Real Estate Terminology: An Extensive Guide from Priority 1 LendingVerify my mortgage eligibility (Dec 9th, 2023)
Understanding real estate terminology can be a daunting task. At Priority 1 Lending we aim to simplify this process by offering a comprehensive guide to the most common and essential real estate terms you’re likely to encounter during your home-buying journey.
1. Appraisal: An unbiased, professional estimate of a home’s value. This is generally required by lenders to ensure that the mortgage loan amount is not more than the actual worth of the property.
2. Closing Costs: These are fees and expenses, over and above the price of the property, that buyers and sellers normally incur to complete a real estate transaction.Verify my mortgage eligibility (Dec 9th, 2023)
3. Contingency: This is a condition that must be met for a real estate contract to become binding. A common example is a buyer making the final purchase contingent on the results of a home inspection.
4. Earnest Money: A deposit made by a buyer to a seller, often at the time of signing the contract. This shows the buyer’s serious intent to purchase.
5. Equity:The value of a homeowner’s unencumbered interest in their real estate, calculated by the difference between the fair market value of the property and the amount still owed on any mortgages or liens.Verify my mortgage eligibility (Dec 9th, 2023)
6. Fixed-Rate Mortgage: A mortgage with an interest rate that does not change during the entire term of the loan.
7. Pre-Approval: An evaluation by a lender of a potential borrower’s ability to qualify for a mortgage before they find a home to purchase.
8. Title: A legal document evidencing a person’s right to or ownership of a property.
At Priority 1 Lending, we are committed to guiding you through the home-buying process. Our team of experts is ready to assist you in understanding these terms and any others you may encounter. We offer expert advice and a range of mortgage solutions tailored to your unique needs and aspirations.
Navigating real estate terminology is a crucial part of your journey to homeownership. With Priority 1 Lending by your side, we can transform this journey from intimidating to empowering. Together, we’ll navigate the complexities of real estate jargon, equipping you with the knowledge to make confident, informed decisions.
Priority 1 Lending strives to simplify and illuminate your path to owning a home. From understanding real estate terminology to securing the most suitable financing options, we’re committed to standing by you every step of the way.
At Priority 1 Lending, we’re more than just a mortgage company – we’re your partner in the exciting journey of homeownership. Let us be your trusted guide and ally in this rewarding endeavor.