A pledge of real property given by the buyer to the lender as security for the repayment of money borrowed.

A concession made by local taxing authorities to provide a reduction in property taxes by exempting a portion of the valuation of the homeowner’s principal residence from taxation.

The governance body of a community, which enforces the covenants, conditions, and restrictions of managing the common amenities of the development.

An estimate of charges which a homebuyer is likely to incur in connection with their home purchase, including closing costs and monthly investment.

An account held by the mortgage lender into which a homeowner pays money at the time of the periodic mortgage payments to cover annual property taxes and insurance.

The deposit money given to the seller by the potential buyer when signing the sales contract.

Costs in addition to the price of the home, which are paid at closing. These include taxes, title insurance, financing costs, items that must be prepaid or escrowed and other costs.

Purchasing a new home is an exciting experience. Have fun with it!

Create a timeline to avoid closing too early or too late. Plan when to pack, obtain your homeowner’s insurance, and set up utilities, cable, phone, etc.

Don’t make any large purchases or take out any additional loans. Doing so may change your ability to qualify for the loan reflected in the Good Faith Estimate.