The process of spreading loan payments over time, gradually reducing the loan balance through scheduled monthly payments.
A loan with an interest rate that may change periodically after an initial fixed period.
The total yearly cost of borrowing, including interest and certain fees.
A professional estimate of a property's market value.
Funds or property owned by a borrower that may be used for down payment or reserves.
A licensed professional who connects borrowers with lenders and helps secure the right mortgage program.
A short-term loan used to “bridge”he gap between buying a new home and selling an existing one, allowing a borrower to access equity for a down payment or purchase.
A financing strategy where upfront funds are used to temporarily or permanently reduce the interest rate, lowering initial monthly payments.
The final step of a real estate transaction where documents are signed and ownership transfers.
A final statement of loan terms and costs provided before closing.
A loan that meets limits set by Fannie Mae and Freddie Mac.
The percentage of income used to pay monthly debt obligations.
The upfront portion of the purchase price paid by the buyer.
The difference between a property’s value and outstanding loan balance.
An account where funds are held for property taxes and insurance, or a neutral third party that manages funds during a transaction.
A loan with a constant interest rate over the life of the loan
A document outlining the estimated costs and terms of a mortgage loan.
The difference between your home’s market value and the remaining balance on your mortgage.
The percentage charged by the lender for borrowing money.
A mortgage that exceeds conforming loan limits set by federal guidelines.
A benchmark interest rate that influences mortgage rates and lending costs.
The loan amount compared to the property’s value.
A licensed professional who acts as an intermediary between borrowers and multiple lenders to find and arrange the most suitable loan options.
Insurance that protects the lender if the borrower defaults, typically required for loans with less than 20% down.
A legal document outlining the borrower’s promise to repay the loan under agreed terms.
A lender’s conditional commitment based on verified financial information.
The amount borrowed, excluding interest.
Replacing an existing mortgage with a new loan to improve terms, reduce payments, or access equity.
A guarantee of a specific interest rate for a set period.
The lender’s risk review process.
