Pre-Qualification
Definition of "Pre-Qualification"
Same as term Qualification: The process of determining whether a prospective borrower has the ability to repay a loan.
Popular Mortgage Terms
The period until the last payment is due. The maturity is usually but not always the same as the period used to calculate the mortgage payment. ...
A documentation requirement where the applicant's income is not disclosed. ...
Housing expense plus current debt service payments. ...
A documentation rule where the borrower discloses income and its source but the lender does not verify the amount. ...
A borrower who doesn't pay. ...
The maximum allowable decrease in the interest rate on an ARM each time rate is adjusted. It is usually one or two percentage points. ...
A mortgage lender or mortgage broker. ...
The assumption of a mortgage, with permission of the lender, from a borrower unable to continue making the payments. ...
Insurance provided the lender against loss on a mortgage in the event of borrower default. In the U.S., all FHA and VA mortgages are insured by the federal government. On other mortgages, ...
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