What Can Delay a Home Closing on Long Island?

You’re almost at the finish line — contracts are signed, inspections are done, and the closing date is set. Then suddenly, things slow down. Delays are frustrating, but they’re also common. Understanding what typically causes closing delays on Long Island helps sellers stay calm and proactive.

1. Mortgage Underwriting Delays

The most common cause of closing delays is financing.

Even after a buyer receives a mortgage commitment, lenders may still request:

• Updated bank statements

• Employment verification

• Additional documentation

• Clarification on deposits

Last-minute underwriting conditions can push closing back days — or sometimes weeks.

2. Low Appraisal Issues

If the appraisal comes in below the contract price:

• Renegotiation may be required

• Buyers may need extra funds

• Lenders may re-review loan terms

Until resolved, closing cannot proceed.

3. Title Problems

Title searches sometimes uncover:

• Old liens

• Unreleased mortgages

• Boundary disputes

• Open permits

Long Island’s older housing stock means title history can be layered and complex.

Resolving these issues can take time.

4. Certificate of Occupancy or Permit Issues

Municipal compliance problems are common sources of delay.

These may include:

• Missing certificates of occupancy

• Unpermitted renovations

• Open building permits

Towns may require corrections or inspections before closing.

5. Inspection-Related Negotiations

If inspection issues were not fully resolved, disagreements may:

• Resurface before closing

• Delay final walk-through

• Require last-minute credits or repairs

Clear documentation helps avoid this.

6. Scheduling Conflicts

Closings involve:

• Attorneys

• Lenders

• Title companies

• Buyers and sellers

Aligning availability across multiple parties can cause minor delays.

7. Utility or Insurance Issues

Unexpected problems like:

• Insurance coverage delays

• Utility transfer complications

• Final meter readings

Can also slow the process.

Can Sellers Prevent Delays?

While not all delays are avoidable, sellers can reduce risk by:

• Addressing permit and CO issues early

• Keeping documentation organized

• Choosing strong buyers

• Responding quickly to attorney requests

Preparation shortens timelines.

FAQs

What is the most common reason for closing delays on Long Island?

Mortgage underwriting issues are the most frequent cause. Preparing early helps reduce surprises — you can explore that here: 👉 https://www.theericbermanteam.com/contact-us

Can a closing date be changed?

Yes. Dates are often adjusted by mutual agreement. Understanding your flexibility helps — you can learn more here: 👉 https://www.theericbermanteam.com/contact-us

Do permit issues always delay closings?

Not always, but unresolved permits can cause complications. Early review reduces risk — you can get guidance here: 👉 https://www.theericbermanteam.com/contact-us

How long are closing delays usually?

Many delays are minor, lasting a few days to a couple of weeks. Strategic planning helps — you can explore next steps here: 👉 https://www.theericbermanteam.com/contact-us

Should sellers worry if closing gets pushed back?

Not necessarily. Delays are common and often procedural. Clear communication matters — you can start here: 👉 https://www.theericbermanteam.com/contact-us

Eric Berman, REALTOR®
Compass Greater NY
917-225-8596
eric@ericbermanteam.com
www.theericbermanteam.com