Michel ann Maroney, New Home Specialist Smith DOuglas Homes

Information you may find helpful..

APR: Annual Percentage Rate - The total cost of a mortgage, including fees.
ARM: Adjustable-Rate Mortgage - A mortgage with an interest rate that changes over time.
CMA: Comparative Market Analysis - An estimate of a property's value.
FHA: Federal Housing Administration - Insures loans for low down payments.
FSBO: For Sale By Owner - When the homeowner sells without a realtor.
HOA: Homeowners Association - An organization that manages shared properties.
MLS: Multiple Listing Service - A database of properties available for sale.
PMI: Private Mortgage Insurance - Insurance to protect lenders in case of default.
REO: Real Estate Owned - Properties owned by a lender after foreclosure.
ROI: Return On Investment - The potential profit from a real estate investment.
USDA: United States Department of Agriculture - Offers home loans for eligible rural properties.
VA: Veterans Affairs - Offers home loan programs for eligible veterans.

Real Estate Terms:

Appraisal: An evaluation of a property's value by a qualified professional.
Closing Costs: Fees associated with finalizing a real estate transaction.
Down Payment: The initial payment made by the buyer toward the purchase price.
Earnest Money (Trust Money): A sum of money paid by the buyer as a show of good faith when making an offer on a property. It's held in escrow until the closing of the transaction.
Escrow: A neutral account where funds are held during the buying process.
Equity: The difference between a property's value and the mortgage owed.
Inspection: A thorough examination of a property's condition before purchase.
Listing: A property that's officially on the market for sale.
Mortgage: A loan used to buy a home, paid back over time with interest.
Title: Legal ownership of a property.
Under Contract: A property that has an accepted offer but hasn't closed yet.

While other items may be needed, this is a list of common documents a lender may request:

Proof of Identity and Residence:

Proof of Income:

Employment Verification:

Credit Information:

Assets:

Bank statements for the past 2-3 months to verify savings and checking accounts
Documentation of any other assets, such as stocks, bonds, or retirement accounts