Adjustable Rate Mortgage (ARM) - a mortgage having an interest rate which is usually initially lower than that of a mortgage with a fixed rate but is adjusted periodically according to the cost of funds to the lender

Amortize - To liquidate (a debt, such as a mortgage) by installment payments or payment into a sinking fund. Part of your payment is applied to principal and some to interest until your debt is paid in full.

Appraisal - a valuation of property by the estimate of an licensed appraiser.

APR (Annual Percentage Rate) describes the interest rate for a whole year (annualized), rather than just a monthly fee/rate, as applied on a mortgage. It is a finance charge expressed as an annual rate.

Bi-Weekly Payments - thirteen payments per year made every two weeks. The net result is that your mortgage will be paid before the end of the term.

Clear To Close - the step in the mortgage process when the borrowers can schedule their closing and all commitment conditions have been reviewed and accepted by the lender.

Closing - (or settlement) is the final step in executing a real estate transaction. Transfer of title occurs at this time.

Commitment Letter - A Loan Commitment Letter is the document an underwriter sends to the borrower once a loan is approved.

Conventional Mortgage - A type of mortgage in which the underlying terms and conditions meet the funding criteria of Fannie Mae and Freddie Mac.

Debt Ratio - calculated by dividing the total monthly debt payments by the total gross monthly income.

Deed - a formal legal document signed, witnessed, and delivered to effect a conveyance or transfer of property or to create a legal obligation or contract.

Fixed Rate - An interest rate that does not change over the life of a loan

FHA (Federal Housing Administration) mortgage loan which is provided by a FHA - approved lender. FHA insured loans are a type of federal assistance and have historically allowed lower income Americans to borrow money for the purchase of a home that they would not otherwise be able to afford.

Loan To Value (LTV) -ratio expresses the amount of a first mortgage lien as a percentage of the total appraised value of real property. For instance, if a borrower borrows $130,000 to purchase a house worth $150,000, the LTV ratio is $130,000/$150,000 or 87%.(LTV)

Mortgage - a loan secured by real property. Note- A written promise to pay a specific sum of money on a certain date. Also called promissory note.

Pre-qualification - The act or process of determining the approximate amount a borrower will be able to borrow before he/she actually applies for a loan. Prequalification looks at the borrower's current income and debt to make this determination.

Pre-Approval - A commitment by a mortgage lender to provide a loan with a certain monthly payment to a borrower. A lender offers pre-approvals in hopes that the borrower to whom it is offered will use that lender in securing a mortgage.

PMI - (mortgage insurance)- An insurance policy that a mortgage holder buys on behalf of a lender, protecting the lender in the event of default on the mortgage. Most lenders require their mortgage borrowers to purchase PMIs if the mortgage's loan-to-value ratio is more than 80%.

SONYMA - The State of New York Mortgage Agency (SONYMA) is a public authority created in 1970 by the state government of New York to provide affordable homeownership to low- and moderate-income New Yorkers. It offers affordably priced fixed-rate mortgages through several mortgage programs for eligible homebuyers. Each program offers competitive interest rates, low down payments, down payment assistance and no prepayment penalties. SONYMA offers its programs through a network of participating lenders throughout New York state who contract with the agency to offer SONYMA's programs to their customers.

USDA - USDA stands for United States Department of Agriculture. USDA mortgages provide low-cost insured home mortgage loans. Income and property price limits apply as well as geographical restrictions.

VA - Department of Veteran Affairs provides mortgages for qualified veterans and spouses.

"In October of 2012 I purchased a home – a very big step for me as a recent widow. Joanne went above and beyond with her advice and commitment to get me the best interest rate available. I could call her or email her day or night and she would always respond promptly. I would ( and have) recommend her to my friends, family and associates. Joanne is very efficient, professional and a sincere pleasure to work with."

–Gail, Albany



646 Plank Road, Suite 102 Clifton Park, New York 12065

518.982.0480 | Office
518.982.0483 | Fax

NMLS# 872824