Shorter Mortgage Closing Period in March 2014

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It now takes less time to close a home loan compared to a month ago and to a year ago as well. The shorter closing period is primarily due to the faster application approval. Home buyers can really benefit from this situation as long as they have a strong application and all of their documents in order.

In March 2014, it took an average of 40 days to close a mortgage loan. For comparison, in February 2014 the average closing period was 41 days. In February 2013, this period was 46 days. The average number of days for closing a purchase mortgage in March of this year was 41 days compared to 44 days in February of last year. The closing period for mortgage refinance was 37 days in March 2014. In February 2013, it was 37 days.

Refinance at
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The main reason for the shorter mortgage closing period is the lower demand for home loans during the first quarter of 2014. As lenders received fewer applications, they could process them more quickly. The faster approval resulted in fewer days needed for closing. At the same time, home buyers had plenty of time for property inspections and other important tasks related to the purchase of a house.

The average closing period for mortgage refinance experienced the most significant decrease on an annual basis. It is 10 days shorter in March 2014 compared to February 2013. This can be explained with the major increase in the demand for refinancing. In March 2014 only 40% of all approved home loans were used for refinancing. This figure was significantly higher a year earlier. It was higher in February 2014 when some 43% of all newly originated mortgages were used for refinancing.

The mortgage closing period is likely to increase in the coming months due to the lower home loan rates and the traditionally busy house buying season. This is yet another reason for home buyers to act fast.

Christian

Christian

Christian Calvin mortgage Christian is a contributing writer for Mortgage.info. He is a graduate from the University of Tennessee with a degree in Communications and a concentration in Broadcasting. Christian has served as vice-president for a privately-held company for more than 20 years. Additionally, he has also applied his writing and business knowledge to various websites with a focus on business and sports news . . . both of which are passions. Christian enjoys playing golf and spending time with his family and friends.

Contact: christian@mortgage.info
Christian

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