Are you eager to learn even more about the mortgage industry?Don’t waste any time jumping into the mortgage industry; the introduction to the mortgage market continues with our list of helpful mortgage terms! By mastering these terms you can easily impress any mortgage professional. So stay informed and study up!
- Home Equity- The difference between the current value of the property and the amount owed in mortgages.
- Origination- The beginning of the loan process where the borrower submits information in order to obtain mortgage financing.
- Refinance- Obtaining a new mortgage loan on a property already owned. This loan often replaces the existing property loan.
- Title Insurance- Protects the buyer and seller from the legal defects related to a home’s title. This includes protection against lawsuits and other claims tied to the title of the property. It also insures the property owner’s legal right to transfer the property to the buyer.
- Underwriting- A decision by the lender on whether to make the loan or not. This decision is based on factors such as insurance, credit, employment, assets and other factors. This process determines the level of risk the lender would incur if you were extended the loan.
These terms can help you stay one step ahead when looking for a new home. If you are interested in becoming a homeowner or if you have any questions about financing that home of your dreams, please contact a member of our Housing Buzz Team today.