Everything You Should Know About Mortgage Underwriting

Estimated reading time: 3 minutes

The mortgage process contains numerous steps between your application submission and mortgage approval. One of the most important steps of the process includes underwriting, but what exactly does that mean? We looked into some common underwriting questions to provide better insights.

What is an Underwriter?

An underwriter is an expert on the lending team who verifies all the information you’ve submitted for your mortgage application and confirms that it adheres to program and secondary marketing guidelines.

You can think of an underwriter as a detective. Their main responsibility is to determine whether a borrower is approved for a mortgage. They do this by analyzing all of your information including credit, income, and assets, as well as the property’s contract, the appraisal, any disclosures, and state requirements.

What Can I Expect During the Underwriting Process?

You’ll provide all initially requested documentation to your Loan Originator, who will send everything to underwriting. From there, an experienced underwriter will review everything thoroughly and will potentially reach out to obtain additional documentation or clarification. Be sure you’re checking for any communication so you can respond promptly and move the process forward.

How Can I Have the Best Underwriting Experience?

Submit Documents ASAP

Your underwriter wouldn’t ask for information if it wasn’t necessary for your loan approval. The sooner documents are submitted, the sooner the underwriter can begin looking them over.

Be Conscious of How You Submit Official Documentation

When taking photographs of documents for submission, don’t black out or cover any aspect of the document. All documents need to be converted from photo files (.jpg or .png) to PDF documents. Make sure you’re taking a clear photo that’s free of any distractions. Place the document on the table instead of your lap. If there are distractions in the photograph, your underwriter may ask you to resubmit.

How Long Does Underwriting on a Loan Take?

The underwriting process depends on each borrower’s circumstances and the intricacies of their loan. The process will move quickly if you remain in communication with your underwriter and provide them everything they request as soon as possible. Underwriting is just one part of the mortgage process.

Aspects of this blog were written based on an interview conducted with our company’s Underwriting and Processing Manager. She’s been in the mortgage industry for thirty-five years, twenty-two of which have been spent helping our borrowers and customers.

If you have any questions about how Homestead Funding can help your home finance dream come true, contact us today! Our team is armed with the latest tools and technology to stay on top of market trends and provide you the best loan possible.