3 Reasons You Might Lose Out On Your Dream Home and Keys to Success

April 24, 2017

Purchasing a house can be stressful. There are a lot moving parts of the transaction that are managed by the realtor, lender, and the buyer. If any of these puzzle pieces isn’t done properly or is done poorly it can significantly impact the ability for the loan and thus the transaction to close.  Having a deal fall through is a nightmare for all parties involved.  There are several things that can cause a deal to die.  I have outlined below 3 common causes of a home purchasing falling flat on its face and a key to success to prevent it from happening.  These are certainly not the only things that could go wrong and my brief list below is not in any particular ranking or order.  Here we go:

  • Lack of Communication

    • Poor communication across all parties is severely detrimental to the success of a purchase transaction.  If the realtor and lender are not on the same page or communicate with each other regarding expectations for one another, the transaction can sour quickly.  If the lender and buyer are not communicating effectively documents needed and timeline for closing the buyer may begin to look negatively upon the enter homebuying experience.

    • Key to Success: Communicate with all parties.  Whether you are the lender, realtor, or buyer, you need to truthfully express your expectations for how the deal should go.


  • Credit Score Changes during loan processing

    • During the loan process its common for the lender to do a soft credit pull to make sure nothing has changed before they close on the loan.  Often times the buyer of the home will go out shopping for the new home and open new lines of credit or other financing options common to new home goods stores.  Opening these new lines can cause delays to the loan process or even negatively affect the scores of the homebuyer’s credit. 

    • Key to Success: As the buyer, do not open any new lines of credit of any kind during the loan process.  As the lender, effectively communicate this to your borrower.


  • Failure to Verify Proper Income and Asset Funds

    • When the homebuyer gets pre approved a good lender will verify all income and asset funds well before


      closing.  Sometimes the lender will simply take the buyers word for what their income is and how much they have available for a down payment.  Taking too long to verify these items can delay the loan process thus delaying or killing the purchase contract. 

    • Key to Success:  As the buyer, make sure you know where your funds are and how much you have.  If you need to draw on a 401k or close out an account, try to have that done before starting the process.  The lender needs to identify and collect the proper documentation early in the process, ideally at the pre approval phase. As the Realtor, you should work with a thorough and experience lender who you know, like, and trust.

Things can go wrong during the home buying process.  The goal is for this not to happen which is why it’s vital that we all communicate and stay connected throughout the transaction to make sure we work as a team all the way to the end.



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State Bank

4080 W Dublin-Granville Rd

Dublin, OH 43017

The State Bank and Trust Co. and its loan officers, are not liable for information, claims or agreements made by/between the public and third-party entities. These third-party entities may include, but are not limited to: builders, developers, or real estate agents. Even though the loan officer co-sponsoring this site makes efforts to update the information contained, much of it is provided by independent vendors and data feeds, and thus, this site may contain errors, outdated information or purchase conditions, promotions, incentives and/or possible omissions. The State Bank and Trust cannot guarantee the accuracy of information provided, and we encourage buyers to complete their own due diligence in making a decision to build or purchase a home. We also suggest that you seek the professional representation/advice of a licensed Realtor®, as well as any other licensed professional that is appropriate to your purchase decision, including, but not limited to: attorney, accountant, or certified financial planner. Visitors to this site are responsible for the use and decisions made regarding the purchase of a home with regards to the information contained herein. The State Bank and Trust Co. is an Equal Housing Lender. 

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