An interest rate is the price of money, and a mortgage interest rate is the price of money loaned against the security of a specific property. The interest rate is used to calculate the interest payment the borrower owes the lender. Read the rest of this entry
WASHINGTON – Aug. 3, 2012 – The average U.S. rate on the 30-year fixed mortgage rose this week after falling to new record lows in each of the past four weeks.
Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan jumped to 3.55 percent. That’s up from 3.49 percent last week, which was the lowest since long-term mortgages began in the 1950s. Read the rest of this entry
If you’ve read Jennifer’s blogs, you know the definition of closings costs. Certain fees are automatically assigned to either the buyer or the seller; other costs are either negotiable or dictated by local custom. Since we have many transients in Florida, I get asked about this a lot. Here’s what you can expect: Read the rest of this entry
Escrow as Earnest Money
Earnest money, also known as escrow, refers to the money a buyer includes with their purchase offer to indicate to the seller that they are serious about purchasing the property. Yet, that is not the only use of the word. It can be used as a verb or a noun, even an adjective. It is used as a noun, as it is defined previously. As a verb, it means to place an item into an account. And to be used as an adjective, you may hear the term “escrow agency”, a company that has fiduciary responsibilities over a transaction. For the purpose of this blog, it means earnest money. Read the rest of this entry