Financing Red Flags FSBO Sellers Often Miss

Most financing red flags in an offer aren’t hidden — they’re just easy to miss if you don’t know what you’re looking at. A pre-approval letter, a proof of funds statement, and a loan officer’s confidence on the phone can all look reassuring while still leaving real gaps in the file. If you want a second set of eyes on any part of a buyer’s financing before you accept an offer, text me at 571-363-7686.

The most common one: a pre-approval letter with a loan amount that barely covers the offer price, leaving no cushion if the appraisal comes in even slightly low or if the buyer’s costs run higher than expected. A close second is a letter that’s several months old — financial pictures change, and a pre-approval from four months ago doesn’t reflect the buyer’s current income, debt, or credit. If either of those shows up in an offer you’re considering, send it to 571-363-7686 and I’ll help you figure out how much it actually matters.

A few others worth watching for: a buyer switching lenders midway through the transaction, which usually resets parts of the underwriting timeline; a gift-funds down payment with no documentation trail yet in place; and a buyer who’s also trying to sell another property to fund this purchase, which adds a second closing that has to happen on schedule. None of these automatically mean a deal will fall apart — they just mean there’s more to verify before you treat the offer as a sure thing.

The common thread is timing. Most financing problems are fixable if they’re caught early, and much harder to manage if they surface two weeks before your scheduled closing date.

This post is part of a series on selling a home without a listing agent in Virginia. Start with the hub guide for an overview of the full process.

Text me the letter.

I’m Simar Sarang, a mortgage broker based in Centreville. Send the pre-approval letter to 571-363-7686, and I’ll tell you what’s actually behind it — what got verified, what didn’t, and what I’d ask that lender before you take your house off the market.

Usually same day. No cost, no obligation, and it makes no difference to me which lender your buyer is using.

Text 571-363-7686

Simar Sarang — Mortgage Loan Originator, NMLS #2558182

E Z Lending, LLC · Company NMLS #215245 · Brokering since 2002

Licensed in Virginia and Maryland

Equal Housing Lender