What To Do If Your Refinance Is Taking Too Long

Well, you could just use me.  In all seriousness, the article below talks about their bank taking over 4 months to do a refinance.  It goes on to defend the bank stating “they may be busy with modifications, etc.”  That is ridiculous.  Yes, we are all busy and many are understaffed but there is no excuse for that.

You should close your refinance transaction within 30-45 days.  It can easily be done in 30 days however most banks have to prioritize purchase transactions first.  I try to set my clients expectations correctly and say it will take 45 days but it is normally 30 days.  Even in my area, Fort Lauderdale, Florida, or just South Florida in general, we have seen business pick up tremendously because of all of the good deals out there and I can still close your loan in a timely fashion. 

I know a lot of people are very interest rate sensitive and will “shop” for the lowest rate.  I and anyone else can quote you any rate but more importantly is what rate you get locked in at and if you close on time.  If I am at 4.875% and someone is at 4.625% most would be inclined to go with 4.625%.  The problem is the rate of 4.625% means nothing if you don’t close on time because you will blow through your lock period.  The bottom line is to be careful. 

http://www.marketwatch.com/story/what-can-you-do-when-lender-stalls-on-mortgage-2009-10-02?siteid=rss&rss=1