It can feel like the end of the world!
You need to hire good professionals.
Your lawyer and your realtor know how to deal with these situations.
If the delay is NOT your fault, then don’t worry. All associated costs will be borne by the other party.
Recently I had a home close about a week past the original closing.
My sellers incurred extra mortgage costs, property taxes, legal expenses, and more.
This was mitigated by an agreed-upon fee from the buyer at the time of closing a week later.
It's always best to try and work out a delayed closing.
👉🏼 If you don't close:
A seller will get to keep the deposit. They will be able to sue for any other expenses. Including the difference in the price they paid vs the price a new buyer may pay.
The buyer, if not at fault, could sue. For hotel stays, dinners out, and other expenses relating to being homeless for a time.
(Yeah....they may have been homeless!!)
The challenge lies in the process. It could take MONTHS to go through the courts and get that money free and liquidated. If the other party doesn't have a lot of money, it will be hard to get any kind of reasonable settlement.
👉🏼If you DO close:
The parties agree to a new "sale price" which includes an amount that would reasonably cover any extra costs incurred (even hotel stays!!).
The house closes and everybody moves on....
To me, it's much easier to work out a solution with the parties involved.
In the end, if a solution can't be found, then you move ahead with relisting and go through the legal process.
Bottom line: Don't freak out!
If you've hired good people around you, they will take care of you!