Buying a home can be intimidating, especially if you’re unfamiliar with the terminology associated with real estate. At Hawk & Dove Real Estate Group, we’re here to help you understand the process and some of the most common terms you’ll encounter during your home-buying journey. Learn more below, then contact our real estate brokers with any questions you may have.
Appraisals
An appraisal is an opinion of the property’s value by a certified appraiser. The appraiser will look at things like the home’s condition, features, and location to determine its worth. This information is used by lenders to decide how much money to loan you for the purchase of the home.
Closing Costs
Closing costs are the fees associated with the transfer of the home from the seller to the buyer. These costs include things like title insurance, loan origination fees, and other fees associated with the transaction. It’s important to understand these costs so you can budget for them during the home-buying process.
Escrow
Escrow is a process in which a third-party holds funds until certain conditions of the sale are met. This allows buyers and sellers to ensure that the transaction is completed properly, and that both parties are satisfied with the outcome.
Mortgage
A mortgage is a loan used to purchase a home. The lender will use your credit score, income, and other factors to determine how much of a loan you can qualify for. Your mortgage payment will include the loan principal, plus interest, taxes, and insurance.
We hope this overview of these important real estate terms has been helpful in understanding the home-buying process. If you have any questions about the terms discussed, or about buying a home in general, don’t hesitate to contact Hawk & Dove Real Estate Group. We’re here to help make your home search journey a success.