Last Minute Closings Put Tax Credit Opportunity At Risk
Guest post. Janice Burgess from the Virginia Housing Development Authority has some wisdom to share:
Take note—this June won’t be normal for end-of-month closings. Lenders and settlement agents across Virginia anticipate a very high volume of closings scheduled to beat the June 30 federal tax credit deadline. To make sure your homebuyers don’t miss out on their tax credit, be proactive.
Schedule closings on different days of the week—the earlier in June the better. Don’t wait until the end of the month just to save your buyer per diem interest, only to have them miss the deadline. Closing earlier allows time to resolve unforeseen problems.
Help prevent holdups by encouraging buyers to provide documentation to their lender ASAP and arrange for homeowners insurance well in advance of closing. Their response, and your guidance, can make a difference in meeting the scheduled closing date.