unlock_underwriterAfter the Processor has received and verified all of your application documentation, he or she will send your file to Underwriting. The Underwriter’s role is to make sure that your loan application and associated documentation meets the guidelines of the appropriate agency, or end investor (Fannie Mae, FHA, etc.). He or she also protects the company from making a loan that would be a poor credit risk in the event that your application is not documented properly or does not satisfy the requirements.

After review, the Underwriter will issue his or her decision regarding your loan. If more information is needed to move forward, your Underwriter may approve it with conditions—or additional documents and/or explanation. When all documentation is received and all conditions are met, the Underwriter sends your approved loan to the Closing Department.

Pamela Bates, National Underwriting Manager at Castle & Cooke Mortgage, points out three things that your Underwriter wants you to know:

1. Be prepared for your Loan Officer to ask you for more information after your file has been through Underwriting.

Throughout the mortgage process, you will be providing your lender with a lot of documents. Just because your loan has made it to Underwriting, does not mean you won’t be asked to provide even more. Each loan program has slightly different requirements that can change at any time and your loan cannot move forward until all of the required information has been received by your lender.

2. When an Underwriter puts a condition on a file, it’s not to be mean!

Approving a loan that doesn’t quite meet requirements puts a mortgage company at a significant financial risk and only leads to disappointment for a borrower. As a result, your Underwriter wants to be sure that he or she has enough information to justify the decision to approve your application. As a result, he or she may request a letter of explanation to help clarify information in your file.

 3. If asked for a letter of explanation, include as much detail as possible.

You may be asked to provide a letter of explanation regarding certain information in your file. For instance, you may be asked to explain gaps in your employment, items on your credit report, unusually large transactions, etc. This letter is used to provide justification for your approval, so it is important to be as detailed as possible.


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Castle & Cooke Mortgage, LLC® (NMLS #1251) is a leading independent mortgage lender headquartered in Draper, Utah, with locations across the United States.

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