The 5 Biggest Issues Home Sellers Face at Closing

You’ve navigated showings, accepted an offer, and signed a mountain of paperwork. Closing day approaches, and you’re ready to hand over the keys and move on. But being in the home stretch doesn’t mean the deal is done. Home sellers often face many issues at closing, and we’re here to reveal the biggest ones so you can prepare for their possibilities.

Buyer Financing Falls Through at the Last Minute

Your buyer seemed qualified when you accepted their offer. They had pre-approval and steady income, and everything looked solid. Then their lender pulls the plug days before closing. This can happen when buyers make major purchases or change jobs, or when appraisals come in low.

If the issue is on your client’s end, then there’s not much you can do to prepare other than keep backup offers warm just in case. But if it’s an issue with appraisals, then you can do your best to make sure your property holds up to a lender’s standards. You might increase your home’s value with a new roof if it has value-hampering issues, or you might invest in a curb appeal overhaul. Anything you can do to increase your home’s value to an appraiser’s eye will help prevent lenders from pulling out at the last minute.

Inspection Reveals Unexpected Repair Demands

The home inspection report lands, and suddenly your buyer wants you to address a long list of repairs. They’re requesting a new water heater, electrical updates, or foundation work you never saw coming. These emergency repairs right before closing put you in a tough spot.

The best prevention for this is to ensure your home is in excellent condition. Get an inspection yourself, address all major flagged issues, and then decide which nonmandatory fixes you’re willing to count toward closing cost credits instead.

Title Problems Surface During the Search

Title companies dig into your property’s history and sometimes uncover liens, easements, or boundary disputes you didn’t know existed. An unpaid contractor’s lien from a previous owner, an error in county records, or unclear property lines—any of these stalls your closing.

Work with your title company early, review their preliminary report carefully, and address issues immediately rather than waiting until the last week. Everything is probably fine, but you never know and don’t want to find out at closing.

Documentation Goes Missing or Contains Errors

Closing requires specific paperwork, such as permit records, HOA certificates, survey documents, and various disclosures. Your settlement agent will provide a detailed checklist of what you need weeks before closing.

The solution is simple: gather everything immediately.

The Final Walk-Through Reveals Changes

Your buyer conducts a final walk-through, expecting the home to be in the same condition as when they made their offer. But if they discover damage from your move, incomplete repairs, or missing appliances you agreed to leave, they might pull out.

Again, this is a simple fix. Keep the property in showing condition until you hand over the keys. Complete all negotiated repairs before the walk-through, and save your receipts as proof. Do your due diligence, and you should be fine.

These are the biggest issues home sellers face at closing, but you can prevent or at least mitigate all of them with the right preparation. By following the solutions we’ve outlined, you’ll be in a good position to reach closing day ready to celebrate rather than scrambling to solve problems.