Haverford, PA -- (SBWIRE) -- 08/05/2019 -- For over two decades, Main Line Homes has helped buyers find and secure their dream properties across the greater Philadelphia region. Their unparalleled customer service and dedication to providing personalized property solutions have enabled them to gain an excellent reputation throughout the Main Line area and its surrounding communities. Now, the company is offering a breakdown of some of the most common real estate terms to help educate those who are new to the market on the terminology that they may encounter.
Their team discussed the term "appraisal," explaining that, for a prospective buyer to secure a bank loan and buy a property, a home must first be appraised to make sure that the bank is lending the correct amount of money. The appraiser determines the value of the house based on a thorough examination of the property and also considers the sale price of comparable homes in the area.
Concerning the term "equity," the Main Line Homes team explained that equity is ownership. Equity refers to the amount of property owned by the buyer, meaning how much of the principal they have paid off. The more equity somebody has, the more financial flexibility they have, as they can refinance against whatever equity they have built. In simpler terms, equity is the difference between the fair market value of a home and the unpaid balance of a mortgage.
The Main Line Homes team also simplified the notion of "refinancing." Refinancing is when an individual restructures their home loan. This involves replacing their original loan with a newer one that offers different rates and payment structures. The main reason that people choose to refinance their home loans is to get a decreased interest rate on their mortgage. This lowers their monthly payments and the overall debt they owe.
For more information and breakdowns of additional real estate terms, contact Main Line Homes today by visiting https://www.mainlinehomes.com/.
About Main Line Homes
For almost 25 years Janis Peterson has helped buyers and sellers of exceptional properties across the Philadelphia Main Line area. Her wealth of experience led her to create Main Line Homes as a specialist real estate agent serving Montgomery, Delaware, and Chester County PA.
Main Line Homes offer a highly personalized service, buyer's agent representation, experience negotiation, domestic, and global relocations. Over the years, the agency has developed a reputation as a highly knowledgeable Main Line real estate service provider.