Blue Pear Blog

 I was the listing agent on a property in Redwood Valley. The buyer was selling a house in Willits that was in escrow and all was going well. At the last moment, the lender for the buyer on the Willits property decided to check with the IRS and look at their tax return. It didn’t match the one they submitted! The buyer made some excuse about giving the lender a “working copy” by mistake. That didn’t fly. The lender cancelled the loan process and the two sales were dead.

I had heard lenders may do this but I had never experienced it personally. My seller was devistated, of course. It all did have a happy ending for my seller, however. She ended up with a new offer that was better than what she lost.

 This added to my collection of unlikely but possible things that can go wrong in any escrow. When a seller asks me if they should start packing, my mind goes back to many of these examples and hesitates before answering.

John Bogner