Impacts from new federal guidelines were felt in November, creating additional time requirements to close on a mortgage for home buyers. Home sales were down in November, with home which otherwise have closed in November to be pushed into December.
The average time to close on a mortgage was 49 days in November, the longest timeline since February 2013, according to Ellie Mae's latest Origination Insight Report. Conventional and FHA loans each averaged 49 days while VA loans averaged 50 days.
The National Association of Realtors® has flagged the new RESPA-TILA "Know Before You Owe" mortgage regulations, which took effect Oct. 3, as the likely culprit for the longer closing times.
NAR reported last month that…