The Grand Forks real estate market has seen a large increase in demand. Coupled with the extremely low interest rates and refinancing surges going on, purchasing a home in Grand Forks has become somewhat of a waiting game. Buyers need to be patient, but ready to take action on a house that fits their criteria when it comes available. We’re also finding that in this market, we need to be prepared and realistic with our expectations of the Mortgage process in Grand Forks.
Quickly Respond to Your Lender
With the increased volume and demand of Mortgage and refinance applications in Grand Forks, lenders are reaching their capacity to get loans underwritten and processed quickly. Understandably, as a home buyer, you want to get this process done as fast as possible so you can get into your new home. The number one thing that can keep your application on the top of your lenders pile and mind is to be very responsive to their requests for information. Here’s some tips to keep things on track and moving as quickly as possible.
- Try to respond to the requests for paperwork and documentation within 24 hours. This will prevent your application from getting stuck in a underwriting bottleneck and ensure it continues to be processed on time.
- Always make sure to disclose everything to your lender from the very start of the loan application process. Anything kept out will almost surely come up farther along in the application process and potentially cause the deal to be delayed or potentially no longer qualify.
- Follow up on the appraisal. Once the required documentation is gathered it’s time to order the appraisal. It’s always a good practice to make sure that the appraisal has been ordered out and make sure there is no additional information needed that might be holding it up.
- Finally, be very accessible to your lender. Whether it’s via email, text, or phone, try make sure that you can be reached in a timely manor when the lender needs to ask you a quick question or have you drop something off.
Try Not to Second Guess a Lender’s Requests
While you may think that there’s no reason your lender needs more paperwork and documentation, it’s always best to never question the lender. Trust me, the Lenders are working with many Grand Forks home buyers and the last thing that they want to do is add to the paperwork already sitting on their desk.
An example of a situation that could arise during the underwriting phase is the verification of your income. let’s say for example, you reported that you make $40,000 a year to the loan officer. When the underwriter looks at your pay stub, the year-t0-date income in October is only $15,000. You might think the lender would figure out that you changed employers or that your company underwent an ownership change that altered the year-to-date information. Realize that the lender has to look at exactly what they’re given and make a decision based on what the information is telling them about your risk level and the ability for you to repay the loan. In this case, the lender may just need some additional information like the last pay stub from your prior job so they can verify the annual income numbers you provided during the initial application interview. Getting these information requests back to the lender in a timely manor help ensure that you can get the loan processed without any problems and close by your targeted closing date.
With the coming 2013 spring/summer looking like it will be another busy time for buyers to be purchasing homes in Grand Forks ND, following these simple tips will help ensure your loan processing goes smoothly and as quickly as possible. In this market, if a simple mistake makes the loan application denied, you can be sure that another buyer is next in line for the same home.
Grand Forks Realtors are very familiar with the lending climate for Grand Forks real estate, and can give you some guidance on who the most responsive lenders in the area are. By working with a Grand Forks mortgage representative that has shown great service in the past, you can increase your odds of having a quick and stress free loan processing experience. Just give me a call and I’d be glad to help direct you to one of the best options in Grand Forks.