Home-Buying Terminology - Funding Your Home
All these strange words, what do they all mean?? As a first-time buyer, I have suddenly learnt a whole new lingo! Terms and words I may have been vaguely aware of, or not at all, before I dove head-first into this adventure! Snagging, closing, approval in principle...??? So for all of you who are just starting out on your wonderful journey, hopefully this will help make the coming days, weeks, and months, just a little less daunting! Approval in principle This is a letter from a mortgage provider (such as a bank), that indicates the amount that they would be willing to consider lending to you, based on information you have provided (but not yet confirmed). **** Very important **** this is NOT approval, this is merely indicative, but an important letter nonetheless. This will give you a value to keep in mind when looking for your new home, and will indicate to the real estate agents that you are likely to be able to afford the house. So, this is your very first step, ...