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Mortgage 101

Congratulations! Buying your first home is an incredible accomplishment. Whether you’re at the beginning or end of the home buying process, you’re well on your way to being a homeowner. At VIP Mortgage Group, we understand the home buying process is a complicated one. A lot of research, planning, and work goes into finding the perfect home at the perfect price. To help Florida home buyers with this, we’ve compiled a helpful guide covering mortgage basics. From defining the various types of mortgages available to buyers to tips on how to pay off your mortgage, our guide to “Mortgages 101” is designed to make the home loan process less stressful. Check out any of the links below to learn more about mortgages and contact us to speak to a mortgage expert today! What is a Mortgage? Simply put, a mortgage is a type of loan that is used to purchase or refinance a home (more on refinancing in a bit). A mortgage also referred to as a “mortgage loan” or “home loan”, allows a buyer to purchase a home without having the full cash amount on hand. Most home buyers purchase a home with a mortgage, and even those with the cash to buy a home upfront will use a mortgage to free up other assets. MORE Can I Buy a House in Cash? Arguably the most common debate in the real estate and mortgage industries is about whether buying a house in cash makes sense. “Buying a house in cash” is a colloquial term that refers to paying the full cost of the home at the time of purchase. Instead of buying a house with a mortgage, investors, real estate advisors, and others present the option of buying a house in cash as a more attractive option for buyers. MORE How to Qualify for a Mortgage As you progress through the home buying process, you will start to hear and/or read about "qualifying for a mortgage." This can be a nerve-wracking time when you're looking to buy a home, but the mortgage experts at VIP Mortgage are here to help. In this handy guide, we'll go over a few of the factors that lenders examine when qualifying someone for a mortgage. We'll also go over the steps prospective homebuyers can take to improve their prospects of qualifying for a home loan. MORE Mortgage Rates Explained Once you've qualified for a mortgage, your lender will provide you with a loan estimate. Include in this estimate is the mortgage rate, which is the interest that you will pay annually against the total balance of your loan. Rates, as determined by the lender, are either fixed or adjustable (variable is another term used). Fixed mortgage rates mean your interest is the same throughout the loan, while an adjustable-rate mortgage features an interest rate that can be changed after a certain period. With an adjustable-rate mortgage, your monthly payment can decrease OR increase . MORE Apply OnlineGet a Free Consultation Full Name Email Address Phone Number Best Time To Call: Anytime Morning Late Morning Midday Early Afternoon Mid Afternoon Late Afternoon Early Evening Are You Looking To: Choose Mortgage Type Purchase a Home Refinance Your Loan Other Comment/Question Subscribe to our newsletter. SEND

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