New to buying a home? Having trouble understanding the lingo that your real estate agent might be speaking? Here are some key words to learn!
Appraisal- An estimate or assessment of the worth, value or quality of a home/property.
Building Codes- Rules established by a local or state jurisdiction that rule how the house can be built or modified.
Certificate Of Title- A document that ensures that the property is legally owned by the person who bought it.
Closing Costs- All expenses and fees that are associated with closing on a home.
Comparative Market Analysis (CMA)- A study of how comparable local homes have sold for. This helps determine the price of the property.
Contingencies- Conditions that must be met in order for the offer to proceed.
Ernest Money Deposit- An initial payment that is made to the seller in order to show serious intention in buying. This is also referred to as a “Good Faith Deposit”.
Escrow- An account where all closing costs are collected while the lender approves the deal.
Homeowners Association (HOA)- An organization that overrules community and neighborhood rules and standards.
Loan to Value Ratio- How a lender determines if a loan is worth the risk associated with it.
