It's that time again! Our bank at the Lake of the Ozarks started a monthly blog series last month, where each month we go over common mortgage terms that are VERY important to know. You'd be surprised what you don't know about the mortgage world. If you ever want to own a home or buy a vacation home at the Lake of the Ozarks, this is the blog series you need to be reading. To catch up and read last month's blog, visit HERE. If you have any questions or would like to set up a meeting and speak with one of our mortgage lenders in Osage Beach, please call (573) 348-2265.
Common Mortgage Terms to Know: Part 2
Balloon Mortgage
A mortgage that has level monthly payments that will fully amortize it over a stated term, but which provides for a lump-sum payment to be due at the end of an earlier specified term.
Bankruptcy
A proceeding in a federal court in which a debtor, who owes more than his or her assets, can discharge personal liability for his or her debts. This affects the borrower's personal liability for a mortgage debt but not the lien of the mortgage.
Biweekly Mortgage
A mortgage with payments due every two weeks, totaling 26 payments a year.
Borrower
A person (also known as mortgagor) who receives funds in the form of a loan with an obligation to repay principal with interest.
Bridge Financing
A loan spanning the gap between the termination of one loan (generally short-term) and the start of another (generally permanent long-term) loan. Also referred to as gap financing.
Bridge Loan
A form of second deed of trust or mortgage that is collateralized by the borrower's present home (which is usually for sale) in a manner that allows the proceeds to be used for closing on a new house before the present home is sold.
Buydown
Money advanced by an individual (builder, seller, etc.) to reduce the monthly payments for a home mortgage either during the entire term or for an initial period of years.
Buying Your First Home This Year at the Lake of the Ozarks?
If so, congratulations! Now, let's make sure you have the best mortgage options to work for you and your loved ones. Our mortgage loan officers would be happy to sit down with you and discuss your options. We can be reached at the phone number listed below. You can also follow us on our social media channels listed below to stay up to date on our latest announcements. First Bank of the Lake puts YOU first. From mortgage loans and car loans to free checking accounts and savings accounts that help you BUILD your savings automatically, we have you covered!
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