Purchase Terminology

Abstract
A document detailing the financial history of the property, including ownership changes, title changes, mortgages, liens, forfeitures, etc.

Addendum
A document detailing changes to a contract.

Adjustable Rate Mortgage (ARM)
A mortgage with a rate that varies according to an established benchmark, such as the prime lending rate. Many have a cap and may include a one-time option to lock the rate at a set amount.

Annual Percentage Rate (APR)
The yearly interest cost of a loan. Monthly mortgage payments include an interest rate equal to 1/12 the APR.

CC&Rs
Codes, Covenants, and Restrictions are the rules stating your rights and duties regarding your property when you purchase property that includes property held in common with other owners in the subdivision or building.

Closing 
The meeting at which the money and property title change hands. Closing costs include fees for the title search, appraisal, survey, loan origination, points, deed recording, credit report, notary, and possible other charges as well. Also called settlement.    
           
Construction Loan
A short-term loan to finance the construction of a home. The lender makes periodic payments directly to the builder as work progresses. These loans are more expensive than mortgages, and are converted to mortgages as soon as the building is completed.

Contingency
A condition(s) that must be met for the contract to be valid. Common contingencies attached to purchase offers include sale of buyer's existing home and outcome of a home inspection.        
      
Conventional Mortgage
A loan based on the applicant's credit and collateral (usually the property being purchased). Not insured through the FHA or VA.

Covenant
A written restriction on the use of the property. Homeowners' Associations often enforce covenants governing architecture and maintenance of houses in a subdivision.

Disclosure Statement
A document listing known defects, such as water problems, roof damage, and the like. Required by law in some areas.

Earnest Money
A good faith down payment made when the purchase agreement is signed by both parties

Escrow
Money held by a disinterested third party until the terms of an agreement are met.

Fixture
Any item attached to the house, lights, sinks, woodwork, etc., is considered to be part of the property and included in the sale of the property.

Good Faith Estimate (GFE)
An estimate of closing costs provided by the lender to the buyer.          
     
Joint Tenants
Two unrelated people who jointly own a property that will pass to the survivor when the other dies, even if this is not stated in a will. See also Tenants in common.

Lien
A financial claim made against a property that must be settled before the title can change hands.

Loan-To-Value Ratio (LTV)
The amount of the loan in ratio to the assessed value of the property. If the LTV is more than 80% mortgage insurance will likely be required by the lender.

Lock, or Lock In
The point prior to closing at which you commit to a mortgage interest rate so long as the mortgage closes within a specified time period. If the lock period expires prior to closing, lender and would-be mortgagee must negotiate a new deal.

Maintenance Fee
The monthly amount paid by owners of condos, townhouses, and other commonly owned properties to cover the repair and maintenance of common areas including lobbies, grounds, and exterior surfaces.           
    
PITI
Principle, interest, tax, and insurance. The elements that comprise a monthly mortgage payment. (Lenders frequently collect and escrow money to pay the insurance and property taxes when the LTV is over 80 percent.)

Point
The amount paid to the lender to secure a lower interest rate. A point is equal to 1 percent of the loan amount.

Special Assessment
Charges for projects such as street lighting, paving, and sewer work that must be settled at closing.

Tenants in Common
Two unrelated people jointly own a property without right of succession. In other words, if one owner dies, his/her share of the property passes to heirs, not necessarily the co-owner.

list and definitions provided by pbs.com

Ways to Protect Your Home From Getting Burglarized

Your safety is number one.  You always want to create an appearance that someone is home all day every day.  Intruders may stalk your home on several occasions to find your patterns and daily routines to find the best time for them to break in.  If you really think about it most people get up at the same time every day, leave the same way to work, come home around the same time without deviation.  We are creatures of habit and routines which makes it easy for the intruder to determine the best time to break in.  Below are some updates you can easily complete on your home to help confuse the intruder:

-Make sure shades are down and closed, along with drapes or window treatments

-Installing motion sensor lighting on the exterior of your home, over the garage and/or near the front door

-Prune shrubs and manicured lawn to eliminate hiding spots for intruders to hangout

-Keep windows and doors locked when not in use, along with the garage door closed and secure sliding doors

-Adopt/purchase a dog to stand guard, if you don’t want a dog put up BEWARE dog signs on fences and add some dog bowls to the yard or the front porch

-Put up surveillance cameras to monitor your exterior

-Purchase an alarm system or place alarm signs in your yard to indicate you have the services (even if you do not subscribe)

-Do not advertise large purchases in your weekly trash pickup, example: empty flat screen TV boxes etc.

