Dayton Ohio Real Estate and Mortgages Information

Whether you are a seasoned home buyer or a first time buyer in Dayton Ohio these are the words that a Mortgage Broker in Dayton Ohio is going to use.  A good Loan Officer will explain your mortgage from top to bottom but if you have questions and can't get them answered, you must read below:

Mortgage Broker Terms in Dayton Ohio:

Adjustable Rate Mortgage- A Mortgage that permits the lender to periodically adjust the interest rate so that the rate reflects fluctuations in the cost of money.  Also referred to as an ARM.

Amortization Schedule-  A table or chart that shows the periodic payments, interest and principal requirements, and unpaid loan balance for each period of the life of the loan.

Escrows-  Prepay-able expenses that the lender requires a borrower to set aside prior to closing.  Property taxes and homeowners insurance are the most common escrow accounts.

Mortgage-  An instrument that causes a voluntary lien on real property to secure repayment of a debt.  The parties to a mortgage are the mortgagor(borrower) and mortgagee (the lender).

Real Estate Settlement Procedures Act (RESPA) -  Federal law dealing with real estate closings which sets forth specific procedures and guidelines for disclosure of settlement costs.  Dayton Ohio also has some compliance forms that also deal with state laws.  See the Ohio Association of Mortgage Brokers website and look for Senate Bill 185 for more information.

Title Search-  In Dayton Ohio title companies do a 42 year search of the properties transfer history.  Which means for you that they check each time the deed was recorded to make sure that it was done correctly.  The First American Title Insurance website can give an over view of all title procedures.

Underwriter-  Individual who evaluates the loan application to determine its risk level for a lender or an investor; final decision maker on a loan application.  Although we do have automated underwriting now there is still a human touch on each file that weeds out what a computer can not. 

Pre-Approval- A pre-approval is a complete evaluation of a person's credit and an evaluation by either an automated underwriting system or an underwriter saying as long as all the things about the borrowers employment, assets and past housing history are what they said they were than we would approve them.  This includes a full tri-merge credit report, make sure you ask you Dayton Ohio Mortgage Broker if they pulled that type of report.

Pre-Qualification- Not to be confused with Pre-Approved.  A pre-qualification means that a Dayton Ohio Mortgage Brokerhas pulled either a single credit bureau or a tri-merge and reviewed the credit.  Based on only the credit report, no actual underwriter or underwriting system, they have said yes to continue the approval process.  THIS IS NOT A PRE-APPROVAL, don't go out and look at Dayton Ohio Real Estate with only this.

For more questions regarding your Dayton Ohio Mortgage feel free to call me anytime at 937-353-4600 or you may e-mail me at Laura@MarkRyanGroup.com. 

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As always, thanks for reading and please feel free to contact us with any questions at 937-353-4600 or Mark@MarkRyanGroup.com