Strengthen Your Mortgage Vocabulary

Dear Ali, 

Thinking about buying a home? Then you probably feel like you're encountering a whole new language. Here are a few terms that are helpful to know throughout the mortgage process:

1. Annual Percentage Rate (APR): The mortgage interest rate plus any other fees or charges associated with your payment. 

2. Amortization: The process of paying down the principal and interest of a loan over time.

3. Closing costs: Fees and charges due at the time of a real estate closing, which may include loan origination fees, title insurance, credit report charges, and more. 

4. Equity: The monetary difference between your mortgage balance and the actual market value of your home.

5. Underwriting: The process of determining the risks involved in a particular loan and establishing suitable terms and conditions for the loan.

I am here to answer any questions that you might have during the loan process and beyond.

Best regards, 

Anna Smith