How to Have the Best Underwriting Experience
There is a lot that goes into getting a home loan and there are certainly steps you can take to make sure you have the best underwriting experience.
In this video we are going to share the top three tips for having the best underwriting experience.
Let’s begin with Tip Number One.
Tip #1: Respond To Questions and Requests As Quickly As Possible
Your lender may contact you during the underwriting process. Questions may come up regarding your income or documentation. The underwriter may need additional information about your financial documents, bank statements, other proof of income or assets. It’s important to respond to these requests as quickly as you can. Remember that your underwriter can’t proceed or approve your home loan without answers and the sooner you can provide the answers or information they need, the sooner they can get your loan approved.
Which brings us to Tip Number Two.
Tip #2: Be Upfront And Honest About Your Finances
Your underwriter will know if you’re not honest about your income, credit history or assets, so there’s no use hiding any information. Instead, include notes and explanations for things that may stick out on your credit report or statements and if they have questions answer them honestly. They want to be able to approve your loan and just need to provide verification to the information they are reviewing.
For example, if you have a missed payment on your credit report, your underwriter may be more lenient with you if they know it’s because you had an unexpected medical expense or an auto repair bill close to the credit card’s due date.
And finally, Tip Number Three.
Tip #3: Don’t Apply For Any New Credit Lines During Underwriting
It can be tempting to go out and get new furniture for the home you are buying, but you will want to think twice about making any large purchases before you close on your loan.
Any major financial changes and spending can cause problems during the underwriting process. New lines of credit or loans could interrupt this process.
Also, avoid making any purchases that could decrease your assets. Once the underwriting decision has been made, you can go forward with buying appliances and furniture.
This is Michael Anthony O’Connor with Community Home Funding, Inc., thanks for watching.
Always remember that we are here to help you through the process, so if you have any questions, please do not hesitate to give us a call.
Michael Anthony O’ Connor
President
Certified Veterans Lending Specialist
NMLS# 254139
CA BRE: 01149902
(833) 444- 3464
