Days for the loan application and submission of the inspection report

[compiler]

What is the name of your state?GA
My agent puts 5 days to make application for the Primary Loan and 7 days to provide a seller with an inspection report from Binding Agreement Date. I think I may be constrained by the tight time. How many days do you recommend to put in the purchase agreement for the loan application and the submission of the inspection report in case an offer is accepted? Thanks.

[HomeGuru]

Originally Posted by compiler

What is the name of your state?GA
My agent puts 5 days to make application for the Primary Loan and 7 days to provide a seller with an inspection report from Binding Agreement Date. I think I may be constrained by the tight time. How many days do you recommend to put in the purchase agreement for the loan application and the submission of the inspection report in case an offer is accepted? Thanks.

**A: your agent is an idiot. Ask your agent's principal broker.
I would say 10 and 15 days, respectively.

[CAlandlords]

5 days SHOULD be long enough for you to APPLY for the loan. That's all that means, if you are stating it correctly in your post. It doesn't mean APPROVED for the loan. The loan contingency is what you want to be longer than 5 days.

If your agent can get an inspector out in a day or two and the inspector can get the report back you a day or two after that, then that is also enough time - again, if you are stating it correctly in your post. It's the inspection CONTINGENCY that you would want to be longer to give you time to review the report and ask for repairs.

[compiler]

Yes, 5 days does not mean the loan approval must be made within 5 days but I am required to report the seller which lender will process my loan application from the Binding Agreement Date. I am afraid that I may not find a best lender within 5 days because I need to compare the rate, term, closing fees etc. You think 5 days is not tight?

As for the inspection report, it states, Within 7 days from Binding Agreement Date, Buyer shall provide Seller with (1) a signed written amendment to this Agreement requesting Defects to be repaired and/or replaced, and (2) a copy of all reports of inspectors describing those Defects. If Buyer does not timely present the written amendment and inspection report(s), Buyer shall be deemed to have accepted Property “as is”.

I am afraid I am unable to control the inspection time, for example, the inspector may change his schedule or delay the completion of the inspection report. I heard the seller likes the short contingency time period. What is your opinion?

[HomeGuru]

Originally Posted by compiler

Yes, 5 days does not mean the loan approval must be made within 5 days but I am required to report the seller which lender will process my loan application from the Binding Agreement Date. I am afraid that I may not find a best lender within 5 days because I need to compare the rate, term, closing fees etc. You think 5 days is not tight?

As for the inspection report, it states, Within 7 days from Binding Agreement Date, Buyer shall provide Seller with (1) a signed written amendment to this Agreement requesting Defects to be repaired and/or replaced, and (2) a copy of all reports of inspectors describing those Defects. If Buyer does not timely present the written amendment and inspection report(s), Buyer shall be deemed to have accepted Property “as is”.

I am afraid I am unable to control the inspection time, for example, the inspector may change his schedule or delay the completion of the inspection report. I heard the seller likes the short contingency time period. What is your opinion?

**A: you already have my opinion.

[CAlandlords]

Originally Posted by compiler

Yes, 5 days does not mean the loan approval must be made within 5 days but I am required to report the seller which lender will process my loan application from the Binding Agreement Date. I am afraid that I may not find a best lender within 5 days because I need to compare the rate, term, closing fees etc. You think 5 days is not tight?

As for the inspection report, it states, Within 7 days from Binding Agreement Date, Buyer shall provide Seller with (1) a signed written amendment to this Agreement requesting Defects to be repaired and/or replaced, and (2) a copy of all reports of inspectors describing those Defects. If Buyer does not timely present the written amendment and inspection report(s), Buyer shall be deemed to have accepted Property “as is”.

I am afraid I am unable to control the inspection time, for example, the inspector may change his schedule or delay the completion of the inspection report. I heard the seller likes the short contingency time period. What is your opinion?

Not only should you be able to pick a lender in 5 days, but you NEED to pick a lender within the first 5 days or you won't close on time, if you have a 30 day close. Be sure to get Good Faith Estimates from each lender you speak to and compare them all on the same day or else you will not be comparing apples to apples. You should have already had a lender selected prior to making an offer in the first place though.

You should extend the inspection period to 14 days or 10 at the very least. Just remember to act quickly. Make note of the dates or have your Realtor give you a list of all the contract dates.