Written By: Chase Crenshaw, Mortgage Advisor & Loan Officer at Barrett Financial, NMLS #2100530, and CCAR Affiliate Committee Member
Whether you’re new to the industry or a seasoned pro, this blog will shed some light on what’s happening right now in the mortgage world and how we can work together to make your deals go as smoothly as possible!
Top Questions I Get from Real Estate Agents
- “How fast can a loan be closed?”
Turn times vary between lenders and even type of loan, but with a fully underwritten pre-approval and a responsive borrower, 15–21 days is realistic — even in today’s market. - “How can we guarantee our borrower is getting the best deal?”
Rates aren’t always apples-to-apples. It’s important to look at the total cost of the loan, including fees and terms, not just the interest rate. Think of interest rates like the stock market — constantly moving. They typically follow the 10-year Treasury bond. As that bond goes down, rates tend to follow. A quick rule of thumb: take the 10-year bond yield and add about 2.5% to get a ballpark 30-year mortgage rate. - “Should I expect updates throughout the process?”
Absolutely — communication is key. Find a local lender that provides timely updates. Honestly, most updates in 2025 are automated (thank you, robot overlords!), so this part of the job has become way easier to manage.
What’s Changed Lately
- Credit guidelines are getting a little tighter
Some lenders are playing it safer these days, especially after going through tighter audits last year. Even when the official guidelines haven’t changed, overlays can vary by lender. It’s always a good idea to double-check exactly what your buyer qualifies for, just to avoid surprises. - Interest rates are bouncing around
Inflation, Fed meetings, global news, it’s all making rates more volatile than we’ve seen in a while. What looked good last week might not hold up today. Pre-approvals need to be refreshed regularly to keep your buyer competitive. - Appraisals — and insurance — are under the microscope
Low appraisals happen and more agents are asking how to dispute them, which is totally possible. Just know that timing and documentation are everything. Also, try to build a little wiggle room in your closing timeline to allow for renegotiations or appraisal turnarounds. Insurance is impacting deals more than ever. Homeowners insurance premiums are rising fast, and in some areas, coverage is getting harder to find. Make sure your lender and REALTOR® are on the same page when it comes to shopping insurance early and have a trusted agent running CLUE reports on any property you like to spot any past or current claims on the property that could affect insurability.
What’s Coming Next
- Rates are going to continue to fluctuate
With the current economic landscape, expect interest rates to bounce around based on inflation and economic reports. It’s more important than ever to stay on top of changes and keep your pre-approvals updated. - Automation will play a bigger role
Technology is here to stay, and the mortgage process will continue to lean more on automation. Things like automated underwriting and email updates will make the process faster, but it’s important to remember that a personalized approach is still vital for unique or complex deals. - Mortgage products will keep evolving
As the market shifts, new mortgage products and options may emerge, especially with first-time homebuyers and non-traditional borrowers. Always keep an eye out for new offerings that could benefit your clients.
3 Things I Wish Agents Knew
- A pre-qual isn’t the same as a pre-approval
If it doesn’t include income docs, assets, and a credit pull, it’s just an educated guess. A pre-approval, on the other hand, means the lender has already scrubbed income, credit, and assets, and is fully confident in the borrower’s ability to purchase. It makes offers stronger and closings smoother. - Not all lenders are built with the same
Speed, service, and communication make a huge difference, especially when things get tricky. A lower rate doesn’t mean much if the loan falls apart three days before closing. It’s also important to know who you’re working with: a bank lender, a retail lender, or a mortgage broker. Each one has its pros and cons depending on the client’s situation. The more a REALTOR® understands these differences, the better they can guide their buyer to the right fit. Of course we recommend finding a local lender who’s part of the affiliate committee! - You don’t have to know everything — just who to call
Real estate is a team sport. You don’t need to memorize every guideline or know every loan program but having a go-to lender you trust (and can text at 8 p.m. when something feels off) makes all the difference. Building strong relationships = smoother deals, fewer surprises, and happier clients all around.
Things That Might Surprise You
- Red flags usually surface early
If there’s a red flag — like undisclosed debt, unstable income, or missing docs, it almost always shows up fast. That early window is key. Catching problems early means we have time to fix them or pivot before it’s a crisis.
How Agents Can Set Clients Up for Success
- Send them to get pre-approved early
The sooner, the better. Pre-approvals are free, and they save a ton of time and stress later on. The more upfront work we do, the smoother the process will be. - Loop the lender in as soon as the contract’s signed
Quick action on rate locks and appraisal orders helps prevent delays. The faster you get your lender the contract, the faster you can secure that rate and expedite closing. - Tell your buyers: no new credit during escrow
Seriously, no cars, no couches, no new credit cards. Even a small charge can affect debt-to-income (DTI) ratios and put the loan at risk. One former colleague had a client purchase an Escalade just two weeks before closing and DTI was already at 47%. The purchase was discovered through a Facebook post, and they spent the next day trying to convince the dealership to take the vehicle back. These situations are very real and can derail a transaction in the final stretch.
Quick Mortgage Cheat Sheet for REALTORS®
- When to start the loan process: Before home shopping; 1 to 2 months out is ideal. Ask your lender if they can run a soft credit pull to get an accurate picture of the client’s credit history. If it takes more than 3–4 months to find a home, all we’ll need is an email asking for an extension and another soft pull to make sure there’s been no significant change.
- Docs usually needed (REALTORS®, letting your clients know what to expect helps set the tone of the deal up-front!)
o Tax returns (2 years, usually only needed if self-employed)
o Bank statements (2 months)
o Pay stubs (last 30 days)
o W-2s (2 years)
o Driver’s license (and possibly other ID, depending on employment type and situation)
Of course, these can vary depending on the type of employment or other circumstances. - Biggest causes of delays: Missing docs, large unexplained deposits, job changes mid-loan. Keeping communication clear and making sure everything’s submitted early helps us avoid these.
- How to close fast: Fully underwritten pre-approval + responsive buyer + great teamwork = a smooth 15–21 day close.