In this market we are finding many clients, Realtors, loan officers and other involved parties complaining about the time, energy and effort to get a mortgage approved. There are factors that are within control that will allow loans to get approved in under three weeks. Let me tell you about one we just had here at Pacor Mortgage.
On March 26th we had a client “Mr. I” decide to move forward with his mortgage. We took all the relevant information for the application over the phone and emailed the documents to him for review. Our leverage of technology and secure document delivery allowed us to move quickly.
On March 29th Mr. I returned his documents to us via FedEx. This enabled several things. First because we lend our own money we now had the TIL, GFE and other compliance docs signed and ready to go. If we were a broker, we would now have to wait for the lender process to take place. Second, our team set to work on all the “pre processing work” This includes verifications of deposit, employment, existing rent or mortgage and the ordering of appraisal. We are moving on the loan as quickly as possible in this market.
On April 1, the file was ready for processing. The verifications were received and now the loan was sent to processing. One factor in our favor on this loan is that Mr. I is a W2 employee and has nothing complex like rental property, side business etc. in his financial world.
On April 7, the appraisal was received. Though this appraisal was over twenty thousand dollars lighter than the estimate provided by Mr. I we were able to find an alternative loan program quickly based on all the information we have compiled over the last ten days.
On April 8, the processing of the loan was completed and it was submitted to underwriting for approval. Our staff crossed our fingers that we would see the loan approval within three business days or by Tuesday the 13th but we have done all we can and it’s in the underwriters hands now.
April 12, the loan approval was issued. For those of you not tracking, that is seventeen (17) days from application to approval in April of 2010. Typical results when you have the following:
1. A motivated and qualified borrower. We sent the docs on Friday, they were returned on Monday. Mr. I printed, signed and sent them back in a day.
2. Lack of compliance hurdles. When you lend your own money and do not have to use an Appraisal Management Company, you can be compliant quickly.
3. Excellent in house operations.
4. In house underwriting.
It’s actually pretty simple and here at Pacor Mortgage, we have it figured out. Want to close with a minimum of headaches in this market? Call us today!
