Is it possible to close on a house in 2 weeks
The actual closing process can feel like a never-ending stream of paperwork. However, each one of these steps is crucial to purchasing your home. You want to take your time to look over the documents thoroughly. Buyers may spend up to 2 hours reviewing and signing closing documents. Closing on a home comes with its costs. Some of the costs ahead include:. You should know how much and which closing costs you are paying before the official date. As a result, you can streamline the process, and it may only take an hour or 2.
Coming unprepared may result in significant delays, though. After signing the crucial documents, including the deed, your ownership will be registered with your county or city. Afterward, you receive the keys. Unless your contract demands a delayed move-in time, you can move into the house as soon as you are able. Transferring ownership takes a little longer than the previous steps.
It may take several days or multiple weeks. Call our Home Loans Experts at to begin your mortgage application, or apply online to review your loan options.
The mortgage closing process relies on multiple factors. Here are some of the most common problems you may encounter. Your lender relies on a variety of documents and numbers before approving your loan and purchase. In particular, they focus on your credit score and your debt-to-income ratio. If your credit score is too low, lenders may worry about your ability to repay the loan. They might take it as a sign that you will struggle with the bills. But each lender is different in the minimum credit score they want, and you can improve yours over time.
Then, the debt-to-income DTI ratio is a measurement of your gross monthly income and how much of it goes to debt. Like the credit score, lenders have a certain number they are willing to approve. Your lender will require a home appraisal before providing you with your mortgage loan. This can lead to delays if the home under appraises, leaving the buyer and seller to agree on new terms or if the appraiser requires repairs to the home. Your lender needs the home to have a certain value since they use it as collateral for their loan.
Note that if you waive an appraisal contingency on your purchase agreement, canceling the contract will result in you losing your earnest money deposit. Home inspections are integral to the real estate transaction process and reveal any issues. The bottom line is that choosing a lender you trust — and one with whom you feel comfortable communicating frequently — will be crucial to saving you time, money and stress.
Home Buying - 7-minute read. Hanna Kielar - November 03, There are several types of home loans to choose from when buying a house. Learn more about the pros and cons of each type of mortgage to find the one for you. Lauren Nowacki - September 10, Getting ready to apply for mortgage preapproval? Check out our comprehensive mortgage preapproval checklist to make sure you have everything you need.
Victoria Araj 4-minute read October 25, Share:. How Long Does Closing Take? Closing Day Expectations Although you can expect the closing process to take a month or more, the closing itself will take only 1 or 2 hours.
Closing documents typically include: The promissory note : This document shares the financial terms of your loan, and serves as your agreement to repay the full loan amount. The mortgage note : Similar to your promissory note, the mortgage note outlines the terms of your mortgage, such as the down payment and loan total.
Deed of trust : Also known as a security instrument, this agreement allows your lender to foreclose or sell your property if you stop making payments. Take the first step toward the right mortgage. Keep in mind that the escrow process and timeline can vary based on your market, lender, property type, financing type and the overall complexity of the transaction.
You should also note that some of the steps below happen concurrently. Some cash buyers opt to waive contingencies, which can speed up the process. Your closing date will usually be agreed upon with the seller during offer negotiations. But, your closing date could get pushed back a few days or even a few weeks based on unexpected setbacks. Here are some of the common issues that can lead to a delayed closing.
Most of the time, delayed closings are related to finalizing your mortgage. This can be anything from appraisal concerns to missing financial documentation to an inexperienced loan officer.
If your appraisal comes in at or above the contracted sale price, it should be smooth sailing. If the seller has any unresolved liens or judgments on the home, or if any other ownership disputes are uncovered during the escrow process, the closing can be delayed while these issues are resolved. Not only will it help you prevent delays during the escrow period, but it will make any offers you submit look more legitimate in the eyes of sellers, since they know you can pay for the home.
As soon as your offer is accepted and the contract is executed, schedule your home inspection. In some states, you are required to schedule the inspection within days. If you can be ready for what your lender needs, you can reduce the total number of days required to get your approval dramatically; and can get your loan approved ASAP. Your lender will remind you of this often.
The home buyers who are the most prepared will typically be the ones who can close on their home the fastest. Mortgage lenders like paperwork. Common paperwork includes W-2 statements and federal tax returns from the last 2 years; your two most recent paystubs; and your last two bank statements.
You should also have a copy of your drivers license handy, as well as the social security numbers of everyone whose name will be listed on the mortgage. Furthermore, if you know you have a unique credit situation such as a recent short sale or foreclosure; child support or alimony payments; or gift funds from a relative , have the relevant, related documentation ready.
Consider scanning them somewhere and having them ready in advance. This can save days off your approval time and help you reach your closing more quickly. There are two reasons for this.