Collecting payment at closing


#1

Customer accepted our proposal for a re-roof. They are selling their house and agreed with the buyer that they (the seller) would replace the roof. Seller asked to make final payment at closing (30% down, balance at closing). How do you all navigate collecting payment? Would this come from the seller, from the title company, etc and who do you send the final invoice to? Do I show up on the date of the closing with invoice in hand?

This is our first real estate sale related deal as the vast majority of our work comes from insurance losses or homeowners with cash in hand.


#2

Find out what closing company they are using, call them to confirm, send invoice to closing company. They will pay you out of proceeds!


#3

What we’ve always done is collect from the person who signed the contract. If that is the property seller, we want the money on the day the roof is complete and prior to closing. If it is the buyer, which we prefer, not as worried as a lien and lawsuit can most easily address them if there is a payment issue. Kpratt’s suggestion is clearly a good one.