GLOSSARY

 

Conforming  Loan - Loan which meets secondary market guidelines.  Loan amount below $417,000.

 

Non-Conforming - Loan which does not meet secondary market guidelines. Loan amount above $417,000.

 

FHA - Federal Housing Administration; loan type requiring as little as 3.5% down payment

 

VA - Loan type with 100% loan financing offered by the US Department of Veteran Affairs.

 

PMI - Premium Mortgage Insurance; insurance premium paid by the borrower associated with a low down payment; utilized by banks to protect their assets; typically paid monthly.

 

UFPMI - Up Front Premium Mortgage Insurance

 

DTI - Debt To Income; Ratio of both housing expense vs. monthly income and total monthly expenses vs. monthly income.

 

LTV - Loan to Value; example: $100k purchase price with 20% down payment equals 80% LTV.

 

Term - Describes the length of the loan; 30 years, 15 years, etc.

 

Fixed Rate - Interest Rate does not change over the life of the loan.

 

ARM - Adjustable Rate Mortgages; interest rate adjust yearly following a brief period of a fixed rate; example; 5/1 ARM =fixed rate for 5 years then adjusts every one year after that.

 

Jumbo Loan - amount over $417,000.

 

Appraised Value - Market Value of the home following an analysis of comparable sales in the area.

 

Purchase Price - Price a home is being purchased for.

 

Down Payment - Amount of money being paid on the purchase price by the borrower to lower their initial loan amount from the bank.

 

Closing Costs - The fees that a bank will charge the borrower.  This does not include any taxes, insurance, etc.

 

Purchase Contract - A written contract between a home buyer and a home seller brokered by their respective real estate agents.  This must be signed by all parties before loan processing can take place.

 

GFE - Good Faith Estimate - document provided by the bank which outlines all potential fees that could be charged for your loan transaction.

 

Settlement Statement - Itemized document which outlines all fees, costs, and collections for the given real estate transaction.

 

APR - Annual Percentage Rate - Interest rate as expressed with any fees or additional costs associated with the transaction; example: 4% interest rate with fees of $800 equals about 4.045% APR.

 

Principal - Actual loan amount

 

Interest - Paid on top of the principal balance over the life of the loan.

 

Amortization Schedule - A complete table of periodic blended loan payments, showing the amount of principal and the amount of interest that comprises each payment so that the loan will be paid off at the end of its term.

 

Call

O: 614-602-3646

C: 740-398-4917

 

NMLS

#926390

 


 

Contact

 zach.williams@yourstatebank.com

State Bank

4080 W Dublin-Granville Rd

Dublin, OH 43017

The State Bank and Trust Co. and its loan officers, are not liable for information, claims or agreements made by/between the public and third-party entities. These third-party entities may include, but are not limited to: builders, developers, or real estate agents. Even though the loan officer co-sponsoring this site makes efforts to update the information contained, much of it is provided by independent vendors and data feeds, and thus, this site may contain errors, outdated information or purchase conditions, promotions, incentives and/or possible omissions. The State Bank and Trust cannot guarantee the accuracy of information provided, and we encourage buyers to complete their own due diligence in making a decision to build or purchase a home. We also suggest that you seek the professional representation/advice of a licensed Realtor®, as well as any other licensed professional that is appropriate to your purchase decision, including, but not limited to: attorney, accountant, or certified financial planner. Visitors to this site are responsible for the use and decisions made regarding the purchase of a home with regards to the information contained herein. The State Bank and Trust Co. is an Equal Housing Lender. 


Disclaimer: No statement on this site is a commitment to make a loan. Loans are subject to borrower qualifications, including income, property evaluation, sufficient equity in the home to meet Loan-to-Value requirements, and final credit approval. Approvals are subject to underwriting guidelines, interest rates, and program guidelines and are subject to change without notice based on applicant's eligibility and market conditions. Refinancing an existing loan may result in total finance charges being higher over the life of a loan. Reduction in payments may reflect a longer loan term. Terms of any loan may be subject to payment of points and fees by the applicant. The State Bank and Trust is an Equal Opportunity Lender. | Privacy Policy