Over the past two weeks, I explained some of the words that are commonly used in mortgage lending. This week, I wrap up with the final words you may hear when acquiring a mortgage through Fairway Independent Mortgage Corporation.
Qualifying Ratio – The comparison of a borrower’s expenses, such as housing or debt to their income.
Refinancing – The act of paying off a loan with the funds from a new loan on the same property.
Start Rate – A pre-determined interest rate that will be applied to a loan until the date of the first interest rate change.
Term – The number of years until a loan is to be fully paid off.
Underwriting – Verifying data and evaluating a borrower’s loan application. The underwriter gives the final approval of the loan.
VA Loan – Home loans that are available to U.S. veterans and are guaranteed by the U.S. Veterans Administration.
Walk-through – The final inspection of a home to inspect for damages or problems that may need to be fixed before closing.
eXtraordinary Operations Department – Make sure that the company you choose for your loan has talented processing and underwriters.
Year-end Statement – A report showing how much interested was paid during the year and the remaining mortgage balance owed.
Zoning Ordinances – Local laws that determine building codes and regulations on the use of a property.
As a Mortgage Planner, I am happy to answer questions that you may have and provide you with more insight on loan programs that may be of interest to you. Call me today to set up a time when we can meet to discuss your home mortgage needs!
Tags: Mortgage Terms