How Long Does It Take to Underwrite MI?

November 8, 2016 / Michael Hitt, Senior Vice President—Insurance Operations

Underwrite a Mortgage


To maximize productivity for lenders, United Guaranty worked for more than three years to develop systems and processes to enable our underwriters to provide 24-hour turnaround on full-file mortgage insurance applications.

We deployed the largest underwriting team in the industry across all four time zones in the continental U.S., so our underwriters can continue to work on your loan even after you turn off the office lights and head home for the evening.

FHA Time to Close
Some competitors take 48 hours or more to provide a response on full-file loans. Federal Housing Administration (FHA) loans take even longer. According to the agency’s website, “An FHA loan can stay in the underwriting stage anywhere from two to six weeks, depending on how many issues come up. If you get a superstar underwriter, your file might clear his desk in a week or less.”

In cases where the file is incomplete and there are conditions that need to be resolved by the borrower, the FHA says that underwriting typically takes two to three weeks. If the loan is submitted during a peak selling period and the file is incomplete and has underwriting issues, the FHA’s underwriting decision can stretch to four to six weeks.

United Guaranty's Single Day Turnaround
In response to requests from lenders, United Guaranty launched a project more than four years ago to speed up our underwriting processes. In today’s world where data flows at light speed and packages arrive overnight, many lenders agree that borrowers are becoming increasingly frustrated with the lengthy delays in the home-buying process.

In today’s world where data flows at light speed and packages arrive overnight, many lenders agree that borrowers are becoming increasingly frustrated with lengthy delays in the home-buying process.

After enhancing our internal processes and deploying underwriters in every time zone, United Guaranty now has the quickest full-file turnaround in the industry. For our lender partners, faster turnarounds mean the ability to respond to borrowers faster and to complete more loans.

It isn’t just United Guaranty’s rapid turnaround time that makes our underwriters the best in the business. Our understanding of risk management and industry expertise, combined with our proprietary Performance Premium® pricing model, gives us the ability to offer rescission protection on full-file submissions from the date of closing when the lender provides accurate loan file information.1

Our highly trained underwriters will assess the complete loan file, weighing each individual risk characteristic and compensating factor. Plus, they also operate just a phone call or email away.

No other MI provider in the industry offers the level of personal service United Guaranty does. Customers have an open line to the underwriter on their loans. If you have questions, concerns, or special requirements, there is always someone ready to listen. Our customer support team remains wholly dedicated to serving your needs.

1For full terms and conditions of coverage, please refer to your United Guaranty Master Policy.
Michael Hitt

As senior vice president—Insurance Operations, Michael Hitt oversees underwriting, loss management, loss mitigation, investigations, and appeals. His goals for the operations team are to make the right decision on every loan and work to maximize efficiency and productivity without sacrificing quality, which are the guiding principles of United Guaranty’s risk management philosophy.

Hitt joined United Guaranty in 1996. He was named vice president – Insurance Operations in 2012 and was promoted to senior vice president in 2013. Prior to moving to operations, Hitt led the business analytics team responsible for developing operational metrics across the organization, providing valuable insight into developing efficiencies and improving capabilities within the sales and operations teams.Since joining United Guaranty, Hitt has managed groups in several other areas, including digital operations, training, business systems, underwriting, claims, loss mitigation, and servicing.

He holds a BA in mathematics from Clemson University.

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