The average loan application takes between four to six weeks to be approved. Recently, some lenders have sped up their approval process, averaging 22 days between application submission and formal approval. Non-bank lenders, however, are the fastest mortgage lenders, averaging around 14 days.
What Determines How Fast My Loan is Approved?
Several factors determine how fast a loan is approved. Some you can control. Some you cannot control.
- Communication between the parties involved, such as the seller, the lender, the valuator, the solicitor, etc.
- The schedule of the valuator, the seller, and the solicitor
- The organisation of all the parties involved
- Whether or not the loan application is filled out completely and correctly
- Whether or not all the application documents are submitted promptly
- How complicated the loan is and where the property is located, especially if it is considered high risk.
Why are Non-Bank Lenders Faster?
Non-bank lenders tend to process loan applications faster than traditional lenders, such as banks. The biggest reason they can speed up the approval process is that there are not as many levels of management in a non-traditional lender. In addition, non-bank lenders, private lenders, and other non-traditional lenders typically have fewer applicants than banks.
If you need a home loan approved quickly, contact the expert brokers at Mortgage House. As a non-bank lender, we will work directly with you to speed up the approval process. We can act as a liaison for you, help you fill out all the paperwork correctly, and we can cut out the middleman to have your home loan application approved faster than our competitors.
