Even though the markets hot, the time it’s taking now to close, or spend in escrow, is doubling if not tripling.
“45 to 60 days is now the norm,” Ben Joffer of Expert Properties says, “30 days is pretty much unheard of now.”
“If you’re in Klamath County, it’s almost 90 days,” Rick Harris says.
Principal Broker Rick Harris, of Coldwell Banker Pro West Real Estate says there’s simply not enough appraisers for the current inventory.
“During the downturn a number of appraisers retired, the standards went up, the people going into the business went down, so until that gets fixed that 30 day closing on a loan is not gonna happen.”
But there are things, buyers can do to help with the process:
- Lock your interest rate in for at least 60 days– if not 75– that way you won’t lose out on the sale if the appraisal isn’t returned in time.
- Keep up with paperwork; additional documentation may be required as you move through the process, and any delays on your end will translate to delays on the back end.
- Get the ball rolling early.
“Your agent needs to be writing that lender from day 1 saying ‘hey we need to get the appraisal ordered as soon as possible,'” Joffer says.
Unique homes, or listings in rural areas take the longest. And hile experts don’t expect the longer closing time to go away any time soon, they say there is one way to still close in 30-days and that’s to pay in cash.