Costs
This is the extra cost added to your monthly mortgage payment if your down payment is under 20%
PMI
What are the 4 main types of loans
USDA, VA, FHA and Conventional
Before you look at homes with a realtor what should you do?
Speak to a lender and get prequalified
This account holds money for future taxes and insurance, collected monthly with your mortgage.
Escrow Account
These costs, usually 2–5% of the home price, are paid at the end of the buying process.
Closing Costs
What is the minimum down payment required for a first time buyer using conventional?
3%
What is the average number of days it takes to buy a home - from contract to closing
30 days
The buyer typically schedules this before closing to ensure agreed-upon repairs were completed.
Final Walk Through
These optional upfront payments reduce your interest rate over the life of your loan.
Discount Points
Minimum Down Payment required for FHA?
3.5%
Once your offer is accepted, this sum is deposited to show you’re serious.
Earnest Money Deposit
A seller might offer this as a credit to the buyer to help offset repairs or upgrades.
seller concession?
What is in your monthly mortgage?
principle, interest, taxes, and insurance
This federal loan program supports buyers in rural and suburban areas with no down payment.
USDA
This legally binding period allows the buyer to inspect the home and back out if issues arise.
inspection period?
You should get this done within a few days after your offer is accepted to look at the condition of the home and safety
Home Inspection
This recurring monthly cost is usually included in your mortgage and covers fire, theft, and liability.
Home Owners Insurance
This loan type is for veterans and requires no down payment
VA Loan
After the inspection, buyers and sellers may negotiate these based on findings.
What are repairs or concessions?
This legal document proves who owns the property.
Deed