Acronyms
House Hunting
Closing
Real Estate
Credit & Income
100
What Does the Acronym FHA Mean?
Federal Housing Administration
100
Why is a Professional Home Inspection Important?
It shares the condition of the major mechanicals about the property so that you are informed about the home you are purchasing.
Includes: Plumbing, electrical, foundation, roof, etc
100
What is a Mortgage Note?
The financial document that a borrower signs at closing promising to repay the loan.
100
Why is Title Insurance Important?
It ensures that the borrower is not responsible for any liens that were owed prior to ownership of the property is transferred to them.
100
What's the Minimum Credit Score for a home loan?
580
200
What Does ROV mean?
Reconsideration of Value
200
List 6 Key Players on Your Homebuyer Team!
1. Real Estate Broker
2. Lender
3. Home Inspector
4. Attorney
5. Appraiser
6. Insurance Agent
200
What is a Deed?
A Document that shows who has ownership interest in the property
200
What is MLS?
Multiple Listing Service
Provides information on properties currently available in the area you are looking to purchase your home.
200
Does the lender use Net or Gross Income to determine your eligibility?
Gross Income
300
What Does the Acronym PITI mean?
Principal, Interest, Taxes & Insurance
300
What is an Appraisal?
- An Opinion of Value
300
What is a CD (Closing Disclosure)?
A document you receive prior to closing that lists out all the fee's itemized out, that are being collected at the time of closing.
300
What are Contingencies?
Conditional events which must happen in order for the Buyer & Seller to conclude the transaction.
300
Which section of the Credit Pie Circle takes up the most percentage?
Payment History is 35% of the credit pie
400
What Does the Acronym PMI mean?
Private Mortgage Insurance
400
What is Steering?
A practice in which Real Estate brokers
guide prospective homebuyers towards
or away from certain neighborhoods.
400
When should you Receive the Loan Estimate (LE) of Settlement Costs?
Within 3 days of applying for Mortgage Loan.
400
What is a Counter Offer?
The Seller’s proposal to the Buyer’s original offer (Buyer can then Accept, Reject or Counter Counter Offer)
400
What are the 5 things the credit score takes into consideration?
1. Payment History
2. Utilization
3. Length of your credit history
4. Types of credit
5. New credit
500
What Does the Acronym ARM mean?
Adjustable Rate Mortgage.
500
Which is more important Interest Rate or Monthly Payment?
Monthly Payment
500
What other documentation are you required to provide along with the homeowners insurance policy before closing?
Paid in full receipt.
500
What are 2 Things You can do if you believe you are experiencing Appraisal Bias?
1. Request a ROV
2. Report it to your State Regulatory Office
500
If your Monthly Gross Income is $4,000, how much should your Housing Payment be?
$1120 -$1240
28%-31%