{"id":2505,"date":"2008-01-16T11:42:12","date_gmt":"2008-01-16T18:42:12","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=2505"},"modified":"2008-01-16T11:45:38","modified_gmt":"2008-01-16T18:45:38","slug":"while-rates-are-low-schedule-your-purchase-closing-at-least-45-days-out","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2505\/while-rates-are-low-schedule-your-purchase-closing-at-least-45-days-out\/","title":{"rendered":"While Rates Are Low, Schedule Your Purchase Closing At Least 45 Days Out"},"content":{"rendered":"

Because of negative sentiment about the economy, we’re in the middle of the first remortgage boom of 2008. There may be others, or this one may last a while.<\/p>\n

It’s been a few years since mortgage rates fell so far, so fast. It’s like a Sid Fernandez<\/a> curveball.<\/p>\n

If your loan officer hasn’t called you about taking a lower rate yet, get pro-active and call him (or her<\/em>, Rhonda<\/a>). It’s your money, after all.<\/p>\n

That said, there are a few key differences from the last time we had a remortgage boom like this.<\/p>\n

    \n
  1. During the last remortgage boom, lenders were growing their staff to handle extra capacity. This year, mortgage lenders are working with smaller staffs after major layoffs in 2007.<\/li>\n
  2. During the last remortgage boom, lenders were sprouting like weeds to chase mortgage money. This year, there are far fewer mortgage lenders after the bloodletting in 2006 and 2007.<\/li>\n<\/ol>\n

    Complicating matters: mortgage guidelines are very different this year from the recent past. Underwriters don’t know the new standards frontwards and backwards<\/a> like they did, plus they’re being more careful.<\/p>\n

    All of this combines to mean that fewer underwriters are processing more applications that each require additional scrutiny. It would be prudent for all of us to expect underwriting delays.<\/p>\n

    As an example, the “24-hour turntime” notices I used from my investors now read:<\/p>\n

    \n

    “Please allow one week for underwriting”.<\/p>\n<\/blockquote>\n

    Now, at times like this, some loan officers will say to clients and real estate agents that because they can underwrite home loans in their offices, their files are immune to delays when rates fall. There’s some <\/em>truth in that (and I know because we do it at Mobium<\/a>), but that doesn’t mean we’re not feeling the pressure of time, too.<\/p>\n

    Every mortgage broker|banker|lender in the country is experiencing very high volume right now and we are all coping with the same issues about time and resources.<\/p>\n

    30-day closings are still possible, but it may be better to play it safe at 45. If rates keep falling, we may bump that to 60.<\/p>\n","protected":false},"excerpt":{"rendered":"

    Because of negative sentiment about the economy, we’re in the middle of the first remortgage boom of 2008. There may be others, or this one may last a while. It’s been a few years since mortgage rates fell so far, so fast. It’s like a Sid Fernandez curveball. If your loan officer hasn’t called you […]<\/p>\n","protected":false},"author":14,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[26],"tags":[37,35,36,38],"class_list":{"0":"post-2505","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-lending","7":"tag-chris-cross","8":"tag-mobium","9":"tag-remortgage-boom","10":"tag-sid-fernandez","12":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":852,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/852\/what-isaac-newton-knew-about-mortgage-lending\/","url_meta":{"origin":2505,"position":0},"title":"What Isaac Newton Knew About Mortgage Lending","author":"Dan Green","date":"January 4, 2007","format":false,"excerpt":"I recently wrote about sub-prime loans for the first time in a long while because the sector should start taking more headlines in the papers. I'd hate for you to be unready for it, of course. Sub-prime loans are a big part of mortgage lending. \"Sub-prime\" is a broad-sweeping term\u2026","rel":"","context":"In "Enduring Interest"","block_context":{"text":"Enduring Interest","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/enduring-interest\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":7402,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/7402\/if-i-never-make-a-single-payment-on-my-super-cheap-fha-loan-do-i-still-get-my-8000-tax-credit\/","url_meta":{"origin":2505,"position":1},"title":"“If I never make a single payment on my super-cheap FHA loan, do I still get my $8,000 tax credit?”","author":"Greg Swann","date":"March 8, 2009","format":false,"excerpt":"WAPO:The last time the housing market was this bad, Congress set up the Federal Housing Administration to insure Depression-era mortgages that lenders wouldn't otherwise make. This decade's housing boom rendered the agency irrelevant. Americans raced to aggressive lenders, seduced by easy credit and loans with no upfront costs. But the\u2026","rel":"","context":"In "Big Mother"","block_context":{"text":"Big Mother","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/big-mother\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2064,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2064\/sub-prime-mortgage-crisis-caused-by-unexpected-success\/","url_meta":{"origin":2505,"position":2},"title":"Sub Prime Mortgage Crisis Caused By Unexpected Success","author":"Brian Brady","date":"October 19, 2007","format":false,"excerpt":"Sub prime mortgage are defaulting at record proportions.\u00a0 Lenders are closing their doors and confidence is waning on Wall Street. Greed, corruption, and irresponsibility have all been cited as the reasons for this contraction and collapse. While these factors might be contributing reasons, they are all byproducts from the underlying\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":3017,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3017\/we-first-warned-you-about-lendingtree-a-year-ago\/","url_meta":{"origin":2505,"position":3},"title":"We First Warned You About LendingTree A Year Ago","author":"Doug Quance","date":"April 25, 2008","format":false,"excerpt":"As If The Mortgage Lending World Didn't Have Enough Bad News... I wrote about LendingTree's practice of giving their customers information out to multiple lenders back in March of 2007. Now we find out that their nefarious plot went much further than just that. LendingTree has told its customers that\u2026","rel":"","context":"In "Dirty Laundry"","block_context":{"text":"Dirty Laundry","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/dirty-laundry\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1147,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1147\/bad-loans-buried-in-the-back-of-the-breadbox\/","url_meta":{"origin":2505,"position":4},"title":"BAD LOANS: Buried In The Back Of The BreadBox","author":"Brian Brady","date":"March 14, 2007","format":false,"excerpt":"Let me tell you a story about how the subprime mortgage market collapsed and millions of baby boomers had to accept less money in retirement. If you liked the Da Vinci Code, you're gonna love this one. It's not wrapped up in sex, or murder, or corruption, just good-old fashioned\u2026","rel":"","context":"In "Enduring Interest"","block_context":{"text":"Enduring Interest","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/enduring-interest\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4455,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4455\/leveraged-loser-loans-lead-to-loss-of-liquidity\/","url_meta":{"origin":2505,"position":5},"title":"Leveraged Loser Loans Lead To Loss of Liquidity","author":"Brian Brady","date":"September 15, 2008","format":false,"excerpt":"I'm kicking this one up to the top, in honor of today's events.\u00a0 It's a historical look about the early MBS markets.\u00a0 Now before you jump me for my incorrect conclusion, I didn't realize that the hedge funds leveraged their loan holdings 10 to 1 (or more).\u00a0 That \"38 bucks\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/2505","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=2505"}],"version-history":[{"count":0,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/2505\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=2505"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=2505"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=2505"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}