Your ability to make your mortgage payments on time. This depends on your income and income stability (job history and security), your assets and savings, and the amount of your income each month that is left over after you’ve paid for your housing costs, debts and other obligations.
CLOSING (CLOSING DATE)
The completion of the real estate transaction between buyer and seller. The buyer signs the mortgage documents and the closing costs are paid. Also, known as the settlement date.
A person who coordinates closing-related activities, such as recording the closing documents and disbursing funds.
The costs to complete the real estate transaction. These costs are in addition to the price of the home and are paid at closing. They include points, taxes, title insurance, financing costs, items that must be prepaid or escrowed and other costs. Ask your lender for a complete list of closing cost items.
The Closing Disclosure is a five-page form that describes, in detail, the critical aspects of your mortgage loan, including purchase price, loan fees, interest rate, estimated real estate taxes and insurance, closing costs and other expenses.
Property which is used as security for a debt. In the case of a mortgage, the collateral would be the house and property.
A unit in a multi-unit building. The owner of a condominium unit owns the unit itself and has the right, along with other owners, to use the common areas, but does not own the common elements such as the exterior walls, floors and ceilings or the structural systems outside of the unit; these are owned by the condominium association.
A document used by the credit industry to examine your use of credit. It provides information on money that you’ve borrowed from credit institutions and your payment history.
A computer-generated number that summarizes your credit profile and predicts the likelihood that you’ll repay future debts.
Your ability to qualify for credit and repay debts.