Issued by banks, credit unions, and online lenders, a mortgage is the overall cost of your home payed in monthly installments. A payment is made up of four parts: The Principal Balance An outstanding principal balance is what you owe for the home. If you and a seller have agreed on the price of $175,000 […]
You may hear several terms when lenders talk about this concept, including points, discount points, or mortgage points. All of these terms refer to the same idea. Mortgage points are a way to pay prepaid interest on a loan in exchange for a lower interest rate. When you buy points, you make a one-time payment
Putting down earnest money is the confirmation of an agreement between a buyer and seller. It’s also an indication that the buyer is willing to follow through with the agreements written out in the contract. While a real estate broker usually holds the deposit, it can also be held with the buyer. Alternatively, the deposit
