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Process & paperwork

Underwriting

Definition

The lender's review of your application — credit, income verification, asset confirmation, property appraisal — leading to formal approval and a mortgage commitment.

Underwriting is where a pre-approval becomes a real commitment. The lender (and, on insured files, the insurer) verifies the '5 Cs' — credit, capacity/income, capital/down payment, collateral/property, and character — against actual documents, not estimates.

Most conditions fall into a few buckets: confirm income (pay stubs, NOAs, T4s or business statements), confirm down payment and its source, and confirm the property via appraisal. Clearing conditions quickly and cleanly is what keeps a closing on schedule.

A well-packaged file — complete documents, explained deposits, no last-minute new debt — sails through underwriting. This is much of the behind-the-scenes value a broker adds.

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