Time to close all loans held steady at 44 days last month, according to Ellie Mae’s latest Origination Insight Report. Average time to close purchase loans held fast at 45 days, while the average time to close a refinance saw a spike from 41 days in March to 45 in April. Average time to close FHA
loans crept up one day to 45 days, while average time for VA
loans held steady at 48 days.
The average closing time of 44 days, which has held steady for two months, is the lowest since March of 2015. Average closing time spiked following the introduction of the TRID disclosure rules for loans applied for after Oct. 3, 2015; according to Ellie Mae data, loan closings took three or four more days in November than they did in October. Those levels remained high for the next few months before beginning to settle down in February and finally hitting their current low in March.
Loan closing rates, however, lost ground, dropping to 69% in April from March’s high of 71%. And credit remained tight, with 68% of purchase loans and 69% of refis having FICO scores of 700 or higher.
What do you think? Are TRID delays abating, or do these numbers not tell the whole story? Let us know your thoughts in the comments below.
Loan closing times appear to be stabilizing on the average, according to new data from Ellie Mae. However, some types of loans saw closing times creep up last month