Closing 2 Weeks After Appraisal

11 Replies

I am waiting to close with New American Funding. The appraisal was two weeks ago. The HUD contract says 'time is of the essence' and has a date of 'no later than 45 days'. My agent is saying we should be closing now since its two weeks after appraisal. The senior processor is saying we have to wait because she has scheduled us to close on the 45th day and she has too many closings ahead of us.

Who, if anyone, is dropping the ball here?

Thanks for any help. 

So essentially, the processor is saying we need to wait up to 5 weeks after the appraisal to close. My agent finds this absurd. Though the contract does give 'up to' 45 days. 

I'd like my agent to be right here. 

everyone is busy, lenders, brokers everyone.  They might be just covering there buns to make them look like a hero when they close before the 45 days window.

The person processing the loan is the one 'dropping the ball'.  If they knew what the closing date was, they should have been prepared for it.  Often they need a reasonable amount of time, but 45 days after the appraisal seems excessive.  Here you can go from offer to closing in 4 weeks with a mortgage, inspection conditions and all of that.  

Processor clearly seems to be slacking. There are no conditions currently so not sure why 5 weeks is needed. Guess they are seriously backed up due to rates being low... or processor is a facebook addict...

Is 2 weeks after appraisal an accurate time to expect to close? My agent says he never heard of it taking longer than 2 weeks in his 30 years of real estate.

@Robert Jensen have you gotten the appraisal back yet? It took a week for me to get my last appraisal back. Then it’ll be 2-3 weeks after that to close. (Yay conventional loans).

Originally posted by @Robert Jensen :

Processor clearly seems to be slacking. There are no conditions currently so not sure why 5 weeks is needed. Guess they are seriously backed up due to rates being low... or processor is a facebook addict...

Is 2 weeks after appraisal an accurate time to expect to close? My agent says he never heard of it taking longer than 2 weeks in his 30 years of real estate.

Yeah, if there are no other outstanding conditions, a week, or maybe a week and a half after appraisal comes back, if you just let things sit on auto pilot and sail through.

Originally posted by @Suny Capezzuto:

@Robert Jensen Sounds like your processor is dropping the ball. Also, I work for an appraisal company and see people close literally within days of the appraisal report delivery.

 Fastest lawful timeline:

Appraisal comes back Monday. 

Appraisal sent to consumer same day. Closing Disclosure sent same day. Insurance was already in b/c the consumer used my insurance broker, not a rando 1-800 number (that often delays closing). This is day 0.

Day 1 is Tues.

Day 2 is Wed.

Day 3 is Thursday, earliest they can sign, fund, and record at the county. 

More realistically, signing/funding/recording same-day would require a lot of stuff go perfectly (there's also some variance here depending on state). So plan on Friday or Monday.

Originally posted by @Robert Jensen :

Processor clearly seems to be slacking. There are no conditions currently so not sure why 5 weeks is needed. Guess they are seriously backed up due to rates being low... or processor is a facebook addict...

Is 2 weeks after appraisal an accurate time to expect to close? My agent says he never heard of it taking longer than 2 weeks in his 30 years of real estate.

I, for one, don’t know enough to tell you whether 2 weeks after the appraisal has been completed is enough or not to go to settlement. 

Has your Loan Officer been communicating with you and your realtor on a weekly basis? You said, there are no conditions “currently”!  Does that mean that you have a fully approved loan without any conditions?  If that’s the case, then in my opinion, they should be able to schedule and close your loan. 

Nevertheless, from the sound of it, your loan officer or his/her team have dropped the ball in communicating with you properly and setting expectations for how to go from A-Z; especially in this environment where almost every lender or broker are experiencing a bit of a clogged pipeline due to the low interest rate environment.  Good luck and hope that everything works out well.