I recently experienced an extreme delay (still ongoing) in getting a client closed on their purchase.
They sold their current home which had a USDA loan (closed for them in 2012). As many of you know there have consistently been more government intervention, additional consumer disclosures and accountability put in place on the financial industry; specifically mortgage originators and the companies they represent.
In a society where we have access to online and instant information why has the mortgage industry lagged in this area? They closed their sale 20 December, USDA still hasn’t reflected their loan as closed. We have been working diligently to try and connect the dots and have USDA reflect prior loan as closed. You see, USDA only allows one mortgage loan at a time for a borrower. Add to the frustration the holiday schedule/closures between Christmas/New Years, inclement weather in the Midwest, and so on.
So what do you do when your transaction isn’t closing…
Have a contingency plan. Make arrangements to rent back current home OR stay with family. Although not convenient may save $$ in the long run, especially if your transaction closing gets delayed more than a few days.
I trust we will resolve but feel for the client and his family who have been displaced and looking to us to close their transaction as soon as possible.