If you have ever heard a real estate agent speak, you notice that they have a vast vocabulary of words you probably never heard of and do not know the meaning of. It is all a bunch of gibberish to you. What if you are in the market to buy or sell your home? Knowing these terms will help the process for you go a little smoother. Here are some real estate terms you should know.
Buyer's Agent- This is the agent that is representing the home buyer.
Listing Agent- This is the agent that is representing the home seller.
Listings- Agents refer homes for sale as listings. Listings have all the information about the home, such as the square footage and the number of bedrooms in the home.
Offer- This is what you will do with the help of your agent to buy the home that you want. The seller would have to accept your offer or the seller could counteroffer.
As Is- The seller is selling the home without making any improvements or repairs before the home is sold.
Contingencies- Contingencies help protect the buyer and the seller. These are certain conditions that are to be made before having the deal to go through.There are many types of contingencies that can be found in a contract.
Underwriter- This is a person that makes sure that you can meet your loan guidelines financially.
Pre-Approval Letter- This is a letter from the bank that determines an estimate of how much they will lend you to buy a home.
Fixed Rate Mortgage- This type of mortgage has an interest rate that remains the same for the life of the loan. It is best to choose this type of loan if you are planning to live in your home for a very long time.
Adjustable Rate Mortgage- This type of mortgage has an interest rate that can fluctuate. This is the best type of mortgage to save some money if you do not plan on living in your home very long.