J

Thanks again Jeffrey!

I agree and thought the same regarding the buyer and his lending company. I can't imagine any lending company to allow a closing on a house that is now damaged. I know that the buyer told them about the situation, because the 24th is actually the date they extended the closing to. Not sure if they would extend it once again or if they told the buyer that a closing wasn't possible until repaired.

We are going to hit the insurance company with a barrage of questions on Monday. We really have to find out about the stipulation of both the lender and us endorsing the check. One of my biggest concerns is the amount of time it will take for authorization and repair. Depending and waiting on the insurance company doesn't give me a warm and fuzzy feeling. ;-)

Thanks again! - Sun Jun 8 2008, 13:54

Hi Jeffrey,

Thanks for your assistance! Sorry, I am not being completely clear on my question. Mostly because it is such an "untraveled" territory from any previous experiences I have had with closings. I will try to explain as best I can.... Mostly, the owner REALLY wants to close on the house by the 24th of June, (maybe not take possession just yet, don't know) so that his locked in interest rate won't be lost. When speaking with the insurance adjuster today who assessed the damage, it will be well over 5,000 dollars. Because of that amount, Liberty Mutual requires that the payment check be endorsed by both the homeowner (us) and our mortgage holder (Countrywide). We were also told that we will not hear anything back from the company to start repairs for another 7-10 business days.

If we close prior to even receiving any payment, how will those requirements be met? (Having the mortgage company, who no longer has the property, sign the check). Also, what are our legal rights to ensure the work is done to the satisfaction of the buyer if we no longer own or occupy the property? The owner is most concerned about the interest rate; we are most concerned that closing before the work is done may cause some confusion and liabilities.

We just want to know if it is "legal" or even wise to close before any work has taken place or any check is "not" in the mail. :-) Don't know if that is clearer or perhaps worse than before? ;-)

Thanks again! - Sat Jun 7 2008, 18:55