Learning the nuances of buying a home does not take a college degree in mathematics. You do not even need to know calculus or trigonometry. The numbers all come from multiplication, division, and percentages. However, understanding the numbers is not all there is to know about mortgages. Debt finance has a language of its own, so here are some terms you may run across, what they mean, and how to use them.
What the terms mean
When you buy a home with a mortgage, typically after paying a down payment (a portion you pay outside the mortgage) the rest is amortized using a standard calculation for every payment for the length of the loan. You do not need to learn the formula, though, because several mortgage calculators exist online to do it for you. Try this one with the amounts of your potential purchase, down payment, interest rate, and term (in years).
Buying or selling a home is one of the most important investment decisions you will ever make. I am always honored and privileged when my clients put their trust in my knowledge and experience and invite me to join them in this personal journey.
My client base is quite diverse ranging from first time home buyers, relocation clients, new construction homes, to experienced buyers and sellers who are either moving into larger homes or downsizing their current residence. I also successfully assist and refer many of my clients who are relocating out of the area with leading realtors across the country.