Real estate involves a lot of acronyms, which can be confusing if you’re not familiar with them. Here’s a little sneak peak to help you understand each one as it comes up. These are some acronyms you’ll likely run into when you are buying or selling a home.
NAR – National Association of Realtors
This is the nation’s largest group of real estate professionals. It holds agents and brokers who belong to a strict code of ethics to protect all parties involved in a real estate transaction.
FRM – Fixed Mortgage Rate
This means that the terms of your mortgage never change.
ARM – Adjustable Rate Mortgage
A mortgage with terms that allow the rates to increase or decrease at certain intervals over the course of repayment.
FHA – Federal Housing Administration
A government agency that insures mortgages, enabling more people to qualify for loans.
PMI – Private Mortgage Insurance
An expense home buyers must pay if they provide less than a 20% down payment.
PITI – Principle, Interest, Taxes, and Insurance
A more complete list of expenses to expect from your monthly mortgage payment.
REO – Real Estate Owned
REO properties are foreclosed upon by lenders when the borrowers fail to make the payment.
CMA – Certified Market Analysis
A report prepared by a real estate agent or broker to determine the value of a home based on comparable listings in the area.
MLS – Multiple Listing Service
A collection of all the properties for sale in the area.
At RE/MAX Capitol Properties we are here to answer your Cheyenne real estate questions and to guide you to your homeownership dreams! Connect with us today at 307-635-0303 or visit us online at cheyennehomestore.com.