Changing the closing date for your home purchase

Quick insights

Whether you want to move up or extend your closing date in the midst of purchasing a home, the process begins with effective communication. Keep in mind there are benefits and drawbacks for each party. Ultimately, everyone involved in the real estate transaction will have to agree to the change.

When is your closing date?

When you’re buying a home, the closing date is usually set after the offer is accepted, generally at least 30 days from that acceptance. Even that is generally considered a fast settlement. The exact timing is based on the seller’s availability, the lender’s processing times and other factors, such as the complexity of the sale or local market conditions.

Can you move up your closing date?

While it may be possible to request an earlier closing date, approval is not guaranteed. Moving up the closing is not always feasible because of factors such as mortgage processing times and other contractual or regulatory requirements. It is generally recommended that buyers communicate with their real estate agent on how to approach the request and communicate with the seller.

If the seller is unwilling to accommodate an earlier closing, negotiation might be possible. To help the process, buyers could offer concessions or compromises to facilitate an earlier move-in.

Extending or postponing your closing date

You may need to extend or postpone the closing date for several reasons, such as delays in financing or moving logistics. In any case, review the sales contract to understand the terms and conditions related to the closing date. Communicate with your lender and real estate agent, as well.

Requesting an extension may be possible but is subject to agreement by all parties and may result in additional costs or contractual penalties. Review your sales contract and consult with your lender and real estate agent to understand all implications.

Before requesting a change to your closing date, check with your lender to confirm whether your mortgage rate lock will be affected. Extending the closing date could result in additional costs if your rate lock expires and rates have increased. Rate lock policies and fees vary by lender and product.

How to change your closing date

Changing the closing date for your home purchase requires telling the people who need to know, like the lender, title company and real estate agent. All parties would have to agree whether the closing date is sooner or later. As part of an extension request, buyers might want to negotiate with the seller and be prepared to offer something in return.

If the change is possible, ensure that a written amendment to the sales contract is signed by all necessary parties to formalize new closing date and protects everyone’s interests. Then, to manage the logistics of changing the closing date, buyers should update their moving arrangements or rental agreements accordingly.

In summary

Buyers or sellers may want to change the closing date due to unexpected delays, personal circumstances or changes in market conditions or financial situations. Effective communication and flexibility are often key to managing these changes.

For example, moving up the closing date can allow buyers to get into their new home sooner, but it may also put pressure on the seller and other parties involved, and it may result in additional costs and/or contractual penalties. By working together, buyers and sellers can find mutually beneficial solutions.

In any home purchase, it can be a good idea to ensure that all documents are in order, and the buyer is prepared to complete the transaction. Working with knowledgeable professionals can make homebuying more straightforward and rewarding.