MortgagesHomebuying Glossary
Underwriting
The lender's formal process of verifying your finances and approving your loan.
In plain English
Underwriting is when a lender's underwriter reviews your income, assets, debts, credit, and the property itself to make a final decision on your loan. It happens both during pre-approval and again, more thoroughly, after you're under contract.
Why it matters
Avoid opening new credit or making large, unexplained deposits while in underwriting — changes to your financial picture can delay or jeopardize your approval.
Where you'll run into it
Guides and tools on TheBuyingPath that cover underwriting in context.
Related terms
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