Why would an underwriter deny a loan?
Whether in the beginning or end, reasons for a mortgage loan denial may include credit score drop, property issues, fraud, job loss or change, undisclosed debt, and more..
How long does it take for the underwriter to make a decision?
As the process can happen in as little as two to three days, the process usually takes more than a week but could take up to several weeks.
What do loan underwriters look for?
More specifically, underwriters evaluate your credit history, assets, the size of the loan you request and how well they anticipate that you can pay back your loan. They’ll also verify your income and employment details and check out your DTI.
Do underwriters want to approve loans?
An underwriter will approve or reject your mortgage loan application based on your credit history, employment history, assets, debts and other factors. It’s all about whether that underwriter feels you can repay the loan that you want. During this stage of the loan process, a lot of common problems can crop up.