Underwriting

What is the Mortgage Underwriting Process?

Mortgage underwriting is the process used by a lender uses to evaluate whether the risk of offering a mortgage loan to you is acceptable or not. It is a part of the mortgage origination process in which underwriters look at your income, credit history, debt, and other factors to determine if you are a good candidate for a mortgage loan or not. In this process your assets, payment history, debt-to-income ratio, loan-to-value ratio, and many other variables will be closely evaluated to assess whether the risk of lending you a mortgage loan would be a good investment.
Equip BPO Services is a leading provider of mortgage underwriting services. It relies on experience and advanced tools to deliver accurate, cost-effective and time-bound residential loan underwriting services to lenders and credit unions. Our mortgage underwriting support services assist Lenders and Credit Unions expedite the process of providing financial support to buyers.
Our mortgage underwriters assist lenders and credit unions in understanding the financial credibility of the applicant to ensure that their investments yield better returns. Our mortgage underwriting services also offers an overview of the financial reliability of the applicant based on the income, credit history, debt and various other factors. Equip BPO Services provide mortgage contract underwriting services and it can ensure each loan meets the secondary marketing guidelines. Additionally, we assist with loan underwriting service that assess the payment history, debt-to-income ratio, loan-to-value ratio and other variables to precisely asses if lending the loan to the applicant is a good investment. Our end-to-end mortgage loan underwriting process has helped our clients make discreet lending decisions.

Our Comprehensive Mortgage Loan Underwriting Services

As one of the leading mortgage underwriting companies, we have worked with lenders of all shapes and sizes and have helped them meet their loan underwriting needs in different ways. As an expert mortgage underwriting company, once you choose to outsource mortgage underwriting services, we provide back office support to the following requirements:

Running Automated Underwriting Systems

We leverage various automated underwriting systems and software to deliver real time underwriting and instant decision about the customer to the lender. We specialize in both Fannie Mae’s Automated Underwriting System (Desktop Underwriter) and Freddie Mac’s Automated Underwriting System (Loan Prospector). Choose to outsource mortgage underwriting services and get nothing but the best.

Sometimes there might be a need to resubmit loans in the automated system because of changes in loan terms or other reasons. As multiple resubmissions might be red flagged, we have adopted the best practice rule of placing notes in the LOS to support each resubmission. Thus, with accurate notes we ensure easy processing of DU files.

  • Running Fannie Mae’s Automated Underwriting System, Desktop Underwriter or DU
  • Running Freddie Mac’s Automated Underwriting System, Loan Prospector or LP for/li>

Clearing Loan Conditions

The rise in number of home buyers has resulted in a shift in property investments. Our streamlined mortgage contract underwriting services have helped our client’s asses an applicant’s borrowing and payback capacity precisely and close loans faster. The mortgage underwriting process may sometimes require additional information to decide on the loan. We provide this information by being at the beck and call of the underwriter. Once all the requirements are met, we issue a 'clear to close' or final approval. The outsourced mortgage underwriting services is certain to help with your decision to provide loan to the ideal applicant.

Fraud Review

Our fraud review services will help you identify inconsistencies with the loan file of a customer. We assist the underwriter by incorporating preliminary fraud review steps in order to spot frauds early. By undertaking this activity, we outfit your mortgage process with a second level of security that helps uncover fraudulent activity with loans. We blend efficient industry standard practices, modern day CRM suites and a linear review process, to bring down the risk of fraud.

Clearing loan conditions is always a very time-consuming task and leads to most loan delays. We have wide experience in accelerating this process for lenders. Over the years, our streamlined mortgage processing support services has helped our clients procure timely information on conditions like employment verification, explanation of late payments, explanation of gaps in employments and proof of fund inflow in bank accounts. Through our unmatched mortgage contract underwriting services, we support the requirement with letters, proof and other appropriate documents. You too can outsource mortgage underwriting services to clear loan conditions faster.

  • Obtaining a clear title policy
  • Verifying insurance policy (flood, home owners etc)
  • Verifying appraisal report
  • Verification of employment or deposits (VOE or VOD)
  • Project approval (condo units only)

Title Review

The objective of title review is to ensure that lenders interest in sanctioning loans is free from any risk whatsoever. Our title review support service is designed to protect lender rights and interests. At the same time, it is optimized to make land transfer expeditious and secure. This makes the underwriting process for mortgage all the more user friendly and ideal to suit different business standards.

We help lenders to check title defects, check errors in title report, review documents pertaining to transfer of property rights and even meticulously scrutinize closing documents. Our vast experience in reviewing title reports have helped us uncover many defects or “cloud” in the title for many of our clients. As an expert mortgage contract underwriting service provider, we have a record of flawless title reviews.

