Pre-Approval

The mortgage process includes several key stages: pre-approval, appraisal, application, and closing. Pre-approval is a preliminary assessment of creditworthiness and income by the lender. Appraisal is when a licensed professional assesses the value of the property. Application is when a formal loan application is submitted and reviewed by the lender. Closing is when the loan funds are disbursed and the borrower takes ownership of the property.

A mortgage is a formal contract between you and a lender that lets you borrow money to buy or refinance a property. Prior to entering into this arrangement, it is important to explore the various mortgage choices available to you.

A mortgage rate, sometimes known as an interest rate, is a part of the cost to borrow money from a lender. You pay the interest on your loan as part of your monthly mortgage payment and the amount you pay in interest is determined by your interest rate.

A mortgage lender is a bank or business that supplies borrowers with home loans. A mortgage lender offers the financing necessary to purchase a property. Each month, you make payments toward the sum of your loan plus interest.