Time to close on a mortgage loan is once again increasing. The average time in January climbed to 50 total days, up four days since the “Know Before You Owe” mortgage disclosure rules took effect in October, shows a new report released by Ellie Mae.
Over the past year, the average time to close on a loan has grown 10 days longer. In January 2015, the average time to close was 40 days, according to Ellie Mae’s report.
Also, Ellie Mae’s report showed the average FICO score was down last month, averaging 719 on closed loans (down from 722 in December). That is also the largest month-to-month drop in FICO scores since mid-2015, Ellie Mae notes.
Source: “The TRID Ripples: Time to Close Mortgage Loans Continues to Rise,” HousingWire (Feb. 17, 2016)