When most people apply for a mortgage, they assume approval is all about income, credit score, and down payment. While those are important, underwriters look at far more than just the basics. In fact, some of the biggest approval delays — or denials — come from details borrowers never realize matter.
Here are five things underwriters pay close attention to that often surprise buyers.
1. Consistency of Income — Not Just the Amount
It’s not only how much you earn, but how stable your income appears over time. Sudden changes in pay structure, recent job switches, bonuses, overtime, or commission income can all trigger extra scrutiny. Even higher income doesn’t always help if it lacks consistency.
Underwriters want to see a clear, predictable pattern that suggests your income will continue after closing.
2. Large or Unexplained Bank Deposits
Seeing a healthy bank balance is great — but large deposits without a clear source can raise questions. Underwriters must verify where funds come from to comply with lending regulations. Gifts, transfers, cash deposits, or recent sales of assets often require documentation.
When deposits aren’t explained upfront, approvals can slow down quickly.
3. Credit Behavior Right Before Closing
Many buyers know not to open new credit accounts, but fewer realize that even small changes — like financing furniture, co-signing a loan, or increasing credit card balances — can affect approval.
Underwriters review updated credit reports before closing, and last-minute changes can alter your debt-to-income ratio or credit profile.
4. Employment Gaps (Even Short Ones)
Short breaks between jobs may seem insignificant, but underwriters are trained to ask questions. Gaps in employment often require written explanations, especially if they occurred within the last two years.
Clear documentation helps underwriters confirm stability and move the file forward smoothly.
5. The Overall Story of Your File
Beyond numbers, underwriters look for a file that “makes sense.” They review how income, assets, credit, and employment fit together as a whole. When something feels inconsistent — even if technically allowable — it can lead to additional conditions or delays.
A clean, well-documented file tells a clear financial story and helps approvals happen faster.
Final Thoughts
Mortgage approval isn’t just a checklist — it’s an evaluation of financial patterns, stability, and documentation. Understanding what underwriters really look for helps buyers prepare smarter, avoid surprises, and close with confidence.
If you’re planning to buy or refinance, schedule a consultation with us on our website and we can see what makes the most sense for you.