As the year comes to a close, Dr. Mortgage continues to monitor a Florida market defined by rate stability and operational complexity. While interest rates have remained relatively flat heading into mid-December, the biggest challenges for Loan Officers are emerging behind the scenes—particularly in insurance underwriting, condo approvals, and year-end processing timelines.
Below is Dr. Mortgage’s full breakdown of what’s impacting loan production and closings across Florida this week.
Rates Remain Stable as Buyer Activity Levels Out
Interest rates are holding steady, helping maintain buyer confidence after months of volatility. This stability is supporting continued activity among:
- FHA borrowers
- First-time homebuyers
- Buyers seeking predictability ahead of Q1 2026
While volume remains seasonally lighter, motivated buyers are still moving forward—especially those already pre-approved.
Insurance Reviews Are Driving Underwriting Delays
Insurance remains one of the most influential factors affecting closing timelines. Carriers are maintaining stricter review standards, particularly for:
- Older homes
- Properties with roofing concerns
- Files requiring 4-point or wind mitigation inspections
For many December transactions, this has resulted in:
- Additional underwriting conditions
- Last-minute premium changes
- Extended time to clear-to-close
Properties built before 2006 continue to experience the most friction.
Condo and HOA Documentation Remains the Primary Risk
Condo approvals and HOA documentation delays remain the number one threat to on-time closings across Florida. Year-end staffing shortages at associations are further extending response times.
Loan Officers are encouraged to:
- Request HOA documentation as early as possible
- Set realistic closing expectations with borrowers
- Coordinate closely with realtors and associations
Appraisal Timelines Holding Steady
Appraisal turn times remain consistent across major Florida markets, helping prevent additional delays on standard purchase loans when files are submitted complete and early.
Final Takeaway from Dr. Mortgage
As December wraps up, success in closing loans is less about rate movement and more about anticipation and preparation. Insurance readiness, early HOA engagement, and proactive file management remain critical for keeping transactions on track as we head into year-end and prepare for Q1 2026. 👉 Ready to collaborate? Work with Dr. Mortgage and simplify your Florida loan process.