REAL ESTATE
"Location, location, ____!" The three most famous words in real estate.
What is location?
The most popular mortgage length in America, in years.
What is 30 years?
Federal health insurance most Americans become eligible for at age 65.
What is Medicare?
What you pay out of your own pocket before your insurance kicks in.
What is a deductible?
Also known by the brand name Sheetrock, these panels make up most interior walls.
What is drywall?
The good-faith deposit a buyer puts down with an offer.
What is earnest money?
Put less than 20% down on a conventional loan and you'll likely pay this 3-letter insurance.
What is PMI?
Florida's nickname for retirees who fly south for the winter.
What are snowbirds?
The regular payment you make to keep your policy active.
What is a premium?
This 4-letter acronym is a Floridian's best friend in August.
What is HVAC?
Short for "comparables," these recently sold nearby homes help set the price.
What are comps?
A fixed rate stays put. On this 3-letter loan, the rate can adjust.
What is an ARM (adjustable-rate mortgage)?
Short-term care that gives a family caregiver a well-deserved break.
What is respite care?
Most standard homeowners policies DON'T cover this, which matters a lot in Florida. The federal NFIP sells it.
What is flood insurance?
Knock this wall down and the ceiling might come down with it.
What is a load-bearing wall?
The big day you sign a mountain of paperwork and finally get the keys.
What is closing?
Lenders compare your monthly debts to your income using this 3-letter ratio.
What is DTI (debt-to-income)?
Grab bars, a walk-in shower, a stair lift: it all helps you stay in your own home as you age.
What is aging in place?
Florida homeowners policies usually have a separate deductible, often 2% or more, just for these storms.
What is a hurricane?
This number tells you how well insulation resists heat flow. Higher is better.
What is R-value?
This clause lets a buyer walk away if, say, the inspection turns up termites.
What is a contingency?
Each one costs 1% of the loan amount, paid up front to buy down your interest rate.
What are discount points?
Homeowners 62 and older can tap home equity with no required monthly mortgage payment using this "backwards" loan.
What is a reverse mortgage?
Paid once at closing, it protects you from past problems like unknown liens or forged deeds.
What is title insurance?
The to-do list of small fixes at the end of a job, before the contractor gets the final check.
What is a punch list?