A Growing-Equity Mortgage (GEM) is a type of home loan where the monthly payments increase annually by a predetermined amount. These additional payments are applied directly to the loan's principal, thereby reducing the loan's maturity period faster compared to a standard Level-Payment Mortgage.
A home loan, also known as a mortgage, is a financing arrangement in which an individual borrows money from a financial institution to purchase residential property.
A Guide to Understanding Hybrid ARMs: A mortgage offering both fixed and adjustable interest rate periods.
A nonconforming loan is a type of home mortgage loan that does not meet the standards of, or is too large to be purchased by, the Federal National Mortgage Association (FNMA) or the Federal Home Loan Mortgage Corporation (FHLMC). Due to this, the interest rates on these loans are typically higher.
A residential mortgage is a loan secured against a residential property, such as a house or apartment, primarily used for the borrower's personal housing needs. It allows individuals to finance the purchase of a home by gradually paying off the debt over an agreed period.
A VA Loan is a home loan provided under the Servicemen's Readjustment Act of 1944 and later legislation, guaranteed by the U.S. Department of Veterans Affairs (VA) for eligible veterans and service members. It ensures lenders are compensated in the event of borrower default.
