It’s been a difficult couple of years or so for many people with the terrible coronavirus pandemic, putting on hold many plans and dreams. It is now time to look ahead and start catching up and having fun, and to make the most of every day with Real Estate Terms.
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Time To Pamper Yourself
You saved plenty of money during the enforced lockdowns and now, you’re consideringa fresh start in a beautiful location. Then it’s time for you to look at new properties in a location of your choice. Perhaps, the coastal city on Spain’s Costa Del Sol in the province of Malaga offers some fantastic opportunities to suit all of your preferences.
With new developments Costa del Sol or a tropical locations have, you will be blessed with a fantastic climate. The Costa del Sol region, in particular, offers much history and modern attractions where many of the rich and famous choose to spend their time. It all sounds so exciting; the brochures you have seen may have enhanced your eagerness. Before committing, however, it is a good idea for you know exactly what you are entering into when signing up for your property.
Real Estate Jargon Busting
- Days On Market– Abbreviated to DOM, this will tell you how many days the property has been available since it was registered for sale on the multiple listing service (MLS) of the local real estate brokers, until the date when the buyer signs the contract to purchase.
- Debt-To-Income Ratio– DTI allows mortgage lenders to make a calculation after considering such things as your debt expenses and monthly income to determine how much a buyer can afford to pay back monthly.
- Annual Percentage Rate– It is the annual percentage rate charged on your loan.
- Fixed Rate Vs. Adjustable Rate Mortgages – Conventional loans can come in the form of fixed rate and adjustable rate mortgages. Fixed rate means that the interest rate is the same throughout the period of repayment, whereas adjustable rate has a variable rate.
- Earnest Money Deposit– An EMD is a sum, usually a small percentage, put down in good faith to show an intent to buy from the purchaser.
- Equity– It is the investment the homeowner has in their property, which is calculated by subtracting loans and mortgages against the property away from its actual value.
- Closing Costs – These are the total fees calculated when you purchase your property.
- Right Of Survivorship– If you buy a property with another person and one of you dies, the surviving owner will receive the deceased’s shares and become the sole owner.
- Secured Loan – This type of loan is backed by the borrower’s assets which can be claimed by the lender as payment if the loan is unable to be repaid.
This sample covers some of the many terms that you might come across. Don’t be alarmed, ask advice when required, and ensure that no unwelcome surprises spoil your dream.