Mortgage Basics
Your overview to all things Mortgage.
Application Checklist
Applying for a mortgage can seem daunting, but we have compiled a comprehensive list of documents and information needed to get you on the road to homeownership.
Credit
Your credit score is a numerical representation of your creditworthiness, derived from your credit report. It's one of the primary factors used to determine your eligibility
Closing Costs
Closing costs are the various fees and expenses that buyers (and sometimes sellers) incur to complete a real estate transaction, over and above the price of the property itself.
Appraisals
Conducted by a certified or licensed appraiser, this unbiased professional assessment of a property ensures that the lender does not provide a loan amount greater than the property's worth.
Private Mortage Insurance (PMI)
PMI is a type of insurance policy that protects lenders from the risk of default and foreclosure. PMI is typically required when a homebuyer makes a down payment of less than 20% of the home's purchase price.
Refinance
Homeowners choose to refinance for various reasons, including securing a lower interest rate, changing the loan term, accessing home equity, or switching from an adjustable-rate mortgage (ARM) to a fixed-rate mortgage.
Foreclosure
Foreclosure is a legal process by which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments by forcing the sale of the property used as the collateral for the loan.
Glossary Of Terms
Familiarizing yourself with this mortgage related terminology can lead to a smoother home buying experience while aiding in understanding and communication.
For information purposes only. This is not a commitment to lend or extend credit.
Information and/or dates are subject to change without notice. All loans subject to credit approval.
CA Department of Real Estate #01505999
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