Tuesday, October 6, 2020 / by Breanna Thornton
Ten Basic Real Estate Terms to Know
Let’s be honest, talking real estate is like talking in a foreign language. There are many terms and phrases that are important to the business! Here are ten of the most popular terms to help you get more familiar with real estate and how it works.
Image from ucrepropertyandauctions.com
1. ADJUSTABLE-RATE MORTGAGE (ARM)
A mortgage with an interest rate that has the ability to change throughout the period of time the loan is due.
Why is this helpful? If there is a period of low interest rates, it could be helpful to have an ARM so the interest rate can continue to be adjusted instead of being stuck in one spot.
2. AMORTIZATION
The process of paying off debt over the course of time. This usually refers to the payment which includes the principal and interest.
Why is this helpful? Instead of a buyer having to pay an enormous amount of money to buy a property, this process allows for the home to be paid off in portions in order to be more affordable.
3. APPRAISA ...
Image from ucrepropertyandauctions.com
1. ADJUSTABLE-RATE MORTGAGE (ARM)
A mortgage with an interest rate that has the ability to change throughout the period of time the loan is due.
Why is this helpful? If there is a period of low interest rates, it could be helpful to have an ARM so the interest rate can continue to be adjusted instead of being stuck in one spot.
2. AMORTIZATION
The process of paying off debt over the course of time. This usually refers to the payment which includes the principal and interest.
Why is this helpful? Instead of a buyer having to pay an enormous amount of money to buy a property, this process allows for the home to be paid off in portions in order to be more affordable.
3. APPRAISA ...