Peter LohmannAll Things Residential Property Management | CEO of RL Property Management | Co-Founder of Crane

TIME KILLS DEALS!

13 Nov 2025 · 1 min

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In this brief industry commentary, the speaker explains that extended closing timelines are a primary reason deals fall apart. He describes a scenario where a transaction that should close in 30‑45 days stretches to six months. During that time the seller loses interest, the business’s financials deteriorate, and updated statements and re‑approval become necessary. As a result, both the broker and the buyer lose confidence, and the buyer ultimately walks away because the deal no longer reflects its original value. The segment highlights the cascading negative effects of time delays on seller engagement, financial health, and buyer willingness, underscoring the importance of swift deal execution.

Chapters

For this industry, the biggest thing is time kills deals. What I mean by that is we've had, you know, a deal in our closing pipelines, underwriting has been done. They're ready to go. They're just getting the documents together and buyers and sellers go out of town and their attorney's gone. And so now we have dragged out from what should be a 30, 45-day closing. We're now 6 months in. Seller's already checked out and said, I'm selling this business. Don't really care what happens to it. Well, at some point you're gonna need to get updated financials and reapproval. And it has just gone terribly wrong because they've lost customers, they've lost doors, they don't care, they're not paying stuff. And to us, we could not get comfortable and neither did the buyer. The buyer said, I don't wanna buy this anymore. It's not worth what it was when we started this because of the time.