Being on the same page with your lender about your responsibilities and timing for each step in the process is key.
During the mortgage loan transaction, there are responsibilities of both the lender and the borrower.
The mortgage process can anxious time for borrowers and the important thing to know is that your lender is honored to have the opportunity to assist you. Earning your confidence and trust is at the top of their priority list.
Let’s start with your lender and a brief example:
Is it reasonable for them to expect that you will do your part to provide them with needed information in a timely fashion? Yes.
Is it reasonable for them to expect that you will remember every detail that you discussed when talking about the process or program? Not likely.
However, even if you don’t recall something specifically you may have still had a discussion about it. They know that you have a lot on your plate and there will be something that you may not remember, this is reasonable. It is their job to be patient and understanding.
On your end you will have many preconceived notions about how the process will go. This comes perhaps from a previous home buying experience or friends and family that have gone through it – everyone has a story and an experience to share.
Is it reasonable to expect that your lender will keep you informed of how the process is moving along Yes.
Is it reasonable to expect that once you have provided the initial information that the lender has requested that there won’t be anything else needed? No.
There will likely be additional information or documentation that the lender will need.
Is it reasonable to expect that if the appraisal of the property was ordered on a Monday that it will be back and approved by the following Monday?
Now, that may happen but it is more reasonable to expect that the appointment to see the home may take time to be set up based on scheduling, and after the appraiser has done their site visit it may take another 7 days to have the report back in the lenders hands, keeping in mind that this is all prior to the appraisal being reviewed and approved.
Your lender is working with third parties; appraisers, title companies, attorney’s, realtors, insurance companies, employers, the IRS, and everyone has a roll in getting you to closing. Your lender has an expectation that the contract closing date has been written taking into consideration how long the process will take.
The lender makes the assumption that the appraiser is going to set the appointment to see the home within a specific period of time. Your lender also assume that they will receive the title commitment within a reasonable timeframe once the offer is written, that the IRS will have tax transcripts to them quickly – this gives you an idea of what goes into the process and the expectations of the performance of third parties involved.
With that in mind, things can happen and sometimes our expectations have to be put into reasonable perspective.
Basically, will every party involved in your translation is coming from a sufficient perspective everyone has the same objective.
To close your loan.