What to Expect
This is when your file goes from the Processing Team to Underwriting. The Underwriter reviews your file, “from the perspective of the investor,” and requests any additional documents needed to prove that you are likely to pay your mortgage on time.
- When we call you with a ‘Conditional Approval,’ that is good news. That means the Underwriter feels that if you can provide a little more documentation and there are no big surprises, the next news will be ‘Clear to Close,’ meaning you are approved and it is time to relax and look forward to settlement.
- We will request an insurance declaration from your Home Owners Insurance Company once we know when settlement will happen.
- If your loan takes longer than expected in Underwriting, don’t panic. It only means the Underwriters have a lot of files to look over. Length of time spent in Underwriting has nothing to do with the ease or difficulty of a file.
What We Need From You
- Your cooperation and patience will be greatly appreciated. Underwriting can take a couple of days to a week, depending on timing (late in the month is a busy time for Underwriting). You will hear from our Processing Team as soon as we have news.
- Please try to provide what we request as exactly as possible for the best results.
Feel free to do a happy dance when you hear the words ‘Conditional Approval.’ You’re nearly there.
Please don’t ‘do one better’ when carrying out a request for Underwriting. For example, if the Underwriter asks to see current statements to prove you have enough money for settlement, we just need the statements.
It may be tempting to move funds into one location to show it’s all there, but this would cause your loan to start the Underwriting process from the beginning (since there was a significant change to your situation) and could even delay settlement. If you know that a large movement of money, a gift, change of employment, etc. is coming, please call us so we can prepare your file accordingly.