Back in September we shared a report from the Wall Street Journal about how real estate industry bracing for a negative impact from new rules being promulgated by Dodd-Frank.
Fast forward to this week and the WSJ is reporting that it’s now taking home buyers longer to get a mortgage which is being attributed to the new federal rules that were supposed to make mortgage terms easier to understand. Indeed, the report goes on to say that mortgages took an average of 49 days to close in November – which represents a 3-day increase from October’s average and the longest closing time since February 2013.
“Everything is in turmoil right now. Nobody knows what they’re doing,” said Kelly Welch, executive vice president at lender Equity Resources Inc. in Newark, Ohio. So far, Ms. Welch said her company has closed more than 300 loans under the new regime.
Click here to read the full story, New Federal Rules for Mortgage Forms Blamed for Delaying Loans, WSJ 12/21/15