Market Shockingly Hot; Fast Closes Are A Thing Again; Out Of State Lender Horror Story

Horror Story of the Month

A buyer came to us recently after making offers for over two months and losing out on every one.

He was using an out-of-state lender that needed 35 days to close.

We pre-approved him in a day and he got his offer accepted the next day.

What we did differently: we offered a 14-calendar-day close, and we called the listing agent, who happened to know us too – and boom – offer accepted, despite multiple bids.

I suspect that many of the loan officers who read my blog are rolling their eyes because they do the same thing.

But – that is my point. Most out-of-state/call center lenders do not – and it was costing that buyer dearly.

I might add that our rates were lower too. So that lender was good at capturing leads, and … not much else.

Fast Closes Are a Thing Again!

This is something else that is surprising the heck out of us!

We take great pride in our ability to close very quickly and … for most of last year… nobody cared, at all, not even a little. 😊

But, all of a sudden our fast closes are not only in demand again, they are here!

I mentioned previously that we had a huge week for contracts last week – which surprised us because it is so early in the year.

But – what was also very surprising was that SIX of the contracts had 14-day closes – so they are clearly a thing again.

The housing market went from an ice bath to a hot shower

By Ryan Lundquist on Jan 30, 2023

The above heading links to a blog by the best appraisal blogger in the industry – Ryan Lundquist.

He focuses on the greater Sacramento market but it is often a bellwether for what is happening across the country, and his blogs are just very educational in general – so I always recommend them.

Long story short: Ryan too is very surprised by how hot the market is right now, after being frighteningly cool in late 2022.

He also mentions continued inventory issues, as sellers remain reluctant to give up their 3% mortgages.