Home Buying in Chicago>Question Details

Brittany, Home Buyer in Chicago, IL

Is it normal for a pre-approval to take over a month? What are my options? Should I just walk away?

Asked by Brittany, Chicago, IL Mon Sep 24, 2012

I have already been pre-approved for an FHA Loan through Wells Fargo but majority of the condos in Chicago are not FHA approved so I decided to just go the conventional route.

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25
Scott G Peterson’s answer
No, that is not normal. Only exception would be if your lender was waiting on you to provide them necessary information/documentation. A good lender should be able to provide you a pre approval within days not weeks. I have excellent lending partners that I would be happy to provide you with who could do just that. If you are interested in an excellent referral, please give me a call. 773-588-2800.

Best of luck to you!

Scott G Peterson
0 votes Thank Flag Link Sun Sep 30, 2012
Who is your agent and what is her or she advising?

Sohail A. Salahuddin | Group Founder

Innovative Property Consultants Group | Sales and Leasing

http://www.innovativepropertyconsultants.com



Jameson Sotheby’s International Realty

425 W. North Ave. | Chicago, IL 60610 


O: 312.335.3230 | C: 312.437.7799 | F: 847.805.6030

"Locally Known, Globally Recognized"
0 votes Thank Flag Link Fri Oct 5, 2012
Brittany, you should consult with other lenders/brokers. Perhaps contact A&N Mortgage or Guaranteed Rate, two great smaller local businesses that will give you more personalized service than a big bank like WF, Chase or Citibank. No reason to wait more than a few days for a pre-approval....
0 votes Thank Flag Link Fri Oct 5, 2012
Recently, I've had buyers having a difficult time with Wells Fargo. Really. They have been asking for absurd documentation, charging exorbitant fees, and changing what they want.

Your best bet is to find three reputable lenders (a good buyer's agent can always recommend some), and see how they respond to you. Drop the ones that don't return phone calls, take a more than a couple of days to pre-approve you, or aren't clear about the fees associated with the loan or the options available to you.
0 votes Thank Flag Link Thu Oct 4, 2012
That would depend upon the lender and what they require you to provide in terms of paperwork and the property itself. Even if pre-approved it is not 100% that the lender will make the loan. Several other factors are tied into their decision. Ask the lender what those requirements are. If you walk away you are likely to start over! My recommendation is to talk to a Real Estate agent about the best local lenders in the Chicago area. Wells Fargo may have a local store front but they have to report to a lot of folks to get a loan approved.
0 votes Thank Flag Link Sun Sep 30, 2012
Brittany,
I'm so sorry to hear that it has taken over a month to get a pre-approval letter from your current lender. The pre-approval process can be done within 24 hours, it all depends on the lender you work with. If you need further assistance with this process, I'd be happy to help you.

Cecelia Marlow - Vice President of Mortgage Banking
The Federal Savings Bank
312-738-6294 direct
0 votes Thank Flag Link Tue Sep 25, 2012
It is not normal for a pre-approval to take over a month. You may want to consult with another lender.
0 votes Thank Flag Link Tue Sep 25, 2012
A pre-approval may take longer than a pre-qualificaiton, but I as well think that 1 month is too long. I would be happy to help with your approval for a mortgage. Joanna 312-307-2787
0 votes Thank Flag Link Tue Sep 25, 2012
I suggest going to another firm for financing.

Sohail A. Salahuddin | Broker Associate | Visionary

Innovative Property Consultants Group | Sales and Leasing

Jameson Sotheby’s International Realty

425 W. North Ave. | Chicago, IL 60610 


O: 312.335.3230 | C: 312.437.7799 | F: 847.805.6030

http://www.innovativepropertyconsultants.com

"Locally Known, Globally Recognized"
0 votes Thank Flag Link Mon Sep 24, 2012
Brittany,

As you must've heard by now, no, it shouldn't take this long. I did want to let you know about an alternative financing program to FHA that lets you buy a condo with as little as 3% down, has reduced cost mortgage insurance (which means your monthly payment will be MUCH less than with a comparable FHA loan) and even can provide you with Down Payment Assistance up to $6000!

If you'd like to see if you qualify, you can give me a call, shoot me an email, or fill out a FREE no-obligation secure application at my website.

Thanks!

Matt Bukovy
Senior Mortgage Consultant
Wintrust Mortgage
773-938-8214
mbukovy@wintrustmortgage.com
Web Reference: http://www.mattbukovy.com
0 votes Thank Flag Link Mon Sep 24, 2012
...as long as you have provided the proper documentation to your lender it should take 1-2 days Max.

Should you need any assistance, feel free to contact me.

Bill J Deligiannis
First Centennial Mortgage
B.Deligiannis@GoFCM.com
630-788-5288
0 votes Thank Flag Link Mon Sep 24, 2012
I am sorry. It seems as if I was not very clear when I asked my first question. I need to get pre-approved for a conventional loan. Which is taking almost over a month. I have not found a property because I do not have a pre-approval letter. So what I was orginally asking is this normal? Should an intial pre-approval letter take over a month?
0 votes Thank Flag Link Mon Sep 24, 2012
Revise your sales contract and check what is the date that you have to close this transaction. And contact your loan processor and ask him how long it will be before you can close.