  • Review title report for title transfer
  • Review title report for tax information
  • Review title reports for property details
  • Review title reports for judgement details
  • Review title insurance

Appraisal Review

As per new mortgage rules, the onus of procuring an unbiased estimate of a home, rests squarely with the mortgage lender. This makes it imperative for them to embrace an objective way to assess the home’s value. However, acquiring a good appraisal report is fraught with challenges. Lenders assessment is as good as an appraiser’s assessment, and if the appraiser goes wrong so does the lender. Sometimes, the process can get too tardy. It may take weeks to get an appraiser to visit a property, and the appraiser may take weeks to conclude. Availing the mortgage underwriting services by a leading provider is thus crucial for precise appraisal review.

Our mortgage appraisal review process is well-defined, and we use the most current version of the appraisal report form applicable for the specific type of property. We order appraisals on behalf of the lender to certified appraisers. Thereafter, we stay in touch with them till we get the appraised value of the property in the shortest possible time. We also assist the lender in reviewing the report to ensure compliance with regulatory requirements. We review appraisal photographs, location maps, property sales history, appropriateness of the comparable, adjustments, as well as the report date, appraiser's signature and license number, before passing on the report to the lender. The mortgage contract underwriting services by Equip BPO Services is thus versatile.

With our streamlined services we ensure lenders get their appraisal work done in short turnaround and with greater accuracy.

  • Verify license and certification of appraiser
  • Review current market and comparable properties
  • Review inspections done as per investor guidelines

Fraud Review

Mortgage lenders often fall prey to fraudsters. Frauds can range from stretched borrowers misleading a lender to secure a loan, to organized criminal rings colluding with corrupt brokers to rob a lender. Though lenders go all out to insulate their business from fraud, the desire to grow their business is so pressing that they unwittingly walk into fraud traps. Investing in an outsourced mortgage underwriting service can thus be beneficial to lenders and credit unions in the long run.

We specialize in identifying possibly fraudulent items such as AVM comps mismatching with the appraisal, conflicting addresses, large deposits or withdrawals, multiple cash transactions in several bank accounts, and more such grey areas that suggest potentially fraudulent activities.

  • Verifying borrower residential addresses
  • Verifying contractual agreements for relevance
  • Verifying 3rd party docs
  • Verifying bank statements and credit reports
  • Carrying out phone re-verification

Our mortgage underwriting support services are based on basic underwriting controls. For instance, we validate and re-validate data entered into an automated underwriting system (AUS); and have proper checks and sign-offs to ensure greater accuracy. Complex underwriting requirements go through multiple stages of quality checks and are signed off by seniors having 10 years of experience in underwriting. Our experience in mortgage contract underwriting services also helped us develop an instinctive understanding of the risk components of mortgage loan processing. This understanding helps us ask the right questions to your borrowers, identify contentious issues and spot inconsistencies with ease. We also rely on a detailed and well documented process to gather information to support the value of questionable appraisal. All these together have helped us carve a niche as a mortgage loan underwriting company. Thus, outsourcing mortgage underwriting can add value to your overall lending process.

Quality Is The Byword For Our Mortgage Underwriting Process

Our underwriting process is based on basic underwriting controls. For instance, we validate and re-validate data entered into an automated underwriting system (AUS); and have proper checks and sign-offs to ensure greater accuracy. Complex underwriting requirements go through multiple stages of quality checks and are signed off by seniors having 10 years of experience in underwriting. Our experience in underwriting has also helped us develop an instinctive understanding of the risk components of mortgage loan processing. This understanding helps us ask the write questions to your borrowers, identify contentious issues and spot inconsistencies with ease. We also rely on a detailed and well documented process to gather information to support the value of questionable appraisal. All these together have helped us carve a niche as a mortgage loan underwriting company.

Why Choose Us For Outsource Mortgage Loan Underwriting Services

Our underwriting process for mortgage industry has been shaped by years of exposure to changing industry requirements.

By outsourcing mortgage underwriting process to us, you get the following benefits:

  • 20+ highly trained underwriters working fulltime
  • Comprehensive support for underwriting back-office needs (Capacity, Credit, Collateral)
  • Standardized and automated back office processes for mortgage underwriting support
  • High quality assured through multi-tier quality check
  • Expert group to deal with regulatory requirements
  • Up to 30% reduction in TAT, leveraging 24/7 work environment
  • Up to 40% reduction in per employee operational cost
  • Flexibility to scale work up to 50% during peak times
  • Seamless communication and highly transparent operations
  • 100% data confidentiality and privacy
  • Flexible staffing model

Looking for a reliable mortgage loan underwriting services company? Outsource your loan underwriting services to Equip BPO Services to make your process more accurate and time bound.

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