Best Practices: Warehouse Lines and the Importance of Wire Timing

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Closing Supervisor/Fulfillment Manager in Houston Tiffany Bahney

Continuing our series of commonly asked questions at closing, we asked Tiffany Bahney, our Closing Supervisor/Fulfillment Manager in Houston, for advice on this question:

Tiffany, how can we meet wire cutoff times and ensure a timely wire arrival?

The answer is clear: Get familiar with your warehouse cut off times and requirements and monitor your warehouse line(s) balance

For a correspondent lender, a big piece of the funding puzzle is the wire from the warehouse bank to the title company so funding disbursement can occur. To ensure the borrowers/sellers have a great closing experience, warehouse bank knowledge is very important for a lender.

Each warehouse bank has a cut off time, minimum FICO scores, specific products and a list of approved investors, just to name a few. The more you are familiar with these items, the smoother it will work. Aim to request the wire at least 24 hours prior to funding to give the warehouse bank time to review and advise of anything they may need to release the wire to the title company.

Another very important part is for the lender to monitor their line and know the funds available. There is nothing worse than not having warehouse room to fund a loan for a good borrower. By reviewing daily reports, this will not happen!

By getting the money there as soon as possible, the title can quickly disburse and the borrowers be on their merry way!


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