The Secrets to a Smooth Closing: How to Stay Ahead of Last-Minute Surprises

I remember one of my first closings when a seller screamed at me because she needed the funds to close on her new home that day, but the wire wouldn’t go through until the next. In another deal, a seller discovered—just two days before closing—that her mortgage payoff was $50,000 more than expected. She called us in tears, realizing the money she planned to live on for the rest of her life was gone.

The worst, though, was when sellers unknowingly had four mortgages, leaving them $25,000 short at closing. Due to poor communication, they agreed to terms they didn’t fully understand. After all documents were signed, the buyer had already started moving in when the title company called to collect—only to learn the sellers had no idea they owed the money and couldn’t pay.

Since then, I’ve experienced both smooth and bumpy closings, each one teaching me something new. The biggest lesson? Smooth closings don’t happen by chance. They require intentional planning, clear communication, and solid systems. Checklists have become my best friend—and they’ve made all the difference

Here are a few my top tips for smooth closings:

1. Set CLEAR expectations from the start - about who is paying closing costs, etc…..

2. Get information such as HOA, mortgage, age of major mechanicals(roof, AC, water heater), utility/water company, etc….at the start to keep the process as smooth as possible and mitigate unnecessary back and forth communication.

3. Make sure your title company orders mortgage payoffs and HOA/POA estoppels right away as these can sometimes take a long time to obtain. Getting ahead of it will help mitigate delays.

4. Make sure any liens or payoffs that come back from the title search are communicated CLEARLY and immediately; I ask the title company to communicate these amounts to the seller. Side tip, a great title company is a huge asset as they can help you with a lot of conversations which might be more nuanced if you were to have them.

   1. P.S. (any mortgages, taxes, or liens owed over a couple hundred dollars, I prefer to communicate over the phone to prevent complications down the line.)

5. When it comes to mobile homes, find out if the seller has a VIN or serial number upfront, if they don’t, you will likely need to sign a hold harmless or insurance exemption doc which can make it tough to resell down the line. I’ve heard that between 30-50% of mobile homes are ghost mobile homes, so tread lightly and do your due diligence.

6. If your(or your client’s) assignment fee is over $15,000, ask for a double close or blind HUD. If you’re doing a double close you will need two formal contracts(between you and seller AND between you and buyer), if you’re doing a bind hud, one formal contract between you and the seller and an assignment of contract assignment between you and the buyer will suffice. Not all title companies prepare blind HUDs, so make sure you interview them thoroughly and find an investor friendly title co.

7. Review the HUD/ALTA a few days before - and have all parties do so as well

8. Schedule all parties to pre-sign closing docs so that the money can be released to the sellers first thing the day of closing.