Canadian real estate is hot! Every week, I have two or three Realtors and mortgage brokers telling me they are run off their feet. And, it's way busier in the hotspots of Ontario and British Columbia, and now the Maritimes.
We were recently waiting for some RBC mortgage instructions. Two weeks before closing, no instructions… nothing. One week before closing, still nothing! The buyer and their Realtor were frantic. The RBC mortgage specialist was doing the best she could.
Here's what she said: Normally, RBC gets 2,000-2,500 mortgage applications per day. They are now receiving 8,000 PER DAY! Now that's busy!
RBC processes these applications in the order they were received. They won't 'put a rush' on any application until 5 days before the closing date. This puts stress and pressure on everyone. BUT that's the way it is for RBC and I expect, to varying degrees, for other lenders.
COACHING
Buyer Realtors: Write your deals with as much time as much time as possible between condition removal and closing. Try for 30 days. I know that's difficult in a hot market, but...
Listing Realtors: This busy market means more potential for delayed closings. Talk to your sellers. Explain the potential. Get a feel for your seller's position on the increasing potential for a delayed closing.
Every client's timing requirements are different. Make sure your client's lawyer knows your client's timing needs.
Cheers,
Barry
