1. The Deed Is the Physical Document That Transfers Ownership A deed is the actual, signed piece of paper that moves ownership from the seller to you.��️ It lists your name (and co-buyers, if any) It includes a legal description of the property It must be recorded with the county or city to be official Think of the deed as your receipt […]
1. A Bridge Loan Helps You “Bridge” the Gap Between Homes A bridge loan is a short-term financing tool that lets you use the equity in your current home to help purchase your next one.Here’s how it works: You borrow against the equity in your current home Use that money as a down payment on your new home Pay the loan off once
1. A Short Sale Happens When the Seller Owes More Than the Home Is Worth In a short sale, the homeowner is trying to avoid foreclosure by selling the home for less than what they owe on their mortgage. The lender must approve the sale (since they’re taking a loss) It can take weeks—or even months—for approval There’s usually room
1. A Special Assessment Is a One-Time Fee for Unexpected HOA Expenses While monthly HOA dues cover regular expenses like landscaping or pool maintenance, a special assessment is an extra charge that covers major, unplanned costs. These might include: Emergency roof or plumbing repairs Big upgrades to shared spaces (like elevators, fences, or driveways) Legal fees or insurance shortfalls after storms or
1. House Hacking Means Living in Your Investment House hacking simply means buying a property and renting out part of it while you live in the other part. This can look like: A duplex or triplex where you live in one unit and rent out the others A single-family home with a basement apartment or garage suite Renting out individual rooms in your
1. What Is Dual Agency, Exactly? In a typical home sale, one agent represents the buyer, and another represents the seller. With dual agency, a single agent represents both sides. That means: The agent writes up your offer… …but also advises the seller on how to respond Legally, the agent must remain neutral—but practically, it can be hard
1. What Is PMI, and When Do You Pay It? Private Mortgage Insurance (PMI) is a monthly cost added to your mortgage payment when you: Put down less than 20% on a conventional loan Have a higher-risk loan profile from the lender’s point of view PMI doesn’t protect you—it protects the lender in case you default. It usually adds 0.3% to
First-Time Buyer Guide: How Appraisals Protect You (and Your Lender) Before you close on a home, your lender wants to know: is this place really worth the price?That’s where the appraisal comes in. It’s not just a box to check—it’s a critical step that protects your investment and helps ensure you’re making a smart financial move. 1.
1. An ARM Starts With a Lower Interest Rate Than a Fixed Mortgage One of the biggest appeals of an ARM is the initial low interest rate, which is fixed for a set period—commonly 5, 7, or 10 years. Lower rate = lower monthly payment early on Can help you afford more home in the short term Ideal for buyers who
1. You Have a Steady Income and Stable Employment Before anything else, lenders want to know you can consistently make your mortgage payments. If you’ve been employed for at least two years in the same field and your income is predictable, that’s a green flag. Consistent paychecks = predictable monthly payments Stable job history = stronger mortgage application Financial
1. An Amortization Schedule Breaks Down Every Payment Your amortization schedule is like a detailed receipt for your entire loan. It shows: How much of each payment goes toward interest How much goes toward paying down the principal Your remaining loan balance after each payment It covers every single month, from your first payment to your last—and it helps you visualize