Last week, with 30-year fixed rate mortgage rates slipping to 3.36% nationwide, home purchase and refinance activity is climbing.
With loan volume high, banks are nearing their respective capacities for underwriting and approving home loans. If you’re trying to get a home loan, you’ll want to make sure that you’re taking whatever steps necessary to ensure that your home loan closes on-time, and without hassle.
You most important responsibility? Be responsive to your lender.
When asked for paperwork and/or supporting documentation, providing a 24-hour turnaround can keep your loan “top of mind” with your underwriter. The fewer times that an underwriter has to “relearn” your file and its nuances, the better your chances for a speedy approval.
Other tips to ensure an on-time closing include:
- Disclose everything upfront. Your lender will find out anyway.
- Be accessible. Your lender will often want to contact you by phone or email.
- Schedule your appraisal for as soon as possible. It’s easy to lose days to this part of the process.
- Don’t challenge an underwriter’s request for “more paperwork”.
Mortgage volume is expected to remain high through the end of 2012 and into 2013. Follow these steps to help close your loan on time, and with few headaches.