Credit or Debit
What does PIN stand for
what is Personal identification number
What is the first step in the home buying process?
what is getting pre-approved for a mortgage?
This term refers to the interest rate that remains fixed for the entire duration of the loan.
What is a fixed rate loan?
This common household appliance should be checked annually and have its filters replaced regularly to ensure proper functioning.
What is a furnace or HVAC system?
This term refers to the initial payment made by the buyer towards the purchase price of a home.
What is a down payment?
a number assigned to you that determines how much money you can use on your credit card
What is a credit score
This professional helps facilitate the purchase of a home by handling the legal aspects of the transaction.
Who is a real estate attorney?
This type of loan requires collateral, such as a house or car, which the lender can claim if the borrower fails to repay the loan.
What is a secured loan?
This term refers to the examination of a property's structure, systems, and components by a professional to identify any issues or potential problems.
What is a home inspection?
This ratio is commonly used by lenders to assess a borrower's ability to repay a mortgage, calculated by dividing the borrower's monthly debt payments by their gross monthly income.
What is the debt-to-income ratio?
a payment card that can be used in place of cash to make purchases.
What is a debit card
This document outlines the specific details of the property being purchased and is typically prepared by the seller's attorney.
What is the purchase agreement or contract?
This type of loan allows the borrower to borrow against the value of their home and is commonly used for major expenses like home renovations or debt consolidation.
What is a home equity loan?
This part of the house inspection focuses on the condition of the roof, including signs of damage, leaks, or deteriorating shingles.
What is a roof inspection?
This type of mortgage has a fixed interest rate and a repayment term of 30 years, making it a popular choice among homebuyers.
What is a 30-year fixed-rate mortgage?
a payment card issued to users to enable the cardholder to pay a merchant for goods and services based on the cardholder's accrued debt.
What is a credit card
Before finalizing the purchase, it is important to hire this professional to inspect the property for any structural or maintenance issues.
Who is a home inspector?
This term describes the process of combining multiple loans into a single loan with a single monthly payment.
What is loan consolidation?
This safety device should be installed on each level of the home and tested regularly to ensure it is in working order.
What is a smoke detector?
This document outlines the terms and conditions of a mortgage loan, including the interest rate, repayment period, and any penalties or fees.
What is the mortgage agreement or mortgage contract?
What is the key difference between a credit card and a debit card?
A credit card allows you to borrow money from a financial institution to make purchases, whereas a debit card is linked directly to your bank account and uses the funds available in that account for transactions.
This event marks the final step in the home buying process, where the ownership of the property is officially transferred from the seller to the buyer.
What is the closing or settlement?
This type of loan does not require any collateral and is granted based on the borrower's creditworthiness.
What is an unsecured loan or personal loan?
This type of inspection is typically conducted for older homes and examines the presence of lead-based paint, asbestos, or other hazardous materials.
What is an environmental inspection?
This insurance protects the lender in case the borrower defaults on the mortgage loan, typically required for loans with a down payment less than 20% of the home's purchase price.
What is private mortgage insurance (PMI)?