How long does underwriting take for a jumbo loan?
Written by - February 28, 2023
How long does underwriting take for a jumbo loan?
The underwriting process for a jumbo loan can take anywhere from a few days to several weeks, depending on a variety of factors. As you might imagine, there's a good deal of variability in this process, and while some loans may take longer than others to underwrite, there are some general guidelines you can follow.
So, how long does underwriting take? Here's what you need to know:
Factors that impact the timeline of underwriting:
- Complexity of the loan application - If you have a complex application with multiple properties, income streams, and financial accounts, the underwriting process may take more time to thoroughly review your application and ensure that it meets all the requirements.
- Size of the loan - Jumbo loans tend to be larger than conventional loans, so the underwriting process may take longer to evaluate all the financial information.
- Credit history and score - If your credit score is on the lower side or you have a history of missed payments, underwriters may take additional time to evaluate your application.
- Appraisal - If the property you're buying or refinancing is large, unique, or requires a custom appraisal, this can add time to the underwriting process.
Steps in the underwriting process:
- Initial review of application - The underwriter will review your loan application in detail. This includes your credit report, assets, income, and debts.
- Document review - The underwriter will also review all your supporting documentation, such as your bank statements, tax returns, and employment history.
- Verification - The underwriter may contact your employer, bank, or other financial institutions to verify the information you provided.
- Appraisal review - Once your application has been reviewed, the underwriter will review the appraisal report to ensure it meets the lender's requirements.
- Final review - This is the final step in the underwriting process. The underwriter will carefully review all the information and make a decision regarding approval, denial or conditional approval.
So, how long does it take to complete the underwriting process for a jumbo loan? As mentioned earlier, it's hard to give a definitive answer, but it usually takes around 30-45 days to complete the process. However, in some cases, it can take longer, especially if your application is particularly complex.
At Mortgage Brokers Pro , we specialize in jumbo loans and have a team of experienced underwriters who can complete the process quickly and efficiently. If you're looking for a jumbo loan and want to streamline the underwriting process, Mortgage Brokers Pro is your go-to lender.
Overall, while the underwriting process for a jumbo loan can take some time, it's essential to go through the process to ensure you receive the best loan terms and rates possible. It is important to have all your documents and information readily available for your lender or mortgage broker to ensure a smooth and easier process.