When you’re ready to buy a home, the process of getting a mortgage approved may seem like the road trip that never ends. There are a lot of moving parts and it can be hard when you don’t know which way is up and can’t see the light at the end of the tunnel. But don’t worry, we’re here for you. We’ll help you understand the process of applying for a mortgage loan and how long it takes to get one. We’ll also share some tips on why having a little patience during the approval process can pay off in the end. Let’s get started!

How Long Does It Take To Close On a House?

This is a question we get a lot from home buyers who are in the process of applying for a mortgage. The answer, unfortunately, is not a simple one. While it tends to feel like a long time - especially if you’ve already selected a new residence that you adore - the closing period is determined by market conditions. The volume of your lender can also influence how lengthy it takes to close on a property. Larger lenders will take longer to close, as the mortgage application procedure goes through more hands before being underwritten. While closing in a typical market with a modest lender may take as little as 30 days, market circumstances and the underwriting process may extend it to 45 or 60 days.

It’s important to look around and see what timelines different lenders offer, while the market average is 30-45 days, CMS offers 26-Day Closings on Home Purchases and 16-Day Closings on Refinances. Get a rate to see how much you can afford.

Reasons Getting a Mortgage Takes So Long

If you’re in the process of applying for a mortgage, you may be wondering why it takes so long to get approved. After all, you’ve already been through the process of getting pre-qualified, which is when your lender gives you an idea of how much they are willing to lend you based on your financial situation. So what’s taking so long?

The answer has to do with the Mortgage Underwriting Process. This is the process that your lender uses to determine whether or not you are a good candidate for a loan and whether or not they are willing to approve your loan. The Mortgage Underwriting Process can take anywhere from a few days to a few weeks, depending on how complex your financial situation is and how busy your lender is.

Here are some other reasons it may be taking longer than expected:

• When mortgage rates are low, lenders are undoubtedly busier.
• If you’re applying for a mortgage in a hot market, your lender will be handling numerous other mortgage applications and it will take longer to finish them all.
• The requirements for an appraisal are more stringent than they used to be, making the procedure longer.
• If the house does not appraise at or above the sales price, there may be additional delays or even cause your mortgage
• If you utilize a government-backed loan product like an FHA loan, you may require additional inspections or appraisals.
• If the property has a lien or judgment against it, this will delay closing since your lender needs to conduct a title search on it.

Tips on Getting a Faster Mortgage Approval

If you’re looking to get your mortgage approved as quickly as possible, there are a couple things you can do to speed up the process.

The best thing you can do is make sure you have all of your financial documentation ready. The more prepared you are, the faster your lender will be able to process your loan application. Be ready with these documents when you meet with your lender:

• Verification of your last two years of employment, including contact info and dates
• Copies of your Social Security card and driver's license or state-issued ID
• The last two years of your W2 forms (or 1099 forms if you're self-employed)
• Complete copies of your last two years of tax returns
• Your last two months of pay stubs
• All pages of your last two months of bank statements
• Current retirement account statements
• Documentation to show the source of any recent cash deposits
• Documentation of your ownership of any other real estate or assets
• Contact information for your homeowners insurance provider

Throughout the whole process be sure to stay in touch with your lender. Mortgage applications almost always result in requests for more information or paperwork. The sooner you can provide your lender with what they need, the faster your application will move through underwriting, so make sure you’re available to your lender if they need anything.

It’s difficult to believe, but getting a mortgage is one of the most time-consuming processes you’ll go through. It can be daunting if you’re not prepared and might be weeks or months before everything comes together. But keep in mind that good things take time! You’ll be living in your new house before you know it with a mortgage that will protect both you and the lender in the long run.