From Shopping to Close, LendingTree Study Finds Mortgage Process is Getting Faster
A LendingTree study finds that the mortgage process is speeding up. The study analyzed data from a sampling of more than 5,000 closed loans from March 2016 through May 2017 and reviews the timeline for the entire mortgage shopping experience – from first submitting a loan request and being matched with a lender to the date of the mortgage loan closing.
The mortgage process is speeding up. The study revealed that the median time from early rate shopping to closing on a purchase mortgage declined 7 days from 2016 to 2017.
The digital mortgage revolution is transforming the way consumers shop for loans and the way mortgage providers meet their needs. Average closing times have shortened over time as the process becomes more automated, simplified and streamlined. LendingTree currently has 13 fully digital lenders, 6 lenders in the process of becoming fully digital and more than 20 lenders at least somewhat digitally integrated. Along with shorter timelines, LendingTree has seen an increase in average overall ratings for home purchases on its network in the past two years.
More consumers are closing faster. From 2016 to 2017, LendingTree has seen a 19% increase in the number of loans closed within 30 days and a 27% increase in loans closed in 60 days.
Tips to ensure a smooth closing process with minimal delays:
- Be Knowledgeable. Know what you can afford and what your budget is. This is often different from what a borrower may be approved for.
- Be Organized. Lenders will ask for recent paystubs, bank statements, proof of down payment, and more. Have these documents prepared ahead of time to avoid delays.
- Be Fast. When your lender reaches out for documentation, speed matters. Respond to their requests as quickly as possible.
- Be Available. Make sure your lender knows how to contact you, and try to respond each time they contact you. They are working on many files, and you want to be on the top of their list.
For more information, please visit https://www.lendingtree.com/home/mortgage/.