date is more like the mid to end of January. It will be stated in your contract. It’s usually 60 to 90 days after signing the contract.

If January 6th is your official last day to close, and you can prove you’ve started the wire and funds have left your account, I’d be surprised if the seller doesn’t accept an extension.

As a fellow Canadian, this is why I avoid wires and instead send a bank draft mailed via UPS or Canada Post Express (before the strike).

 

[AstroBlasters]

Im a buyer and our closing date is next Monday. My funds are stuck in wire transfer hell. I don’t think funds will arrive on time for our Monday close. Bank says it will arrive likely Tuesday or Wednesday. Can seller cancel sale and I lose my deposit? What recourse do I have if it’s a banking issue. I received closing documents on December 19th and closing is scheduled for January 6th. I should never have agreed considering all the closures for the holidays.

I would let the title agent know and CC the broker.

The sellers likely want their cash and not to have to go through the process of listing, offers, ROFR, paperwork, and closing again over 1-2 days.

 

[thank_the_phoenicians88]

It all depends on what you signed in the agreement. I sold a contract last week and the language noted that I had the right to terminate the sale if the buyer failed "to perform any of his obligations hereunder". The buyer procrastinated, went on vacation, and sat on the documents for over a month and they were at risk of missing the 12/24 close date. They asked for an extension, and I said no. While going through ROFR would be a pain, I wasn't in a hurry to get the funds, and I knew my contract would sell quickly. So to me, holding to the agreement was a win/win - either I get half of the escrow or I get the contract sold.

 

[CanadianDVC2024]

Funds arrived today. Just in time for closing. Yay.

 

[disneylandtour]

This should be OK. You should have a transfer number. Or if you were able to do it directly through your bank app, a screen shot. Also, you should have a "pending" transfer line in your bank account that you can send as a screen shot as proof as well.