Ultimately, the most important factor in getting any mortgage closed is the applicant. And by this, I don’t mean the credit worthiness, income, or anything else; I mean the willingness to collect documents, the willingness to provide information, and the openness at the beginning of the process.

When I submit an application and it is delayed, 99 times out of 100 it is because documentation we requested from a borrower was not delivered in a timely manner, the documentation delivered was incomplete, or the borrower withheld information at application hoping we would not find it. By giving us what the underwriter asks for when it is asked for, and not trying to hide anything, the application process is usually quite a pleasant experience.

For this reason, I usually give my clients this article from Forbes, called The Perfect Loan File. Now, this article discusses a lot of the “why” behind the “what” when it comes to loan underwriting, which is great information to understand when going through the mortgage process, but more importantly, the author clearly articulates what is required to have a perfect loan file. A perfect loan file will be fully documented and comply with underwriting guidelines. This does not mean that the applicant’s credit is great and income is staggering, but it means that if there are blemishes which can fit within guidelines, they are documented, and that the income is properly documented.

I can promise you, I never collect documents that are not needed by underwriting to approve the loan. I wouldn’t want to waste your time, I wouldn’t want to waste my time, and I wouldn’t want to risk hurting the loan file. Similarly, an underwriter is never going to ask for documentation that is not crucial to approving a loan. So, if you are currently in the loan process, or if you are considering it, please gather the documentation asked of you and deliver it in full when it is requested. You will save yourself a ton of time and, probably, a few headaches.

If you have any questions about the mortgage process, or about what documentation might be required for you, please contact me. And if you have anything to add about building the perfect loan file, please leave a comment.