However, if parties want to go ahead with the deal but require time beyond the closing date in order to honor their obligations, they will have to amend the contract and agree to it in writing. The amendment must be done prior to the closing date. Such an amendment will result in closing date extension.
A closing date is generally quite eventful. For example, on a house closing date, the following few events occur:
- 1. The buyer delivers a check to the seller-usually for balance amount.
- 2. The seller hands over documents of the house and keys to the buyer.
- 3. The new title deed is registered with the concerned land registry office.
In case extension of time is required, both buyer and seller must agree to change the closing date. While the buyer has a right to request extension of closing date, a seller has the right to oppose or refuse closing extension. Mostly, real estate representatives of both the parties ensure that closing date extensions are agreed to so that the transaction moves towards finality and benefits both the parties.