Mortgage Education Center 

 

 

We have created our very own mortgage education center. A place where you can read up on the terminology, learn about the mortgage process, and even join us at one of our mortgage classes.

Mortgages can be confusing, and the mere thought of applying for a mortgage can strike fear into the mind of any individual who does not understand the ins and outs of the mortgage procedure.

The majority of home buyers do not even begin to investigate mortgage options until they have found a home and placed a down payment on it. At that time, they are already stressing out and are no doubt under pressure form the realtor and the seller to move as quickly as is possible.

This can put you at an immediate disadvantage for getting the right mortgage deal for you. At High Definition Mortgage Inc., we believe that regardless of your immediate situation, you should always have access to the best mortgage available.

We are aware that you may already be working with a mortgage broker and may decide not to use our services; you should know, we do believe that you should have access to a thorough understanding of what is involved in getting a mortgage.

We have created a number of ‘folders’ which you can find below which contain numerous important sections regarding mortgages, so feel free to investigate as much or as little as you feel that you need in order to make a sensible decision when it is time to choose your next mortgage.

Welcome to our Education Center 

Click a folder to view contents

READ THIS FIRST

 

Understanding the Process

 

 

 

 

Making the Best Choices

 

 

 

 

About your Loan Options

 

 

 

 

 

Mortgages and Loans

 

 

 

 

 

 

Refinance Loans

 

 

 

 

 

 

Reverse Mortgages

 

 

 

 

 

Calculators

 

 

 

 

 

Which Application is for you

 

 

 

 

 

Education Example

At High Definition Mortgage Inc. we feel it is better to first try to understand the general public’s perceived notion of the terminology involved around real estate and mortgages.

The most common misconception is “I have a Mortgage on my home.”

This is incorrect – the Lender has the mortgage you gave to them.

We start with the very basics and try keeping the legal jargon out of this. In the United States of America, we have two types of States in relation to Real Estate and Mortgages.

Some states, such as Georgia, are “title theory” states; while most states, like Florida, are “lien theory” states. In “title theory” states, the lender holds title to the property until the loan is paid in full. In “lien theory” states like Florida you hold title.

Now let’s just focus on Florida and keep it in a paraphrased opinion. When purchasing a home, a seller gives you a deed. Once you receive that deed, it is now referred to as a title. So basically, when you sell, you give a deed. When giving the deed, you are called the grantor. As the buyer, once you receive the deed, it is now referred to as title; you are the grantee, you hold possession. You now hold title ownership to the property.

Now we add a loan into this transaction. A lender gives you a loan for your purchase, you will have to sign a “promissory note” and a “mortgage.” The promissory note contains the terms and conditions from the lender for giving you the money. The Promissory note is your written promise to pay the lender back. The mortgage is your pledge of the property to the lender. It is your statement to the lender that if you do not pay the loan back, you will give the property to the lender. Since you are giving the lender your pledge, you become the mortgagor. Since the lender is receiving your pledge, the lender becomes the mortgagee. The lender holds the mortgage, and a copy is recorded in the court records as a lien on the title.

Common variations can be added to a transaction. Just about anyone can be on the title, most typically it is husband and wife. For our example, we will call them Barney and Betty.

Let’s say that Betty is the hard charger and the bread winner of the family, with good credit. Barney, well, let’s say he likes to watch TV. Now Betty wants to buy a new house–refinancing will be similar in action. Betty and Barney can both be on the title. Betty will sign the promissory note, as she is the bread winner with good credit. But in Florida, which is a Lien theory state, both must sign the mortgage. Now with Florida’s homestead law, even if Barney was not on the promissory note, since he is husband to Betty, he must still sign the mortgage.

Now you have a basic idea of the three parts of a real estate loan. Deed/Title, promissory note, and mortgage are the basic elements involved in the lending process. This was only basic information about real estate loans in Florida, and it should not be a substitution for seeking legal advice or counsel. We recommend to use a real estate attorney for your real estate and/or mortgage transaction.

 

If you have any questions or would like further assistance please contact us directly and we will try our very best to help wherever possible.

For further information about getting the right mortgage for you and to arrange your ‘NO-FEE ASSESSMENT’
CALL US on (+1) 941-223-9416