How to Close on a Home Quickly

Congratulations! You've finally found the house of your dreams and submitted an offer. Now on to the tricky part - getting your loan approved.

How Long Should it Take from Purchase to Closing on a Home?

Once your offer is accepted by the seller, your loan application will be submitted to an underwriter for approval or disapproval based on your financial and credit standing. This process, which can take as short as two weeks or as long as two months, is often the most stressful time for a new home buyer.

It is common for a new buyer to be excited about their home purchase only to hear horror stories that their loan may be denied or the offer may fall through. This anxiety or uncertainty can also be heightened if the buyer needs to move quickly, and has to consider a temporary rental until the house closes. While this situation is never ideal, there are certain steps that can help move the closing process along. Here are a few tips and quick close solutions:

• Know what you can afford.
• Know your credit score.
• State all financial information upfront and truthfully.
• Provide paper and electronic copies of all financial documents.
• Ask the right questions and think ahead. Regularly ask your lender if there is anything else you can provide to help your portfolio. By politely asking, “What's next?” you may help create a sense of urgency that can help speed the process and get you into your new home more quickly.

If you've done your buyer homework, crossed all your T's and dotted your I's, your home will be more likely to close in a desired time frame. However, if you're still in escrow and need to move quickly due to lease expiration or other unforeseen event, you may find yourself looking for a temporary rental. The situation may short-term plan, such as a lease. If you have a lot of furniture and belongings, you may want to put them in storage for a month or two while you find a smaller month-to-month rental. If you're unable to find a temporary living arrangement, you can also consider staying with family and friends during this time. This moving to move may cause an unneeded headache, but at the end of the day, you will be much happier you decided to wait out your loan when you're able move into your new house and call it home.