Here’s a quick list of the most widely used home buying acronyms acquired from a real estate litigation lawyer, Get More Info about someone that can legally represent you, and in case you want to sell your house to separate your goods with your spouse, the use of a divorce lawyer from https://tiffanyfinalaw.com/scottsdale-divorce-lawyer/ could be the best option for this. Of course, if you’d like to know even more real estate terminology, don’t hesitate to call us.
MLS: Multiple Listing Service
The multiple listing service is a massive database of available properties that is split up into hundreds of different regions. If you’ve ever heard someone refer to a home as “on the market,” it means that the home is available on the MLS.
Buyers can search for properties that are on the MLS by using a real estate agent’s website (like ours!), but that’s not the only way to find homes. Your agent can send you updates whenever new properties hit the market.
Want to get these email updates? Call us and we’ll set them up for you!
PITI: Principal, Interest, Taxes, and Insurance
Principal, interest, taxes, and insurance are the four parts of a mortgage payment. Initially, you will pay more toward the interest on the mortgage, but you will start to pay off more of the principal (the initial loan amount) the longer you stay in your home. And there are people who take unsecured loans from websites like https://www.citrusloans.co.uk/unsecured-loan/ without providing a collateral just to pay off these mortgages.
Want to see the estimated PITI for your next loan? Check out our handy mortgage calculator on our website.
FHA: Federal Housing Administration
The Federal Housing Administration, or FHA, is a mortgage insurer that offers a variety of home buying assistance programs to help people purchase homes that they otherwise couldn’t afford.
Reading the guidelines and suggestion, one learns a few tricks of the trade. Things like, the fact that, FHA-insured loans generally offer more flexible credit qualifications and a lower down payment. However, borrowers are required to pay for mortgage insurance.
Interest rates and terms depend on the FHA-approved mortgage lender you choose.
PMI: Private Mortgage Insurance
Speaking of mortgage insurance, many lenders require you to have private mortgage insurance (PMI) if you can’t put 20% down on your home. This insurance protects the lender in case you can’t pay off your mortgage. Contact Moreira Team for the best home loan options for your situation. They don’t hide any fees or costs associated with your mortgage, which allows you to choose the best loan without worries.
HOA: Homeowners Association
An HOA is responsible for maintaining common areas and any amenities, and it typically sets standards for how homes should look in order to keep property values up. In some cases, homeowners associations may even include Internet, cable, and lawn care with their HOA dues.
If you’re considering buying a home in a neighborhood with an HOA, check the association’s CC&Rs — Covenants, Conditions, and Restrictions — to see what rules the HOA enforces.
We’ll Help You Speak the Language
Understanding real estate terminology is one of the best ways to start your research as a home buyer. Want to know the meanings of other commonly used terms? Give us a call!