Mortgage Basics

Mortgage (aka Deed of Trust) -- A pledge of real property as security for the payment of money, the fulfillment of a contract or the performance of some act. Such agreement can be void upon successful completion of any of the three.

 Principal -- The principal is simply the sum of money you borrowed to buy your home. Before the principal is financed you can give the lender a sum of cash called a down payment to reduce the amount of money that will be financed.

 Interest -- Usually expressed as a percentage called the interest rate, interest is what the lender charges you to use the money you borrowed.

 Taxes -- A forced contribution of wealth laid upon owner’s of real property to meet the public needs of government.

  Types of Mortgages

*There are various types of mortgages (i.e. government backed loans such as FHA or VA and conventional loans) for you to choose from. Determining what your needs are will help mortgage lenders provide you with options that will help you choose what is best for you.

FHA Loan - A government loan product insured by the Federal Housing Administration established to offer qualified first time home-buyers a lower down payment option and lower interest rates.

VA Loan - A government mortgage loan guaranteed by the Veteran's Administration available to qualifying veterans at 100% financing

Conventional Loans - Loans that are not insured or guaranteed under any government program.

  Why Get Pre-Approved?

1. Obtaining a pre-approval is the first real step in the homebuying process. Your mortgage lender will use information that you provide about your credit, income, assets and debts to derive how much mortgage you can afford.

2. It serves as a good indication to potential sellers of your creditworthiness and emphasizes your buying power.

3. By meeting with loan officers in advance and identifying mortgage programs, it won't be necessary to quickly find a lender, check credit, and rush into a financing decision that may not be the best option.

4. These days most sellers will NOT accept an offer without a pre-approval letter, so if you are serious about buying this is the first step towards getting you in your new home.

5. Starting the process is free! Click on the "Apply Now" link below to be redirected to our lender's website and connect with a mortgage consultant who can assist you. On the site, click the "Apply For A Loan" link to start the loan process. You are on your way!


In a hurry? Call 704-688-4105 to speak to a loan representative now!


Monica P. Zimmerman, MBA

Wilkinson & Associates Real Estate
8604 Cliff Cameron Drive, #110
Charlotte, NC 28269

(704) 287-3793 cell
(704) 393-0048 office
(866) 409-5322 fax
“Realize Your Dreams”

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