The Perfect Seattle Neighborhood

Seattle Mortgage Terms – A Few Basic Mortgage Words You Should Understand

A Seattle mortgage is a form of a loan intended for buying a house. Like any other loan, a mortgage loan charges interest. It differs from other loans in many ways that have to do with the interest rates charged and the time taken to repay the loan. 

Common terms referring to mortgage loans include: 

Interest and Principle 

A large amount of the repayment consists of interest charges while the remaining amount covers the repayment of the principle. The interest rate is the charge that the bank makes you pay to lend you the money. The principle is the amount you actually owe on the home, minus the down payment. This interest rate will vary from one Seattle bank to the next. 

Equity Acquired 

This is determined by the down payment you make when acquiring a mortgage. If the total value of your property is $500,000 and your mortgage covers $400,000, the equity you own on that property is $100,000. This represents the down payment you made. As the years go by, your equity will increase since the amount of money that goes directly to the house payment, not the interest, adds to your total equity. 

Mortgage Loan Repayment Period 

The mortgage loan repayment period, also known as amortization, is the length of time you take to pay back your mortgage. This period is usually between 25-30 years. 

Mortgage Term 

The total time that your mortgage agreement is in action is referred to as the mortgage term. The normal mortgage term is usually five years. At the expiry of each term, you can negotiate new terms of the mortgage in terms of interest rates and repayments if you so wish. 

Open and Closed Mortgage 

With an open mortgage, it is possible to pay back a bit of your loan or the whole amount at any time. With a closed type of mortgage, the interest rates charged are lower but the prepayment options are fixed to a certain amount.

Mode of Payment 

The payment of a mortgage is done monthly or bi-weekly and is usually sent to the lender with pre-authorized payments directly from a bank account.

 These are some of the common terms you will come across when dealing with a Seattle mortgage loan. 

For more information on buying real estate in and around Seattle contact Adrian Willanger.

Related posts:

1. The Risks Involved With A Seattle Home Equity Line of Credit 
2. Bothell Real Estate Mortgages – Understanding the Basics of A Mortgage 
3. Analyzing Your Shoreline Home Mortgage 
4. The Difference Between A Second Mortgage And Refinancing In Bothell 
5. Home Loan – Where Your Payments Go 

 

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Adrian specializes in green home marketing utilizing traditional and social media marketing to create the widest exposure of your property.

Meadowbrook Residential Listing  2515 NE 107th St Seattle, WA 98125

Completely remodeled gorgeous house. Enormous yard w/ koi pond and cavernous detached garage. Huge windows give the entire house plenty of light. Large tiled entry leads to open layout. Newer kitchen and super-sized main bath include granite countertops. Main floor bedroom doubles as a Study. The upstairs has 3 spacious bedrooms with generous closets and gleaming wood floors. Fully finished basement has 3/4 bath plus room for home theatre or recreation. 2 car garage converted to Studio.

Joshua Fant
(206) 781-0186
jfant@northpacificproperties.com
northpacificproperties.com

North Pacific Properties is a full service Seattle Real Estate, Seattle Association Management, Seattle Property Management , Bellevue Property Management , and Issaquah Property Management company. Our central mission is to provide our clients with expert and well-rounded real estate service throughout the Seattle and surrounding King County areas while meeting the individual needs of our clients, one client at a time.

This week we staged a spacious North Seattle home. The real estate agent was getting tons of showings for this listing, but potential buyers were not getting very excited about this house.

The home is vacant, but the previous owners left some furniture in the living room.  We suggested that they remove all of these items prior to staging.  To our surprise, when we arrived on staging day there was an upright piano in the dining room, which we moved to the living room and made is part of the design plan.

Here is the living room before staging:

Living Room after staging:

Staging by SISTERS Interior Redesign, Edmonds, WA, 425.776.7890, www.sistersredesign.com

Give your listings the advantage of professional staging.  Contact us today for a complimentary quote.

We look forward to working with you!

The two most common questions we get as stagers are, "Where do you purchase your inventory?" and "Where do you store your inventory?"  The answer to the second question is easy:  We have a large warehouse space in Lynnwood, close to the freeway, where we also park our truck.  It's heated storage and we have 24 hour access, which comes in handy!

The first question is usually answered, "Everywhere!"  I thought it would be fun to take a look at a staging job we did last week for a North Seattle starter home and list all the many sources we used to stage this home.

Living Room:  Items in this room came from Macy's Home Store (sofa), Overstock.com (slipper chair), TJ Maxx (aqua table, lamps, pillows), Ross (mirror), Pier 1 (coffee table), Costco Home (area rug).

Dining Room:  Pier 1 (dining table & chairs),  Ikea (wine glasses), TJ Maxx (centerpiece, napkins, woven chargers).

Master Bedroom:  TJ Maxx (leather bench, lamps, colorful pillows), stager's liquidation sale (side table with drawers), Target (bedding), Craig's List (headboard), Marshall's (artwork), Ikea (long brown pillow).

Den:  Underhill's (desk, black chair), Tuesday Morning (area rug), Overstock.com (slipper chair), TJ Maxx (paisley pillow and clock).

Bathroom:  Target (towels, shower curtain rod & rings), Ross (shower curtain).

Guest Bedroom:  Pier 1 (iron artwork), Fred Meyer (lamps), stager's inventory reduction sale (bedding & pillows), Linens 'N Things (black trays as night tables).

Yes, we do shop everywhere!  As stagers, we are constantly looking for quality items to add to our inventory.  Our goal is to keep things fresh looking and to customize each staging design to highlight the features of each home.  In today's market you cannot afford NOT to stage.

Staging provided by SISTERS Interior Redesign, Edmonds, WA, www.sistersredesign.com

Contact us today for a complimentary staging quote.  425.776.7890, sisters@sistersredesign.com