Home Buying in 90034>Question Details

Firsttime, Home Buyer in Los Angeles, CA

Lender is asking if the loan can be closed early. Is that the same as closing escrow early?

Asked by Firsttime, Los Angeles, CA Thu Feb 16, 2012

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19
Can't the lender answer that question themselves? It's like the cook at a restaurant asking the patron, when will the food be ready? They should know this, since they are doing the loan, right?
1 vote Thank Flag Link Thu Feb 16, 2012
I my view that is lenders request that escrow closes early. For the prospective buyers loan to close he or she has to be the owner of the property. The lender is aware of the escrow loan approval and the escrow closing dates. In addition, lender should have supplied written lock rate commitment. I would check with my Realtor but Lender's Request is only request.

Gail Mercedes Cole
EXP Realty
310.853.9933
0 votes Thank Flag Link Sun Jun 16, 2013
Absolutely! So long as all the players in the transaction are all on the same page. it can close earlier than the anticipated date. Good luck in your new home and I wish you many years of happiness.
0 votes Thank Flag Link Wed Mar 28, 2012
Escow is closed when the loan is closed. I ask all my clients if we can close early and if the agents are on board to close early. My average closing for Conv and FHA id 21 days. I always try for 10 though. The borrower and all parties have to agree to a fast closing when lenders like me ask. Escrow is closed after loan is recorded but you don't have to close early since you signed a purchase agreement for a certain close date.
0 votes Thank Flag Link Thu Mar 1, 2012
You may close early. Do your homework and get everyone paid and make sure you get your credit for items already paid. Congrats on your new house!
0 votes Thank Flag Link Thu Mar 1, 2012
You can close early if all team players are advised and everyone is on board and prepared for an earlier close.
0 votes Thank Flag Link Sun Feb 26, 2012
HI Firtstime,

I think that yes, it does mean that they're pushing for an earlier COE. So communicate this information to your agent and talk to Escrow to follow up and see if everything else is in place. Escrow can then ask the other party is they are willing to close earlier. If they agree and everything is ready then you have your new close of escrow day. Of course due diligence is prime. So good luck!

Mimi
0 votes Thank Flag Link Fri Feb 17, 2012
Escrow can only close when all promises by each party have been fulfilled. Your biggest one is providing the funds. The Seller's is providing the deed. But the other aspects of the agreement also have to be fulfulled potentially termite, retrofit, .....Both your Loan agent and your Realtor should be able to provide you the specifics. And these situations make clear why having experience professionals on your side is so important.
0 votes Thank Flag Link Thu Feb 16, 2012
Hi Firsttime:

If you close the loan early, that generally means that it will fund and monies are paid by your lender. You will be required to have your portion of funds in escrow and escrow must have all documents signed and ready to record at the County Recorders Office. Once you sign your loan documents, the loan will funds within a specified time frame, then the property sale records and title is transferred to the new owner.

So Yes! It would be closing early. Be aware that Monday is a legal holiday and no recordings will occur. If the loan funds this Friday, it will record most likely on Tuesday and you will pay interest on your loan over the weekend until it records without the benefit of being in your home.

Congratulations! Enjoy your new home!

All the best,

Kat Becker, Realtor
Prudential California Realty
katbecker@prula.com
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime,
You cannot close on Monday, President's Day! You need to get an closing extension date and go over your purchase agreement conditions with your agent.

Doug Perez
0 votes Thank Flag Link Thu Feb 16, 2012
Maybe they're wanting to close tomorrow since Monday is President's Day and they'll be closed.
0 votes Thank Flag Link Thu Feb 16, 2012
Lock rate does not expire before I close. Although the closing date is on a Monday.
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime:

Other than rate lock, the only reason I can think of for moving up the date might be so you do not fund on a Friday and close on a Monday whereby your pay interest on the loan over the weekend without actually owning the home.

It might be best for you to simply ask “Why?” and then decide...
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime,
Find out why they want to close early? If your lock will expire before you close, it could cost you money. If there is another benefit to you, it may be worth considering. Usually it's the seller or the agents wanting to close early, so I don't know why the lender would. Find out from them.
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime,

Be sure to confirm with your lender the expiration of your rate lock before making any changes to closing date in either direction.

Rob Spinosa
rspinosa@rpm-mtg.com
0 votes Thank Flag Link Thu Feb 16, 2012
Steve,

I don't know why the lender is asking. I decided to keep the closing date as is.
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime,

Once you sign loan documents and are acceptable by your lender, lender wire money to title company and escrow executes deed to record and closes.

Have you perform all other purchase conditions before closing?

Doug Perez
0 votes Thank Flag Link Thu Feb 16, 2012
Firsttime:

Yes, your loan is funded into escrow and typically the Deed is recorded the next day and escrow is closed.

Why are they asking for this?

-Steve
0 votes Thank Flag Link Thu Feb 16, 2012
It kinda is. Once you are funded escrow closes.
Web Reference: http://www.homejane.com
0 votes Thank Flag Link Thu Feb 16, 2012
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