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This is the minimum down payment percentage typically required for a conventional loan.
What is 3%
This type of government-backed loan is available only to eligible U.S. military veterans.
What is a VA loan
This type of insurance protects the buyer and lender from issues with property ownership.
What is title insurance
This neutral third party holds funds and documents until a real estate transaction closes
What is escrow
This loan type allows buyers to finance a home with as little as 3.5% down and is insured by the government.
What is an FHA loan
This is the maximum seller concession allowed on a conventional loan when the buyer puts less than 10% down.
What is 3%
Before issuing title insurance, a title company performs this process to check ownership history.
What is a title search
This document officially transfers property ownership from seller to buyer.
What is a deed
This common ratio compares a borrower’s monthly debts to their gross monthly income.
What is the debt-to-income (DTI) ratio
This term refers to the percentage of the property’s value that is financed by the loan.
What is the loan-to-value ratio (LTV)
This type of lien, often discovered in a title search, is filed when a contractor hasn’t been paid.
What is a mechanic’s lien
The legal term for past ownership history of a property is known as this.
What is chain of title
This type of appraisal can sometimes be used instead of a full appraisal when refinancing a home.
What is a desktop appraisal (or appraisal waiver)
With this loan program, properties must be located in designated rural areas and buyers may qualify for 0% down.
What is a USDA loan
This term refers to any legal claim or "cloud" that could affect clear ownership of a property.
What is an encumbrance
When two people own a property equally with rights of survivorship, it’s called this.
What is joint tenancy
This mortgage feature allows a buyer to take over the seller’s existing loan, which might be an advantage in a high interest rate environment.
What is loan assumption
This is the fee charged on VA loans, which can vary depending how many VA loans the veteran has taken out previously
What is the VA funding fee
This type of deed offers the highest level of protection to the buyer, guaranteeing a clean title back to the property’s origins
What is a general warranty deed
This document, issued at closing, itemizes all charges, credits, and funds exchanged between buyer and seller in a real estate transaction.
What is the Closing Disclosure