Most of the time, when talking with someone in the real estate field about the Ten Day Close I always seem to get the same question:
It isn’t really possible to close loans consistently in ten days… is it?
And I tell them that for most loan officers that work at either brokers, mortgage bankers or the large lenders — the Ten Day Close is probably close to impossible to pull off on a consistent basis. Even home builders will tell you that a ten
day close is unreasonable to expect.
And that makes them fee a little better.
It makes them smile and think quietly “ok, good — I knew it was impossible” — right up until I tell them:
But the guys at Academy Mortgage and behind TenDayClose.com are different.
Why The Ten Day Close Is Impossible For Brokers
If you are a mortgage broker, there is no possible way that you can close loans in ten days on a consistent basis. Why? Because you have to rely on the wholesale lender to underwrite your loan, close your loan and fund your loan in less than 10 days. I have two words for this group who want to try to close loans on a consistent basis…
No. Chance.
Why The Ten Day Close Is Impossible For Mortgage Bankers
If you are a mortgage bank and have the authority to underwrite and close loans in your name – chances are that the Ten Day Close is also impossible for you. Why? Because most mortgage banks have centralized the underwriting and closing function in-house for their remote sales branches. So the hub and spoke business model makes one big operations center where decisions are made by someone totally insulated from the customer and at best indirectly influenced by the loan officer on what needs to get done when.
Why The Ten Day Close Is Impossible For The Big Banks
Bank of America. Wells Fargo. Chase. Citibank. These are some of the biggest lenders in America and the Ten Day Close is something that they simply scoff at. Why is it impossible for them? I don’t even know where to begin. I have had customers tell me that it took ten days just for a loan officer to call them back from these places.
So if the Ten Day Close is impossible everywhere, how can it be done?
In my experience, there is only one recipie for success when it comes to getting loans closed in ten days on a consistent basis — work with a mortgage banker who has:
- In house processing
- In house underwriting
- In house closing
- In house doc drawing
- In house funding
- An operations manager who is on-site in the branch office and not in the hub-and-spoke model
In order to get a loan closed in ten days, if your loan officer has all of this behind him — chances are that it is not only possible… but likely that they can deliver.
Throughout my lending career, I have been known for my knowledge, experience, honesty and integrity. I hold my mortgage and accounting experience in high regard. I have been involved in the real estate finance industry since 1996 when I took my first job as a loan office.
