Can closing be delayed?
Can closing be delayed? What to do when the closing date slips — and how to protect yourself.
Quick answer
Yes. Closing can be delayed. That’s not drama — it’s a predictable risk in the closing process. Know the causes, the costs, and the fixes. Do the right steps now and you don’t lose money or control.
Why closings get delayed (short list)
- Financing issues: lender conditions, appraisal delays, rate-lock expiries.
- Title or legal problems: liens, missing documents, probate issues.
- Seller or buyer problems: illness, financing falling through, miscommunications.
- Municipal or inspection hold-ups: building permits, occupancy certificates, repairs.
- Paperwork and scheduling: lawyers, notaries, and document errors.
Each one can push a closing by days or weeks. Understand which bucket your deal is in and act fast.
Real costs of a delayed closing
A delay isn’t just an inconvenience. Expect tangible costs:
- Penalties or interest if your mortgage rate lock expires.
- Additional moving or storage fees.
- Daily occupancy or rental costs if possession changes.
- Risk of deal collapse and forfeited deposit.
Contracts matter. Many agreements contain extension clauses, liquidated damages, or default remedies. Read them. Use them.
Immediate steps if your closing is at risk
- Communicate: notify all parties — lender, lawyer, seller/buyer, and agent — the moment you suspect a delay.
- Confirm the cause: get specifics. Which document, which party, which deadline?
- Negotiate an extension in writing: short, specific, and signed by both sides.
- Ask the lender for a conditional commitment or temporary rate extension.
- Protect funds: ensure deposit and closing funds are secure; consider escrow modifications.
- Push for parallel fixes: order expedited title searches, urgent inspections, or priority courier services.
Do these six steps now and you reduce the chance of the deal collapsing.
How to prevent closing delays — a practical checklist
- Start early: lock financing and order appraisal 3–4 weeks before closing.
- Use a closing checklist: document list for lender, lawyer, and client.
- Clear title ahead: address liens and outstanding taxes before offers are accepted.
- Build buffer days into the contract: choose a realistic closing window, not a single day.
- Confirm all professionals’ availability: lawyer, notary, movers, and bank.
Prevention is cheaper than scrambling.
Why work with an expert realtor
A skilled realtor anticipates delays and negotiates extensions before they become crises. Tony Sousa has handled hundreds of closings. He identifies red flags, coordinates lenders and lawyers, and protects your deposit and timeline. Simple steps, executed early, save weeks and thousands.
If your closing is at risk or you want a pre-closing risk assessment, email tony@sousasells.ca or call 416-477-2620. Visit https://www.sousasells.ca for a checklist and a free consult.
