Buying a home is a long and occasionally a bit stormy process; you need to make many visits, have perfect paperwork, and go through intense controls until you get the approval.
If you are considering applying for a mortgage, you can estimate the time you will receive it to worry a little if the days start to pass and the approval does not come. In other words, it is a good way to keep track of the procedure.
How long will it take to get approved for your mortgage?
The mortgage process is longer than many expect; you have to go through several parts, including pre-approval, home appraisal, and getting the loan. Generally, it takes about thirty days, but it can take longer.
It can take 45 to 60 days to get it during peak application months. The process will be more complex and slower if the lender encounters financial problems such as a low credit score, overwhelming debt, or a previous foreclosure.
Add the time it takes to find the mortgage lender, explore the different options, and submit the necessary documents. Therefore, it is advisable to begin the mortgage process well in advance.
Reasons why the mortgage loan process takes so long
One of the reasons that delay getting a mortgage is the loan. The lender needs to review your finances before approving the loan. The process takes a long time, and if any part of your financial life is incomplete, it will delay the process.
Credit problems and unpaid debts are reasons to delay the mortgage. If that occurs, you will need to pause the mortgage and improve your credit and creditworthiness before proceeding with the process.
The step-by-step process of applying for a mortgage
To better understand the reasons for delaying the process, the best way is to know the steps necessary to get full approval.
Beginning of the mortgage
The first step is to have a statement from a lender stating that they can lend you the money to purchase the home. This process is quick if you have all the necessary documents and the mortgage agreement is already chosen.
Of course, the lender has verified your credit and financial life and evaluated that you have the right profile to acquire the loan.
The next step is completing the mortgage application; this should not be lengthy if done properly. To determine the amount you need to borrow from the lender and make sure you can afford it, you must provide evidence of the following:
- Provide details of the property offered, the seller’s real estate agent, and proof of deposit.
- Have valid identification, such as a passport, current address, or any other document that proves your identity. A utility bill is also acceptable.
- Provide your bank statement for the last three months, where you can prove your current expenses and credit commitments.
A lender also reviews this information and will be responsible for determining whether you have the right profile to acquire the mortgage.
How long does the appraisal take?
After making the application, it is time to calculate the property’s valuation to determine if it has the value you have indicated. The surveyor will contact the real estate agent in charge of the property and ask for access to do the inspection.
It usually takes no more than a day for the whole process; most surveyors do the report immediately and send it to the mortgage lender’s underwriter.