Closing times continue to shrink, however according to United Wholesale Mortgage CEO Mat Ishbia, that’s still not good enough.
Ellie Mae recently came out with a study that showed closing times for March were the fastest they’ve been in more than two years, since February of 2015. At 43 days, time to close dropped from 46 days in February.
Ishbia points out that 43 days is a long time, and gives lender the opportunity to market themselves to real estate agents and buyers by offering platforms that can close a loan in even 30 or 35 days.
“Closing loans in less than 30 days is happening all the time in the broker world, so take advantage of that data, go get some business and close more loans with Realtors and borrowers across America,” Ishbia said in his monthly 3 Points video.
He also explained purchases from first time homebuyers is up 30% from March 2016, creating more opportunities for lenders. He explained that, in order to market to the demographic, industry professionals would need to offer more services online.
“Realize that first-time homebuyers and Millennials are one and the same most of the time,” he exhorted, pointing out that 73% of Millennials go online to buy their house.
Here is Ishbia’s 3 Points video on the latest trends in May: