A handful of lenders have extended the rate holds on their “quick close” specials.
Quick close rates are typically offered to people closing within 30 days (of application submission). That’s largely because lenders don’t have to hedge their rates as long, which saves them money.
Lately, however, lenders like Home Trust and MCAP have come out with 45-day quick closes.
Some lenders are even pairing their lowest rates with 60-day holds.
Competition is largely behind it. Lenders are offering their best rates for another 15-30 days to separate themselves from the pack and/or funnel in deals within specific timeframes.
If we’re lucky, maybe the 45-day quick close will stick around for a while. The extra 15 days do come in handy at times.
Now 45-day quick close then as you
mention 60-day. Next will be 75 and 90.
Then someone will come out with a 30-day quicker close with a super discounted rate. You guys sound like a bunch of laundry detergent salesmen rather than respected financial experts.
the challenge with the quick close rates is that they are usually ‘no frills’ ones and expectations with buyers must be managed properly. Eg. limited prepayment privileges.
Thanks Jeff,
At least you analogized us to a clean business. LOL.
In fact, there’s no sale being made here. This is merely an observation of what some lenders are doing in the marketplace.
All the best,
Rob
The rudeness of some people never ceases to amaze.
To Jeff, If you cannot add comments that are helpful why don’t you go find another site to insult people on.
Rob,
Thank You for another interesting mortgage industry related news.
I learn so much following your Website.
Regards from Ottawa …
Thanks Bosko! Hope all’s well in the capital…
Rob
I don’t see any downside to different mortgage options. A little more work to keep track of but still a good thing.
Guess I forgot to add my “LOL” Rob.
Love your site keep up the good work.
Jeff
I would disagree and say most quick close rates are NOT no frills. Almost every lender has quick close rates now.