-Install a dead bolt if you do not already have one on your front and back doors

-Set indoor timers that turn on different items in your home throughout the day, example: lights, radios, TV’s etc.

-Put up 3-6 ft. privacy fence, one more thing the intruder would have to maneuver around

-If you are leaving town, stop the mail and newspaper services so you don’t show everyone you are not home

-If you are a single female living alone put a large pair of male shoes on your front porch to give the illusion a male is living at the home and you are not alone

-Self-defense items locked away in a secrete place where only you and your husband know

Although the above list is not all inclusive, it’s a good start.  You should always have a plan of what you and your family would do if this situation ever happened while you are home so you are prepared. You never know in this world.  With an economy that is up and down and people without stability, break ins are becoming more common. Make your home safer TODAY!

Craigslist- Buyer beware

Craigslist has been a great free avenue for people to post items to sell, housing for sale, job opportunities in the metro, ways to find people that you can relate to and so much more.  I have purchased several items from craigslist and had mostly successes.  I have purchased everything from appliances to a pool rack to a riding mower (husband purchased).  While I have had success I have heard some horror stories such as people selling items that do not work, not showing up for appointments, and not getting what you paid for.  While there are some negatives it’s a great place to get items for the home at a discount. You can re-purpose the purchased items as I have shown in a previous post, be creative.  Not every item posted is bad, there some good people selling great quality items at a discount. During some of my searches on craigslist for specific items, I have come across some interesting finds to say the least, enjoy:
By far the best find to date. How would you like that hanging on your wall? Probably a piece I would recommend taking down before selling your home.  $150 what a steal? Not sure how I came across this ad, I have never searched for this specifically.

I found the next two ads under the free section.  While most of the items under the free section are "junk" in my opinion there are a bunch of free firewood ads which is awesome. However, not all of them are particularly "good" for use as firewood.  In the Overland Park ad they had to add an arrow so you know which "free" wood you are cutting down.  Both tress are super tiny.  If you cut it up it would be more like twigs. While this would add some fuel for an outdoor bond fire, its not going to keep your house warm.  I feel the ad is more of a please cut and haul this away I have zero tools.



I have found a bunch of appliance ads that should have been re-titled, "SCRAP METAL" due to the condition.  I am not sure if people are joking when they place these ads or if they have nothing to do during the day, they are a bit odd. In the Independence ad they didnt even clean the fridge, they added verbiage to bottom of the add will clean for full price.  Really... you are willing to clean it if you get full price?

Again not sure if people have too much time on their hands to take the time to post these. 

In this photo it looks like they are using a furnace temperature gauge box on the stove....

Another ad under the free section, judging by the other photos the double wide is not salvageable... but free to anyone who will move!

One of the most entertaining internet sites I have been on over the years is www.DontEvenReply.com.  If you have some spare time it’s worth checking out. You will fall out of your seat laughing, its hysterical.  They use a lot of craigslist ads to mess around with people. Let me know what you think of the site!

What Does a Home Mean to You

How do you define a home? A place of happiness, comforting, peace, unconditional love, chaotic, entertaining, quite, secure. Below are some great home quotes:

May you always have walls for the winds, and a roof for the rain. laughter to cheer you & those you love near you.
Irish Blessing 
 
Home is any four walls that enclose the right person.
Helen Rowland

A house is made of walls and beams,
A home is made of hopes and dreams
Unknown

Be grateful for the home you have, knowing that at this moment, all you have is all you need.
Sarah Ban Breathnach

Peace be unto this house.
St. Luke 10;5

A house is not a home unless it contains food and fire for the mind as well as the body. 
Benjamin Franklin
 
There is nothing like staying at home for real comfort. 
Jane Austen

Home is where your story begins 
Unknown

Having a place to go is HOME
Having someone to love is FAMILY
Having both is a BLESSING
Ali Bassam

There is no place like home.
Dorothy