How Long Does It Take to Get Approved for a Mortgage? A Step-by-Step Guide

Getting approved for a mortgage can be a lengthy process but knowing what to expect can help you plan accordingly. Here is a step-by-step look at how long it takes to get mortgage approval.

Pre-Approval Stage

It’s the first thing you need to do to get a mortgage. Sending paperwork and details to a lender to make sure you can get a loan is part of this process.

The pre-approval process can take as little as 1 day but usually takes 1-2 weeks Here are the steps

• Submit Information (1-3 days) – You’ll need to submit financial documents like tax returns, bank statements, pay stubs, and a copy of your ID. Gathering these documents together can take a few days.

• Lender Review (1-5 days) – The lender will verify your finances, employment, and credit. Most lenders can do this within 1 business day if you provide all documentation upfront.

• Get Pre-Approval Letter (Same day) – Once reviewed, you’ll get a pre-approval letter stating the amount you’re approved to borrow.

Getting pre-approved first is recommended but not required. It lets sellers know you’re a serious, qualified buyer and can speed up the mortgage approval process.

Mortgage Application

You can really start looking for a home once you’ve been pre-approved. To get a mortgage, you’ll need to have an accepted offer first.

The mortgage application process takes 2-4 weeks and includes:

• Submit Full Application (1-2 days) – You’ll provide updated documentation and formally apply for a loan.

• Home Appraisal (1 week) – The lender will assess the property’s value to ensure it’s worth the loan amount.

• Title Search (1 week) – The lender checks for liens or other issues with the property title.

• Final Underwriting (1 week) – The lender does a last review of your finances before approval.

• Closing Disclosure Form (3 days): These are the last loan terms you’ll need to look over before the closing.

As long as your finances haven’t changed, having a pre-approval can shorten this process since the lender already has your information.

Time From Offer to Closing

From offer acceptance to closing day, the typical timeline is:

• Get Pre-Approval (1-2 weeks) – Ideally done before submitting an offer.

• Offer Accepted (1-2 days) – Time will vary depending on negotiations.

• Mortgage Application (2-4 weeks) – Includes appraisal and underwriting.

• Closing (1-2 days) – Final walkthrough and paperwork signing.

The entire process takes 4-8 weeks typically. Closings can happen faster in some cases, like with all cash offers. But financing a home purchase will take a minimum of 3-4 weeks.

Factors That Impact Timeline

While the typical mortgage approval timeline is 4-8 weeks, several things can make it shorter or longer:

Speed Up Approval:

• Getting pre-approved upfront
• Providing complete documentation quickly
• Having a good credit score and debt-to-income ratio
• Buying in a low-competition market

Delay Approval:

• Changing lenders mid-process
• Having an irregular income source
• Paying down debts to improve DTI ratio
• Providing documentation slowly
• Issues found during title search or appraisal

Tips for a Smooth Process

Here are some tips to help your mortgage experience go quickly and smoothly:

• Check credit reports – Correct any errors immediately so your credit is clear.

• Gather paperwork – Tax returns, pay stubs, bank statements. Have everything ready to provide quickly.

• Pay down debts – Consider paying off cards or loans to lower your DTI.

• Start early – Begin getting pre-approved 2-3 months before seriously house hunting.

• Stay patient – Approval takes time. Avoid any major purchases during the process.

The mortgage approval process takes anywhere from 3 weeks to 2 months typically. Getting pre-approved first, having your finances in order, and promptly providing paperwork can help expedite the timeline. Stick to the same lender throughout the process and be patient as they work through all the required verifications.