Best of Luck,

Maria E. Cipollone

http://www.Flahomespecialist.com
0 votes Thank Flag Link Mon Sep 24, 2012
No it does not take that long. My web site has some lender references if you need them
0 votes Thank Flag Link Mon Sep 24, 2012
Thank you Philip. Do you know what the problem could be?
Flag Mon Sep 24, 2012
Hello Brittany,

It sounds like you already have a pre-approval letter and need to work on the final approval for your closing. If this is the case it takes about 45 days in some cases even longer when dealing with the big banks. There are smaller banks that specialize in the quality of service that can get you fully approved within a two week time frame.

If you are under contract and waiting for a clear to close then I suggest you wait and push the buttons of the branch manger and the lending manger. A little kicking and screaming goes a long way in the banking world. If you are not under contract and just want to know if you can be fully approved before you commit then I suggest you seek a better lender. I like to use Tom Meneses at Standard Bank & Trust, he is very knowledgeable and upfront about what he can and cant do. His number is 312-952-2126.

Good Luck!!
Jorge Vega
Web Reference: http://www.myownhome.info
0 votes Thank Flag Link Mon Sep 24, 2012
Thanks Jorge, I am have been pre-approved for a FHA loan but not a conventional loan. I am currently waiting on a pre-approval for the conventional loan.
Flag Mon Sep 24, 2012
As mentioned, as long as you have provided the necessary documentation, you should be able to know if you are preapproved or not within a day or so. At a minimum your documents will be analyzed and your credit will be pulled.

As per your follow up comment on not finding an FHA approved building, that's entirely different. The path of easiest financing is to qualify for a Conventional Loan.

Should you need any assistance in obtaining a Pre Approval feel free to contact me.

Sincerely,

Bill J Deligiannis
First Centennial Mortgage
B.Deligiannis@GoFCM.com
630-788-5288
0 votes Thank Flag Link Mon Sep 24, 2012
Matt is correct to question because if you're under contract with a place it generally takes 30-45 days for your lender to approve your mortgage. However, if you're just looking for a pre-approval letter from your lender telling you how much you're able to afford in order for you to get out there and start your home search it should only take you 24 hours after you send in all of your financial information. If they're taking more than a couple days, that may be foreshadowing how slowly they'll work once you go under contract - I would stick with Guaranteed Rate or Wintrust Mortgage - they're my go-to's.

Hope this helps!

Jeff Stewart
REALTOR®, @properties
3101 N. Greenview Avenue | Chicago, IL 60657
309-269-3499 CELL | 773-305-0480 FAX
jeffstewart@atproperties.com
0 votes Thank Flag Link Mon Sep 24, 2012
No, I am sorry if I wasn't clear. I haven't even had the opportunity to go look for a home because i am still waiting on the pre-approval letter. So I am not waiting on the loan to get processed, I am still waiting to get pre-approved.
Flag Mon Sep 24, 2012
Brittany:

I will assume that you mean your actual loan commitment (or loan approval) is taking over a month. If so, then you should not be too alarmed by the length of time. In the past, 30 days was more than enough time to get approved. However, the norm these days seems to be about 45 days based on my experience. Lenders are much more conservative now and will take every precaution to make sure they are not at risk. Just make sure to constantly keep pressure on them.

Let me know if I can help you in any way.
0 votes Thank Flag Link Mon Sep 24, 2012
then wells fargo should be give you a different approval in 24 hours
0 votes Thank Flag Link Mon Sep 24, 2012
Brittany - this is absolutely un acceptable. You shoudl be able to obtain a pre approval with in 24 hours from the time that the lender has received the requested documentation.
You would benefit from checking with another lender. I am happy to help if you would like a fast and reliable pre approval.

Sam Sharp
Senior VP of Mortgage Lending
Guaranteed Rate
773 290 0455
0 votes Thank Flag Link Mon Sep 24, 2012
I am confused, do you mean for your loan to be processed its taking over a month? With Wells fargo, it could be normal. They typically take about 40 days or so to process. Normal case is about 30 days. It all depends on how quick you get your docs to them too though.
Web Reference: http://AmericorpRe.com
0 votes Thank Flag Link Mon Sep 24, 2012
A lender should be able to give you a pre-approval letter within the same day. Let me know if you would like me to refer you to a lender. Hope that helps. Thanks.
0 votes Thank Flag Link Mon Sep 24, 2012
Brittany,

Pre-approval should only take a day. I can recommend a better lender for you to work with.

You are right, there are not many FHA approved condos available.

Best of luck,
Ivan Sagel
312-515-7823
IvanSagel@DwellOneRealty.com
0 votes Thank Flag Link Mon Sep 24, 2012
Brittany,

Pre-approval should only take a day. I can recommend a better lender for you to work with.

You are right, there are not many FHA approved condos available.

Best of luck,
Ivan Sagel
312-515-7823
IvanSagel@DwellOneRealty.com
0 votes Thank Flag Link Mon Sep 24, 2012
Your lender should be able to provide you a pre-approval within 24 hours MAX after you provide the financial documents they need to run your application through their desktop underwriting system.

If the lender is too busy or too lazy to do it in less than a month just think of how long it will take them to close.

The lenders I work with routinely provide client's with pre-approvals the same day they speak as they actually care about earning your business.

If you want a reputable lender please let me know and I'll provide a list of names of people who will make your file a priority.
0 votes Thank Flag Link Mon Sep 24, 2012
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