Credit Cards Center Credit cards from our partners
Reply
Valued Member
Posts: 28
Registered: ‎01-20-2008
0

Why does FHA underwriting process take so long?

 
Valued Member
Posts: 28
Registered: ‎01-20-2008
0

Re: Why does FHA underwriting process take so long?

My loan app was submitted on April 17th and the LO said today that is has not even been looked at by the underwriter yet because they are still looking at April 7th loans.  The LO said that its harder for most people to qualify for conventional loans, so most people are going with FHA.  The underwriters are in Raleigh, NC.  The LO also said that if I submitted an app with another local lender it would go to the same underwriters and that would put me even further behind.  This is the first loan I've ever applied for and I had no idea it would take SOOOOO LONG!  Is anyone else having this problem?
 
Super Contributor
Posts: 7,684
Registered: ‎07-03-2007
0

Re: Why does FHA underwriting process take so long?

yes, the flood of fha loans has put a load on the fha underwriters. we have had to crosstrain some conventional underwriters to pick up the slack.
 
our underwriting went to 5 days..... then the company started paying a little overtime(saturday work) to get it back in line(normal 2-3 days).
 
not every company is the same......
 
* While I try to visit the forum often, please feel free to contact me directly with a link to your post if I fail to answer a follow up question.

* Lending across the entire 'Great State of Texas' (and now Louisiana)since 2004

* The Loan Officer who you can call anytime... and answers your questions Nights & Weekends

Regular Contributor
Posts: 188
Registered: ‎07-11-2007
0

Re: Why does FHA underwriting process take so long?

Hang in there.  My FHA only took two days (actually a little less).
 
Established Contributor
Posts: 640
Registered: ‎03-28-2008
0

Re: Why does FHA underwriting process take so long?

... does the 'so long' only usually apply if you're going through manual underwriting?

We were pre-approved through FHA a couple of weeks ago and have been told we've got through the automatic underwriting - our loan officer seems to think that 'our' part of the whole thing is a done deal, and everything just hinges on the appraisal etc now... I can see on our loan paperwork that we got 'accept or approve' - but there are still a couple of not-quite-standard things in our circumstances - me having less than two years in my current job, for example.

Can any mortgage/FHA expert tell me what it actually means to 'pass' the automatic underwriting? The mid score being used is my husband's, - 676 (Experian) - our DTI (including the new mortgage) comes out at under 29%... the loan officer has said we are 'good to go' pending appraisal report, etc, but I can't help imagining some underwriter examining our entire life histories in fine detail (I moved to the US a year ago, 7 months sans employment pending green card approval... 4 months in new job, albeit same position, etc etc etc)... can anyone shed any light as to what will REALLY happen?
EQ: 723 / TU: 760 (August 2009)
Established Contributor
Posts: 640
Registered: ‎03-28-2008
0

Re: Why does FHA underwriting process take so long?

... just realized what a major thread-hijack my post was - for which, my sincere apologies, I got carried away!
EQ: 723 / TU: 760 (August 2009)
Super Contributor
Posts: 7,684
Registered: ‎07-03-2007
0

Re: Why does FHA underwriting process take so long?



fevmlo wrote:
... just realized what a major thread-hijack my post was - for which, my sincere apologies, I got carried away!

it is still on topic though.....
 
underwriting simply looks at the documents provided by you and verifies the data used for the automated underwriting.
they calculate income, ect.... to make sure that automated underwriting approved you on correct data

 
* While I try to visit the forum often, please feel free to contact me directly with a link to your post if I fail to answer a follow up question.

* Lending across the entire 'Great State of Texas' (and now Louisiana)since 2004

* The Loan Officer who you can call anytime... and answers your questions Nights & Weekends

Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.

Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
† Credit cards for FICO Score ranges: The score ranges are guidelines based on internal myFICO analysis of actual applicant approvals, and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range. These ranges were not provided by any card issuer.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.