5 Mortgage Acronyms You Should Know
In the world of mortgage lending , the details can get to be pretty confusing for those who don't work in the industry every day. The verbiage of mortgage loan documents can be a bit overwhelming, especially when seemingly random acronyms are thrown into every document as if everyone should be born with the knowledge to know what they mean. We understand that sometimes loan documents can be difficult to understand. That's why we encourage you to contact us with any mortgage questions you might have. This week, we're sharing with you 5 common mortgage acronyms you'll likely see on documents if you're getting a loan. 1. PMI is Private Mortgage Insurance. PMI allows you to finance a home with less than a 20% down payment. For an extra monthly cost to you, PMI provides default insurance to the lender. Thinking of saving more to avoid PMI? Accumulating what can be tens or even hundreds of thousands of dollars for a down payment is a challenge for even the most indu...