Challenge: Obtaining a mortgage may require more steps than before.
Solution: Encourage clients to schedule a face-to-face meeting with a mortgage loan officer to review the home-loan process. This includes conversations on existing home equity, down payment options, and the length of the loan term given the individual’s financial circumstances. A mortgage loan officer will help guide homebuyers through the process and paperwork and ensure they are not missing crucial steps.
Challenge: Baby boomers may have unrealistic expectations about the time it takes to close a home purchase.
Solution: Fifteen years ago, the mortgage industry advertised the possibility of loan closing in 10 days or less. Following the housing bubble, the loan process typically requires more documentation and verification. In May 2013, the mortgage industry’s average time to close a purchase loan was 44 days, according to the Ellie Mae Origination Insight Report, June 2013. Clearly communicate with clients and set realistic expectations about the timeframe in order to carry out the home purchase process as efficiently and smoothly as possible.
Challenge: Baby boomers may not be aware of new resources and tools available.