Home > Blogs > Elizabeth Weintraub Sacramento Broker > Elizabeth Weintraub: Sacramento Real Estate

Why Can't Sacramento Mortgage Lenders Close Escrow on Time?

By Elizabeth Weintraub Sacramento Broker

Real Estate Agent with Elizabeth Anne Weintraub, Broker DRE #00697006

October 23, 2012 11:54 PM

Choosing a mortgage lender with a reputation for closing escrow on time is important. It's equally as important as choosing the right Sacramento real estate agent. If your mortgage lender can't perform and close within your contract timeframe, you might not be buying a home in Sacramento. That's because mortgage lenders have routinely been asking for extensions, but extensions are not guaranteed. It's happening across the board over the past couple of months. And sellers are canceling escrow.

Sellers are itchy enough about whether it's a good time to sell. When you throw mortgage lenders who can't perform into the mix, it louses up many an escrow. My sellers have no control over where the buyer tries to get a loan.

Read more on my personal blog about Sacramento Mortgage Lenders Can't Perform.

Re-Blog

Comments(9)

Comment

Show All Comments

Sort:

Gita Bantwal

RE/MAX Centre Realtors - Warwick, PA

REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I had my last two closings postponed because of lenders requiring more documents at the last minute.

Oct 23, 2012 11:59 PM

Gary Frimann, CRS, GRI, SRES

Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA

REALTOR and Broker

Elizabeth, I know lenders are getting a little backed up these days, and I hope they are priortizing purchases. However, ask the loan agent what is the default date for the number of days for approval on a CA RPA and most don't seem to know, which is amazing to me...

Doug Rogers

RE/MAX Coastal Properties - Destin, FL

Your Real Estate Resource!

There are national lenders I would not trust financing a bicycle on layaway at Walmart. Much less providing funding on a short sale! Buyers should beware of "too good to be true" rates and empty promises.

Oct 24, 2012 12:03 AM

Cynthia Larsen

Cotati, CA

Independent Broker In Sonoma County, CA

The problem is that the buyer and seller commit to timelines in the contract, but the MLO makes no such promise.

Oct 24, 2012 03:43 AM

Chris Ann Cleland

Long and Foster Real Estate - Gainesville, VA

Associate Broker, Bristow, VA

As to Cynthia's point in #4, it's been a practice of mine since the beginning of time to call the lender before making an offer and ask them how long they anticipate the underwriting & appraisal will take. Thankfully, the lender I work with most often is very conservative. Under promises and over delivers. I love that.

Oct 24, 2012 03:52 AM

Mary Douglas

United Country Ponderosa Realty, Red Feather Lakes, Colorado - Red Feather Lakes, CO

REALTOR, Red Feather Lakes, Colorado

This is one of the most frustrating things because it is mostly out of our control...and I loved your description of the underwriter Elizabeth. I do what Chris Ann does and call the lender before... during...and every week ..and then I write an extension when I find out they aren't going to be ready! Just waiting for the day when the seller says, "No"...

Oct 24, 2012 02:52 PM

James Dray

Fathom Realty - Bentonville, AR

Morning Elizabeth saw on the news last night where the Feds are going after Bank Of America for something but what I did not catch do you know anything about it?

Oct 24, 2012 07:15 PM

Pamela Smith

Award Realty - Sun City West, AZ

Sun City West, Corte Bella, Sun City Grand

Elizabeth,

I am dealing with an extention at this time. Banks are not my favorite thing at the moment.

Oct 24, 2012 10:41 PM

Elizabeth Weintraub Sacramento Broker

Elizabeth Anne Weintraub, Broker - Sacramento, CA

Put 40 years of experience to work for you

Hi Gita: There are always those rare exceptions when the underwriter asks for a document that nobody anticipated, but on every transaction, that's unacceptable.

Hi Gary: How are they backed up when they don't have any business?

Hi Doug: Even the competent lenders seem to have issues these days.

Hi Cynthia: While it is true that the MLS doesn't have to adhere to the contract, how do you explain the MLOs who promise closing and then can't perform?

Hi Chris Ann: The ones I've seen in Sac tend to the opposite -- over promise and under deliver.

Hi Mary: I lost a transaction a few months ago in which the seller said NO to an extension. Just got tired of waiting.

Hi James: Oh, yes, B of A is issued for a billion dollars by the government for taking advantage of Fannie Mae and Freddie Mac by packaging worthless loans to them under the Hustle Program. Isn't that a great name? Hustle? I can just see them dancing in the hallways.

Hi Pam: When I told the seller of one of my transactions that the buyer just about a had a heart attack when I told her the seller had second thoughts about signing the extension, he finally decided to go ahead and sign it. But the buyer did almost croak. Her docs are headed to title at last, and she thought she was losing the house. She almost did lose it, both ways.

Oct 25, 2012 02:09 AM

Why Can't Sacramento Mortgage Lenders Close Escrow on Time?

Comments(9)

Elizabeth Weintraub Sacramento Broker

Service Areas

Real Estate Resources

Recent Posts

Additional Information