On average, closing on a house in California can take anywhere from 30 to 45 days, post-acceptance of an offer. This timeframe is fluid, influenced by the factors mentioned earlier. Each step, from financing approval to inspections, plays a crucial role in the overall timeline.
Speaking of mortgage lenders, the time it takes to close on your house can vary depending on the type of loan. For instance, a VA loan can take 40 to 50 days, and an FHA purchase loan takes roughly the same time. However, some mortgage lenders promise speedy closing timelines, as fast as seven to 10 days in some cases.
As little as two weeks. Nearly one-third of homes in the U.S. are bought with all cash. If a buyer has the cash available and provides proof of the funds, buying a house with an all-cash offer can happen in as little as two weeks.
The contract terms will determine when you can move in after closing. In some cases, it will be immediately after the closing appointment. You will receive the keys and head straight to your new home. In other situations, the seller may request 30, 45 or even 60 days of occupancy after the closing of the home.
Though it's rare (73% of contracts close on time, and only 5% of contracts never make it past closing day), there are also other reasons that a home's sale can fall through on the closing day, including cold feet, title issues, and unfulfilled contingencies.
Some buyers may be able to negotiate an immediate possession date. This means as soon as the transaction is closed and the deed is recorded, the buyer can move in. A few other common buyer possession dates may be 15 days, 30 days, 60 days, or even 90 days after closing, depending on how much time the seller needs.
Closing in 30 days is ideal, but it's usually only possible if the buyer's financial readiness isn't a barrier and no issues arise during the appraisal and inspection. With careful organization and clear communication among the buyer, seller and lender, you can speed up the time it takes to close on a home.
On average, the entire process should take between 6 and 12 weeks to complete once you've found your dream home. This start point is very important. Finding your dream home is likely to be the longest part of the process. It can easily take as long as a year depending on your budget and where you want to live.
Buying a home is a long, multistep process that can take several months or more. Even once you go into contract on a home, it typically takes more than a month to actually close. All-cash purchases can move much faster than those that are financed, as there is no mortgage lender involved.
Timing Requirements – The “3/7/3 Rule”
The initial Truth in Lending Statement must be delivered to the consumer within 3 business days of the receipt of the loan application by the lender. The TILA statement is presumed to be delivered to the consumer 3 business days after it is mailed.
Use pre-approval to speed up closing time
Often, a pre-approval can speed up closing by a week or more. This is possible because of the role which a pre-approval plays to a lender. Mortgage pre-approvals are dry runs: approvals based on an expected set of loan criteria which will eventually go to closing.
A closing date is established
In most cases this is within 30 to 60 days after the offer is accepted. The closing date is when you sign paperwork and take ownership of the home. Keep in mind that buyers don't always take possession of the home at closing.
Your lender is required to send you a Closing Disclosure that you must receive at least three business days before your closing. It's important that you carefully review the Closing Disclosure to make sure that the terms of your loan are what you are expecting.
The duration can vary, but sellers do not typically stay more than two months after closing. This is because most mortgages require the new owners to be moved in within 60 days after closing. During this time, legally is a licensee of the home, not a tenant, and does not hold the same rights as a tenant would.
Usually the sellers sign first but really it doesn't matter. They don't get any money until they sign everything so technically nothing has changed since you signed yesterday.
The buying a house timeline can be tricky to predict. It typically takes anywhere from four weeks at the low end to six months (or more) to shop for and close on a house.
The average is 54 days, but the process could take more or less time depending on factors like your loan type, how busy inspectors and appraisers are in your area, and what the title search uncovers. Ultimately, the slowest step in the home buying process is usually the mortgage.
How long does it take to exchange contracts? It usually takes around 8 to 12 weeks to reach the point where you're ready to exchange contracts. The actual process is quite quick, just needing a phone call between the buyer's and seller's conveyancers.
Closing Day Logistics
During the closing appointment, you will sign all the legal documents and transfer funds to complete the property purchase. Once this meeting concludes and the title company or attorney confirms the home is yours, you can move in immediately.
How long from clear to close is closing? Once your loan is approved and cleared to close, the mortgage team will have 3 days to finalize all of your closing documents so you're ready to complete the transaction.
The process of applying for and closing on a mortgage contains several different steps and typically takes anywhere from 30 to 45 days. Your closing can get delayed if there are issues with the appraisal, inspection, title or financing.
Can sellers stay in their house after closing day? Yes, sellers can stay in their house after closing day as long as all parties in the real estate transaction agree to a post-occupancy agreement in the purchase contract.
How long after closing until I get my money? If you chose to get paid via wire transfer, you can expect the funds to be available in 1-2 days. If you chose to be paid by physical check, it could take a few days longer.
Traditionally, the best day to move house is on Friday. That's because it keeps you from disrupting your work week, and you'll have the weekend to spend unpacking your boxes and setting everything up in your new home.