Buy a House Overview
First-Time Homebuyer
Moving & Buying
Real Estate Investors💡 You May Qualify for Low or No Money Down
Ask our loan agents about programs designed specifically for first-time buyers with flexible down payment and credit requirements.
Terms You Should Know
Understanding these key mortgage concepts will help you make confident, informed decisions.
Interest Rate
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The interest rate is the percentage of your loan amount charged to borrow money. Rates are based on current market conditions, your credit score, down payment, and the type of mortgage you choose.
Discount Points
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One point equals 1% of your mortgage amount. If you qualify, you may be able to pay one or more points to lower your interest rate — meaning lower monthly payments. Points are usually tax deductible (consult a tax advisor). On refinances, you may be able to finance points as part of your loan amount.
Origination Charge
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This amount includes all charges (other than discount points) that loan originators receive for originating the loan — covering fees, document preparation, underwriting costs, and other expenses. On refinances, if you qualify, you may be able to finance the origination charge as part of your loan amount.
Loan Term
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Your loan term is the amount of time you have to pay off your mortgage balance. Shorter terms typically mean higher monthly payments but often have lower interest rates. If you pay off your mortgage within a shorter term, you may pay less in total interest. Remember: The total cost of a mortgage is reflected by the APR (annual percentage rate), which accounts for the interest rate, discount points, fees, and origination charges.
Monthly Mortgage Payment (PITI)
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Your monthly mortgage payment is typically made up of four parts:
Principal
The portion that reduces the outstanding balance of your mortgage.
Interest
The cost of borrowing the money — paid to your lender.
Taxes
Property taxes collected monthly and held in escrow for payment on your behalf.
Insurance
Homeowners insurance protecting against property damage, also collected via escrow.
Depending on your property, you may also have mortgage insurance, flood insurance, or HOA fees.
We Make the Process Simple
You don't need to negotiate with the banks — we'll handle everything. Our specialists help first-time buyers every day.
Call 888-239-6161 →