A standard escrow period for a financed home purchase in Southern California is 30-45 days. Starting form September 1st, it can get a week to 10 days shorter and the closing speed gap between all cash transactions and financed transactions can get significantly narrowed.
Freddie Mac has announced a new program allowing some home buyers to skip a traditional appraisal, which could lower the fees the buyers pay and speed up the closing process. Freddie’s Automated Collateral Evaluation (or ACE) will determine a property’s collateral risk by culling data from multiple listing services, public records, and historical home values, and then assess whether a buyer needs a traditional appraisal or an automated one.
Those who qualify for an automated appraisal could save up to $500 in fees and make it to settlement up to 10 days sooner.
Lenders will be able to assess whether a property is eligible for ACE. ACE will be available for home purchases beginning Sept. 1,2017.