Loan Servicer: the business one to gathers monthly mortgage payments and disperses assets fees and you may insurance repayments. Mortgage servicers may be the bank otherwise a specialized business you to only protects loan repair less than offer to your bank or the investor the master of the loan.
Loan to Value (LTV) Ratio: a percentage determined from the splitting the total amount lent by the price or appraised worth of our home to get purchased; the higher the latest LTV, the fresh new less of your budget a debtor is required to shell out just like the down commission.
Home loan Velocity Condition: a clause making it possible for a lender, below particular situations, request the entire harmony of financing is actually paid down inside the a beneficial lump sum
Lock-In: since the rates can change apparently, many lenders offer mortgage loan lock-for the reason that guarantees a particular interest rate should your mortgage is closed inside a specific day. (more…)