What Is Underwriting In Simple Words?

Underwriting is simply the process of when someone who is called the underwriter is reviewing documents received from the buyer to determine if the borrower, who is also the buyer is in position to move forward with purchasing the home, the risk assessed with that borrower in order for them to purchase the home.

So essentially what happens is the buyer has gotten an offer accepted, they’ve moved past inspection and they have applied for the loan. And all their documents have been sent at this point to the underwriter to review, to determine if what’s been sent is sufficient, or if they need more documentation to determine if the buyer is in position to move forward with purchasing the home, or if there’s some issues coming up where they need more things, or for some reason that the borrower is not in position to buy the home at all.

So if you have any questions, please leave a comment below. Please share with anyone you think it’d be helpful to and and as always, close the Patrice.

This has been “What Is Underwriting In Simple Words?” by Patrice Henderson of Designed Living Real Estate. Be sure to subscribe to her YouTube channel for all your real estate tips, home tours and advice. Get your FREE listing consultation or buyer’s consultation to learn more about the buying and selling processes including more information on the home buying process

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