AgentOwned Realty
http://www.agentowned.com/blog/south-carolina-flooding-fall-2015-could-your-home-closing-be-delayed.html


South Carolina Flooding Fall 2015 - Could Your Home Closing Be Delayed?

Posted By: Liza Valero In: Real Estate Industry News
Date: Tue, Oct 6th 2015 12:40 am

Lady wading in Charleston SC flood waters fall 2015The Fall of 2015 goes into history books, bringing South Carolina more rain than anyone could imagine.

There are many different complications & consequences brought about by the torrential rainfall. So many lost so much, I am writing several posts about the episode.

For the moment, consider this:

You have written a contract to buy a home. While waiting to close, a weather event of this impact occurs. You do not own the home yet. How will the remaining closing process change, if at all?

  • Worst case scenario, before you close on your new home, it is washed completely away. The same applies if the home should burn down or some other natural disaster. In this case, you plans have been RADICALLY changed. You will not be buying that house. Time to start looking again.
  • If the home has some damage, but not horrible, you have decisions to make. Do you still want to go forward? What are your contractual obligations during these circumstances? Your Real Estate Agent will help you answer these questions. You should thoroughly re-inspect the dwelling, calling your home inspector to return is not a bad idea.
  • If you can not find any damage, or you decide that you can live with what damage is done, does that give you the green light to go forward with the purchase?

Not necessarily. Even if nothing about the home's condition gives you pause, your mortgage company can decide that they want to investigate it further.  The mortgage company may order additional inspections before loaning you the money to purchase the home. Of course, this protects Dan Strecker, SC Branch Manager, Prosperity Home Mortgage LLCthe mortgage firm, but as Dan Strecker, South Carolina Branch Manager of Prosperity Home Mortgages, LLC explains:

It is in the benefit of the client as much as it is to protect Prosperity

The more eyes that look things over, the better. You can not be harmed by your mortgage company looking after both your and their interests. You want to buy the home with all the knowledge that you can gather about it in front of you. Prosperity is not the only mortgage company that will be doing some extra inspections, they all will. And in each case, the process gives you an added layer of protection. Flooding in Charleston SC neighborhood fall of 2015Prosperity has a plan of action already in place so that these additional inspections (if any) should not delay closings. If you are not closing with Prosperity Home Mortgage, LLC or using AgentOwned Realty to represent you as your Buyer's Agent, make sure to ask the parties involved about potential delays and any other hiccups that could occur.

You are welcome to contact Dan anytime with questions:

(704) 965-2406 or email him - DStrecker@PHM-SC.com 

If nothing else, EVERYONE should be much more keenly aware of how your new home is to be insured. Is flood insurance mandatory in order to get a loan on the home? If not, are you still getting flood insurance? So often, people think that because they are not by an ocean, lake river, or stream, they do not need flood insurance, but that is not the case. Storm drains often become clogged in neighborhoods causing homes to flood that you would not expect. If your new home is not in a mandatory flood insurance zone, the cost of flood insurance annually will be very low (approx $200 a year for a $400,000 home). You SHOULD ALWAYS CARRY FLOOD INSURANCE. 

Wally Burbage of Allstate Wally Burbage & AssociatesIf you have insurance questions, feel free to contact either of our Insurance Partners:

Wally Burbage Allstate

Terry Murphy with Alliance Insurance

They will be sure that you have the coverage you need.