Underwriting functions as the last summary of a borrower’s loan file.

Underwriting functions as the last summary of a borrower’s loan file.

Begin Your House Loan Journey

  • Past Lesson 7.3 Maintaining Your Loan on the right track
  • In this training
  • Phases of Underwriting
  • The Underwriter’s Job
  • Underwriting Results
  • Underwriting Conditions
  • Next Lesson 8 Closing On The House

Phases of Underwriting

Purchasers go into the very first phase of underwriting during preapproval.

VA loan providers generally depend on an “Automated Underwriting System, ” or AUS, to determine a preapproval status that is buyer’s. An AUS is some type of computer system that immediately evaluates a buyer’s eligibility, predicated on a number of facets.

Its not all qualified debtor shall obtain AUS approval. In those cases, loan providers may think about a “manual underwrite, ” which will be a more involved procedure that typically utilizes more strict needs.

Various loan providers may have various needs, but, generally speaking, items that can trigger a manual underwrite add a previous bankruptcy or property foreclosure; standard on federal financial obligation; belated home loan repayments; and much more. Continue reading “Underwriting functions as the last summary of a borrower’s loan file.”