Most buyers have no idea that lending has changed so much in the last few years.
Lenders have lots of pressures to create a borrower file that can be packaged up and sold on the secondary market. They need to dot every i and cross every t. In today’s lending environment concern over this one point is extending closing times and is now affecting many home sales.
With all the changes to lending guidelines it is hard for the buyer to know what will still be allowed and what changes will affect them greatly.
Making a change to a different loan program even within the same bank will trigger re-disclosure requirements adding days to the process.
Borrowers used to be able to just switch lenders mid-stream and barely lose any time. Gone are those days.
It was just reported in June and July 16% of all sales fell out of contract due to a low appraisal.
My suggestion, based on 27 years experience in Real Estate, is find a very knowledgeable and active team that includes a loan officer and Realtor. Do this early in the process. Listen to their coaching so you can have a less stressful process. Many of the things I see as issues come from a buyer shopping for a mortgage rate and hiring an inexperience loan officer. That choice can be deadly to your transaction.
What have you seen?