How often do you close on time?

Question

I have yet to close on time.  I am 0-4. I even had a cash deal close 3 days late.

I am suppose to close on Friday on a new primary residence, but I am already prepared for the call that we are closing next week instead.

Does anyone else feel my frustration on closing late?

Jay Hinrichs · Answer

@Mary B.

there are new TILA rules that are going to make those closings with owner occ loans go longer.  title co are prepping the industry.. they are saying 30 day escrow will now be 45.

when I buy I close on time everytime  :)  that's how we get the deals.

I even had to skip a golf game Friday as the bank would not extend one day even though I got the closing docs at 9am my time the day of the closing and it was in Dallas so 11am there.. I think the banks are a tad rude with that.. they should have at least given me till Monday... so I have to cancel my game and run over to the bank wire money etcetc. but that's what we do we fund deals.

Account Closed · Answer

and one was conventional with 20% down and the other was FHA I felt the conventional buyer was dragging their feet so I finally sent out notice to perform and cancellation of escrow that seemed to do the trick because paperwork that was never sent suddenly started appearing immediately It helps when you have a hefty deposit

Account Closed · Answer

i just had 2 (sales)go 2 weeks over sometimes its seasonal,banks are just busy but most of the time its underwriting asking for more unessary crap

Richard Kolb · Answer

You would think that the big banks (having done so many more loans) would have the process down and could close the quickest but it has been my experience that the smaller banks close quicker because they don't have to get underwriting or approvals from across the country and because sometimes the right hand doesn't know what the left hand is doing.

Anna Buffkin · Answer

0-5

The streak continues, but I was surprised by the reason.

Everything is good on my end, but at the last minute the seller calls and says one of them - the home is held jointly- is out of town.  I asked about a power of attorney.  They had none and the traveling seller had already left.  He will be back next Wednesday.

I would have thought the sellers would have been more eager as the home is vacant.

Roy N. · Answer

Here it is not infrequent when dealing with one of the Big-5 banks - who have centralised, national underwriting cubical farms located halfway across the country from us - to have to ask for an extension on Close.

One of these lenders - who shall remain nameless, but whose corporate colours are red - has been particularly problematic.  On multiple occasions they have asked to delay Close one or more times (up to two weeks), forcing us to close out of pocket to keep the deal ... which then requires them to reprocess their funding instructions anew.   It wasn't like we were asking them to turn-around in a week or two, they had 90-days on one of these deals and still dropped the ball.   Needless to say, they no longer hold our mortgages.

Anna Buffkin · Answer

thanks @Mary B..

@Kelly N., I had similar experiences.  My husband is a teacher. You can't get more stable than that.  My husband was switching the school he taught at over the summer.  They would not close until school started to make sure he was actual working.

My cash close that closed late involved the seller having a lien against the property.  I knew he was in financial trouble, which is why he stated he wanted to sell and close quickly, but I didn't realize how much until we closed.  He owed back taxes and HOAs.

Kelly N. · Answer

We are 0-3, and it is not boding well for the next two we have under contract!  I just asked my realtor about this last week and he said 90% don't close on time.

The first one was a 2 month delay once the underwriters discovered that my husband's employer was going through a bankruptcy- they announced it about a week before we were to close.  He already had multiple job offers but they wanted to wait until he accepted one formally. Then they wanted to wait until he started the job.  Then they wanted to wait for his first pay stub.  The second one had hang ups due to it being an estate selling the property, and the third was late because we switched lenders due to a low appraisal.

Currently, one seller is dragging his feet on getting us information and signing the amendment he agreed to.  The other promised one tenant new paint and carpet before he moves into the other apartment, and the other apartment is still occupied...

Kelly

Mary B. · Answer

Thanks for the reminder, Jay. I did read something about new TILA coming in August but that date was extended, of course :-).  After a the last extension on a deal of mine that was to close in less than a month; I decided to no longer offer 3 week closings and shoot for the traditional 30 to 45 closing first off.  Less headache for us all.  If its out of our control its better that we just try to prepare for it in the beginning.

Kudos,

Mary

How often do you close on time?

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