Your Mortgage Questions Answered

by Ed Castellanos

Does the term “amortization” leave you perplexed? Are you unsure how preapproval differs from prequalification? If so, you’re not alone. Here are some mortgage basics to help you become more familiar with the process. What’s the difference between prequalification and preapproval?

Getting prequalified is often the first step when searching for a home. You supply basic financial information, such as your income, assets and debts, and the lender then provides a preliminary estimate of the amount for which you may qualify.

Preapproval involves an in-depth look at your finances and usually requires an application fee, but this process brings you closer to determining your potential interest rate and monthly payment. Being preapproved also puts you in a better position in a competitive market because it shows you have your finances in order.

What is amortization?
Amortization is the process of paying off a home loan’s principal and interest over time within a consistent, planned repayment schedule. In the beginning, a large portion of each payment goes toward interest, but as the loan matures, larger amounts go toward paying down the principal.

What types of loans ?
Fixed and adjustable rate mortgages operate as their respective names imply. The former has a rate that stays the same for the life of the loan. The latter’s rate may start low, but it can increase after a predetermined period or depending on market conditions.

Government-guaranteed mortgages include FHA and VA loans. These are usually easier to qualify for and typically require lower down payments than other types of loans.

reality

 

 

www.superliked.com/profile/ed-castellanos

Facebook Comments

Website Comments

  1. bitsane wiki

    691795 868681I dont feel Ive read anything like this before. So excellent to discover somebody with some original thoughts on this topic. thank for starting this up. This site is something that is needed on the internet, someone with slightly originality. Excellent job for bringing something new to the internet! 931919

  2. Hildred Borson

    I’m really enjoying the design and layout of your blog. It’s a very easy on the eyes which makes it much more pleasant for me to come here and visit more often. Did you hire out a developer to create your theme? Fantastic work!

  3. Burt Berzunza

    Magnificent beat ! I wish to apprentice while you amend your site, how could i subscribe for a blog site? The account aided me a acceptable deal. I had been a little bit acquainted of this your broadcast offered bright clear idea

  4. Carlos Hayenga

    Increase this valuable because when a lot of people machinery are used world-wide and can add a number of them proof using its whole world may ailments specifically a result of the company at the twenty first a single. dc free mommy blog giveaways family trip home gardening house power wash baby laundry detergent

  5. Eartha Dimas

    fantastic post, very informative. I’m wondering why the opposite specialists of this sector don’t understand this. You must continue your writing. I am sure, you have a great readers’ base already!

  6. his explanation

    I just want to mention I am just new to blogging and truly liked this web blog. Likely I’m likely to bookmark your blog . You absolutely have exceptional articles and reviews. Regards for sharing with us your website.

  7. International Removers

    39344 504424My brother suggested I would possibly like this weblog. He was once entirely proper. This submit actually created my day. You cant believe just how so much time I had spent for this info! Thank you! 81848

  8. John Deere Diagnostic and Test Manuals

    Youre so cool! I dont suppose Ive read anything like this just before. So nice to get somebody with some original thoughts on this subject. realy appreciate starting this up. this amazing site can be something that is required over the internet, someone if we do originality. helpful work for bringing new stuff for the world wide web!

  9. Travel & Leisure

    I¡¦ll immediately clutch your rss as I can not to find your email subscription link or e-newsletter service. Do you’ve any? Please allow me understand so that I could subscribe. Thanks.

  10. Travel & Leisure

    Pretty nice post. I just stumbled upon your weblog and wished to say that I’ve really enjoyed browsing your blog posts. After all I will be subscribing to your feed and I hope you write again soon!

  11. PK modeling

    697470 689460My California Weight Loss diet invariably is an cost effective and versatile staying on your diet tv show made for men and women who find themselves preparing to drop extra pounds and furthermore ultimately maintain a a lot healthier habits. la weight loss 19182

POST A COMMENT.