Little did you know when you started looking for a home, that learning a new language was required. Some terms come up in every transaction, and some are specific to a particular loan program.
Additionally, some terms that have been used for a long time have been re-defined by the sweeping changes that the government made to the mortgage industry in 2010.
Even if you were once fluent in “mortgagese,” you may need a quick refresher. For example, origination fee used to refer to a lender fee of 1% of the mortgage amount to add to the lender’s profit. It has been re-defined as the cost of the appraisal, credit report and flood certification. That is a big change!
Take a moment to review any unfamiliar terms and be sure to contact you’re A+ Mortgage Loan professional for information specific to your transaction.