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Mortgage loan processor vs mortgage underwriter

The differences between mortgage loan processors and mortgage underwriters can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 2-4 years to become a mortgage loan processor, becoming a mortgage underwriter takes usually requires 4-6 years. Additionally, a mortgage underwriter has an average salary of $55,721, which is higher than the $43,594 average annual salary of a mortgage loan processor.

The top three skills for a mortgage loan processor include customer service, FHA and va. The most important skills for a mortgage underwriter are customer service, work ethic, and FHA.

Mortgage loan processor vs mortgage underwriter overview

Mortgage Loan ProcessorMortgage Underwriter
Yearly salary$43,594$55,721
Hourly rate$20.96$26.79
Growth rate-3%4%
Number of jobs16,2769,260
Job satisfaction--
Most common degreeBachelor's Degree, 50%Bachelor's Degree, 65%
Average age4245
Years of experience46

What does a mortgage loan processor do?

A mortgage loan processor is a person who is responsible for the preparation of mortgage applications and any other paperwork. Mortgage loan processors interview the loan applicants, assist them in selecting the right mortgage, and approve or reject their applications. They are expected to have excellent communication, extraordinary interpersonal abilities, and strong attention to detail. Their job involves working with the loan officer and the underwriter. Also, they must be equipped with management skills and aptitude in math.

What does a mortgage underwriter do?

A mortgage underwriter is responsible for reviewing mortgage loan applications and deciding on its approval or rejection by evaluating the submitted documents and the applicant's eligibility. Mortgage underwriters create assessment reports, research on the applicant's credit score, analyze potential loan risk, and request for additional documentation as needed. A mortgage underwriter must have extensive knowledge of the loan disciplines and processes, including its legislative procedures and regulations, to provide accurate decisions or discuss necessary findings to the loan officer for advice.

Mortgage loan processor vs mortgage underwriter salary

Mortgage loan processors and mortgage underwriters have different pay scales, as shown below.

Mortgage Loan ProcessorMortgage Underwriter
Average salary$43,594$55,721
Salary rangeBetween $33,000 And $57,000Between $38,000 And $80,000
Highest paying CitySan Francisco, CANew York, NY
Highest paying stateMassachusettsNew Mexico
Best paying companyAmplify Credit UnionCTBC Bank
Best paying industryProfessionalProfessional

Differences between mortgage loan processor and mortgage underwriter education

There are a few differences between a mortgage loan processor and a mortgage underwriter in terms of educational background:

Mortgage Loan ProcessorMortgage Underwriter
Most common degreeBachelor's Degree, 50%Bachelor's Degree, 65%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Mortgage loan processor vs mortgage underwriter demographics

Here are the differences between mortgage loan processors' and mortgage underwriters' demographics:

Mortgage Loan ProcessorMortgage Underwriter
Average age4245
Gender ratioMale, 21.7% Female, 78.3%Male, 39.3% Female, 60.7%
Race ratioBlack or African American, 13.3% Unknown, 4.3% Hispanic or Latino, 14.2% Asian, 6.8% White, 61.1% American Indian and Alaska Native, 0.4%Black or African American, 9.2% Unknown, 4.6% Hispanic or Latino, 15.9% Asian, 6.4% White, 63.4% American Indian and Alaska Native, 0.5%
LGBT Percentage7%8%

Differences between mortgage loan processor and mortgage underwriter duties and responsibilities

Mortgage loan processor example responsibilities.

  • Manage individual pipeline using the LPS system.
  • Manage a monthly pipeline averaging 100 files from origination to funding per month as a Jr. processor.
  • Process all types of loan products including FHA, VA, conventional, no income verification, and the self-employed borrower.
  • Assist with executing all loan sales in the secondary market to FNMA, FHLMC and private investors.
  • Verify and validate loan applications for conforming, FHA, VA applications via DU/LP and complex lender software programs.
  • Process USDA and conventional loans.
  • Show more

Mortgage underwriter example responsibilities.

  • Manage AUS findings and analyze approvals and results accordingly.
  • Involve with USDA and NH housing loans.
  • Obtain NMLS license in 2011 and real estate license in 2005.
  • Prepare and respond to compliance HMDA, NMLS, and ECOA relate inquiries.
  • Audit and analyze TIL, GFE and HUD documentation for accuracy to insure compliance.
  • Review MHA and FHA guidelines and calculate proper income to approve or decline loans for a temporary or permanent modification.
  • Show more

Mortgage loan processor vs mortgage underwriter skills

Common mortgage loan processor skills
  • Customer Service, 22%
  • FHA, 6%
  • Va, 6%
  • Property Appraisals, 5%
  • Excellent Organizational, 5%
  • Investor Guidelines, 5%
Common mortgage underwriter skills
  • Customer Service, 7%
  • Work Ethic, 6%
  • FHA, 5%
  • Va, 5%
  • Excellent Organizational, 4%
  • Excellent Interpersonal, 4%

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