How is the mortgage market for homebuyers? As you know, rates are at historic lows with quotes ranging from mid to upper 2’s – yes, quotes are starting with the number “2”. Also, as you might be aware, the real estate market is extremely competitive. Many homes are on the market for only hours before receiving multiple offers.
As you can see from the last sentence, demand is outpacing supply causing frantic bidding-wars in housing. Well, the same holds true in mortgages. Low rates have caused demand from borrowers to outstrip the supply channel (processors, underwriters and closers, etc.). This, in turn, has caused delays in meeting closing dates. If you are refinancing, you can expect a longer than usual wait in line to get approved and closed.
Here is how to work with your lender closely before and after you go under contract so your purchase can close on time, and even be approved well ahead of the closing date.
- Find an expert loan officer who knows how to get things done – results and experience matter.
- Be careful if you go through the online internet lenders that have no stake in the game. Local loan officers, with relationships in the community, will work harder and smarter for you.
- Follow the guidance of your loan officer. Provide requested documentation as timely as possible (here at USBank, I have a secure loan portal that helps you do that easily).
- Go "credit quiet" during the process.
- Do not start moving blocks of money around unless you want to go through an additional dizzying array of paperwork.
- During the last 10 days be ready to act quickly. CoVid-19 underwriting overlays have made the last 5 days of the road to closing ripe with potential speed bumps.
Need more advice or just want to talk about the process? Feel free to call or text me at 904-614-0309.
This article was prepared by:
Senior Mortgage Loan Officer NMLS 368372
9822 Tapestry Park Circle
Jacksonville, FL 32246
Lisa Barton, the owner of Lisa Barton Team Ponte Vedra Beach - Keller Williams Realty Atlantic Partners, is a top real estate agent in Ponte Vedra Beach and the surrounding communities. Lisa specializes in luxury real estate sales, including gated communities, waterfront properties, and estate homes. A graduate from the University of Florida and George Mason University, Lisa currently resides in Marsh Landing with her husband.