Refinancing Delays
As a Delaware real estate attorney who’s helping many previous clients and new clients with refinancing their mortgages, I’ve begun to see an alarming trend among lenders. The loan officer notifies the customer that the mortgage has been approved, and that it’s now okay to schedule the closing. The customer calls me and we agree on a closing date. Payoffs are ordered for that date, and my client makes arrangements to take off work and have someone watch the kids.
The day before the closing, and sometimes the same day, the mortgage company calls to let us know that they’re not ready, and that the closing has to be postponed for a few days or even a few weeks. This is especially frustrating for those clients who are expecting to get cash back from their refinancing so they can pay bills. It's also a little worisome if you're facing the expiration of your rate lock.
Under these circumstances, my recommendation is to keep in touch with your loan officer on a regular basis. Email is really the best way. Each time you write, ask if there are any conditions that have not yet been met, and if there’s anything you can do to move matters along.
Once a closing date has been scheduled, again write to your loan officer letting them know the date of the closing, and reminding them how important it is to you for them to honor that date.
