what is mortgage underwriting

What is Mortgage Underwriting? A Complete Analysis

What is Mortgage Underwriting?

If you have ever taken any loans in your lifetime then you definitely know the hectic process one has to go through to get a loan approval. And in a mortgage underwriting, the lender evaluates all the risk factors to ensure that the borrower meets all the requirements to get a loan. According to the mortgage industry standards, the underwriter makes sure that the borrower has all the needed documents to get the approval.

The mortgage broker usually does these documentations for you who then gives these documents to the underwriter to approve the loan. And if the underwriter finds a fault in your proposal, he simply just rejects it. Then you will have to gather the additional needed documents and resubmit that to the underwriter.

Things That the Underwriter do

The first thing an underwriter do is to access the risk factors involved in the loan request. So, the mortgage underwriters check all your submitted documents, carefully for example, tax returns, credit reports, W2’s etc. They actually check every single detail of your financial life.

Your credit history is a very important factor if you are applying for a loan. Like if you are a student and apply for a loan in Apple Federal Credit Union then first your application will get heavily investigated by the underwriters. And if they find any red flags in it, they would either reject your proposal or will ask you for more documents regarding that.

Because of the mortgage lender rules, a mortgage underwriter can also demand you to pay off your debts before you get the loan.

How Long Does This Process Take?

An underwriter generally takes a few days to approve your loan. But an FHA loan can take anywhere between a few days to a few weeks, because of its additional requirements.

But if your agent is very experienced and knows about the all required documents then the underwriter could approve your loan within a few days.


So, in above we have discussed about what is mortgage underwriting and its process which is enough to give you the complete knowledge about it. So, just read this article carefully and you will find every information you need regarding Mortgage underwriting.

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