Hurricane delays closing: Now what?

Q: We were in the middle of buying our new home when Hurricane Irma arrived. We still want to buy the home. What happens now? — Joan

A: When a hurricane is approaching, it becomes impossible to get homeowner’s insurance, causing most closings to be delayed.

The standard real estate contract used in most closings will contain a clause dealing with the issue of a natural disaster or “force majeure.” Typically, the closing will be delayed for a week after things return to normal. If the delay lasts for more than 30 days, then either the buyer or seller would be able to cancel the contract. Of course, it’s important to carefully review the terms of your contract.

After the storm is over and power and water are back on, make sure to have the home carefully inspected for damage.

If you are getting a mortgage, your lender will require its own inspection, but you should still get your own. If the home is damaged, you need to read the “Risk of Loss” section of your contract to determine who pays for the repairs and other details of what to do.

Make sure to stay in good communication with the seller, closing agent and your lender to determine what must be done to continue to closing. Make sure to stay patient and work with the process as things return to normal.

Email board-certified real estate lawyer Gary M. Singer at gary@garysingerlaw.com or go to SunSentinel.com/askpro