When buying a home, one of the most common questions borrowers ask is, “How quickly can we close?”
The answer depends on several factors, including the loan program, appraisal timing, title work, underwriting, and of course the selling-party. However, one timeline that every mortgage lender must follow is known as TRID.
Understanding TRID helps explain why some loans cannot legally close as quickly as all parties might like—even when everything else is complete.
What Is TRID?
TRID stands for the TILA-RESPA Integrated Disclosure Rule, a federal consumer protection regulation that became effective in 2015.
TRID combines disclosure requirements under the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA) into one streamlined process designed to give borrowers time to review important loan information before closing.
The purpose is simple: borrowers should understand the terms of their mortgage before signing final documents. This prevents consumers from being smashed or railed into a closing, without time to digest the terms and 3rd party findings, ie appraisals, inspections, and terms of the loan.
Required TRID Waiting Periods
TRID establishes mandatory timing requirements that lenders must follow.
Some of the most important include:
- Loan Estimate (LE): Must generally be delivered or placed in the mail within three business days after receiving a completed mortgage application.
- Intent to Proceed: Certain fees, including the appraisal fee, generally cannot be collected until the borrower has indicated an intent to proceed after receiving the Loan Estimate.
- Closing Disclosure (CD): Borrowers must receive the Closing Disclosure at least three business days before loan consummation (signing the loan documents).
- 7 Business Day Rule: Often one that is missed — borrowers must be given 7 business days from the day the initial disclosures are signed to then sign the final loan docs with a notary. 7 business days, including Saturdays, not including Sundays or holidays. Not calendar days.
These waiting periods are established by federal law and cannot be waived simply because a buyer or seller wants to close sooner, except in very limited circumstances involving a bona fide financial emergency.
Typical Mortgage Timeline
While every transaction is different, a well-prepared mortgage in the Temecula Valley often follows this general schedule:
- Initial application and pre-approval
- Loan disclosures issued
- Borrower provides requested documentation
- Intent to Proceed received
- Appraisal ordered and completed
- Loan submitted to underwriting
- Underwriting conditions satisfied
- Final approval issued
- Closing Disclosure delivered
- Mandatory TRID waiting period completed
- Loan documents signed
- Funding and recording
For many Conventional, FHA, and VA loans, the entire process is commonly completed in 21 to 30 days, although complex files or unique properties may require additional time.
An Example of How The Santos Team at Arbor Financial Group Was Quicker Than TRID Regulations
Below is an example of a real situation, that has happened multiple times. This is a specific case with no names included and dates are not actual, but sync with the start-to-finish timeline — which was quicker than TRID.
June 01 (Monday) — I was contacted by a friend, who we have helped in the past. He said my best friend I believe is getting a bad loan and he needs to talk with you. Monday evening, client and I spoke about his terms, that he was five days from closing with another lender, and he was told to re-shop the 7.125% rate that they were offering. After being in-escrow for 25 days, they never locked the interest rate and rates had jumped and jumped much higher than his unlocked disclosures. We were able to procure a rate .75% less than the prior lender, but the challenge became, we had to close in 5 days or risk the seller cancelling. The client decided to switch and say, I am cancelling, unless I am able to switch lenders and give me a small extension. All parties basically agreed because it benefited the consumer. So he applied on-line Monday Evening.
June 02 (Tuesday) — I received the application. We locked the interest rate, issued disclosures, and the client e-signed by 4pm. He also uploaded all financials. We submitted the file to Underwriting on a rush at 5pm.
June 03 (Wednesday) — File was approved in Underwriting by 1pm with 4 prior-to-docs conditions, one being the prior lender’s appraisal.
June 04 (Thursday) — We received the prior lender appraisal in the am, prior lender converted appraisal into our name with a cancellation email from the borrower. We submitted the appraisal and clear-to-close conditions by end of business. We also ordered and delivered the Initial CD. Initial CD was e-signed.
June 05 (Friday) — Appraisal was signed off. TRID 3-day wait period would run Friday, Saturday, and complete on Monday.
June 08 (Monday) — We received Clear to Close and we were ready to order final loan docs. This is where we were faster than TRID Regulations. Since Initial Disclosures were signed on Tuesday, June 02 — we were not able to have the client sign with the notary till 8am on Thursday, June 11.
June 10 (Wednesday) — We put official final loan docs in escrow, client wired his money, and we were set to sign 8am on Thursday.
June 11 (Thursday) — Client signed at 8am at escrow, scanned docs back to our funder by 9:10am, we funded by 9:30am, and file recorded that afternoon.
11 days start-to-finish. Client needed a 2 business days extension.
Why Preparation Matters
This case was quicker than TRID Guidelines and happened because of a proactive consumer — he was very quick to supply needs-list items, quickly e-sign, and followed specific instructions. And when you couple this with my team of 5, with over 135+ years of experience, you can be quicker than TRID Regulations. In this case, we were ready by Monday, but were too quick, and needed to wait till Thursday to sign/close due to the 7 business day rule while also adding rushes to the Underwriting and Closing Department steps. This scenario was 11 days start-to-finish and is about as quick as you can go, while remaining in compliance with TRID Wait-Periods.
A proactive approach helps identify potential concerns early, allowing them to be addressed before they affect the closing date.
Final Thoughts
TRID was created to protect consumers by ensuring they have adequate time to review their mortgage before closing. Those timelines are mandatory for every lender.
The difference comes from what happens between those required waiting periods. By preparing documentation early, communicating proactively, and managing every stage of the transaction, The Santos Team at Arbor Financial Group works to keep loans moving efficiently so borrowers can close as quickly as federal guidelines allow.
