Page 11 - Women Pushing Dirt June 2021

Mortgage

unDerwriter

Is a mortgage underwriter a good career? If you have always wanted to work in the financial sector,
becoming a mortgage underwriter is one of the most lucrative career paths that you can pursue.
Lenders will always require the services of mortgage loan underwriters so that they can give their
professional advice before any mortgage loan application is approved or declined. In this guide, we
shall discuss the education, certification, and necessary skills that are needed for one to become a
proficient mortgage underwriter.
Who is a

Mortgage Underwriter?

A mortgage underwriter works closely with mortgage lenders to determine whether a homebuyer’s
mortgage loan application will be approved or declined. The mortgage underwriter analyzes potential
homebuyer’s financial status to determine whether they fall within the acceptable risk range and
qualification criteria.

The process begins with the mortgage underwriter examining the three “Cs” of the mortgage
application process. They include:

Credit reputation

Borrower’s credit score and credit history.

Capacity

Borrower’s ability to repay the loan based on their current salary,
savings, and debt-to-income ratio.

Collateral

Estimated risks based on the amount of down payment raised as well as
the value of the property securing the loan.

There are certain conditions that need to be met and that’s the criteria that a mortgage loan
underwriter uses to determine whether to approve, suspend, or even decline prospective
homebuyers loan application requests.

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