Lenders Causing Delay of Game

New Orleans Mortgage Information

There are some days when I wish I had a referee uniform along with the ability to throw a flag and call a penalty on some of these lenders that are causing delays in closings for our New Orleans home buyers.

referee

Now, in some cases, closing delays are actually the fault of the buyers when they don’t provide requested information and documentation to get their New Orleans mortgage processed on time. 

But, what we’ve seen lately with too many lenders are…

  • not giving buyers the required Good Faith Estimate (GFE) so they can budget for closing costs
  • delays in ordering appraisals after inspections are complete
  • delays in communicating issues to all parties as they arise so everyone is prepared for the possibility that the closing may be pushed back
  • ignoring phone calls and emails from agents when they don’t have good news

In a perfect world, lenders would have penalties for not closing on time, but since they are not a party to the purchase agreement, they aren’t held to the deadlines and terms contained in the contract.

What Can Home Buyers Do?

Stay on top of your loan application. Don’t assume that because the lender gave you a pre-approval letter that everything is hunky dory and there won’t be any hiccups during the sale.

Check in with your lender once a week and ask if there is anything new to report or any new information they need to complete your loan package.

Give your lender permission to talk to your agent. Agents are experienced at putting out some of the fires that can flare up during a transaction, so let your agent earn his/her commission by being your advocate through the loan process.

Use a lender with a local office. It’s a whole lot harder for someone to ignore you when you are standing right in front of their desk.

Ask your agent for a referral to a lender with a good track record for on time closings. We deal with a LOT of different mortgage companies, so, believe me, your agent has a list of who can get the job done and who will be a problem.

 


Searching for the right place in New Orleans to call home? We’ve got them all, right here. Thousands of homes for sale, experienced agents and someone waiting to help you today. Call us at 504-327-5303 or contact us here.

 

 

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