Taking out a mortgage to purchase a home is often considered to be one of the most important financial decisions that a person will make—especially as a first-time home buyer. With so much to consider prior to purchasing a house, and the staggering amount of money you must borrow to seal the deal, it’s important to work with an experienced professional to secure a reliable and fair mortgage.
Jill Burgess of Mortgages by Jill is a savvy mortgage broker with extensive experience helping potential buyers like yourself find the right mortgage for them. This article is going to explore what a mortgage is, how it works, and the benefits of working with a mortgage expert like Mortgages by Jill to obtain one.
What is a mortgage?
If you’re a first-time homebuyer, you may not be familiar with all the minutiae that go into buying a home, such as the details of a mortgage. A mortgage is a loan given by a bank or other lending institution to purchase property, such as a house or commercial building. The borrower pays back the loan by making monthly payments over an agreed-upon period of time. Mortgages are typically long-term loans with fixed interest rates that can last from 15 to 30 years.
Mortgages are generally secured by the property being purchased, meaning that if you don't make your monthly payments, your lender can take possession of your home in order to recoup their losses. Mortgages can also be unsecured, which means they're not backed by any collateral and have higher interest rates because there's more risk for lenders.
As a first-time buyer, working with a reputable mortgage professional like Mortgages by Jill will be essential to your success in securing a fair and reasonable mortgage.
Types of Mortgages
Another aspect of the home-buying process that first-time homeowners may not be aware of, is the various kinds of mortgages. There are two main types of mortgages: Fixed-rate mortgages and variable-rate mortgages. Fixed-rate mortgages have a fixed interest rate over the entire life of the mortgage, while variable-rate mortgages have an interest rate that changes periodically.
Fixed-rate mortgage is more expensive than variable-rate mortgage in terms of monthly payment, but it is more stable in terms of repayments. Variable rates may fluctuate up and down as market conditions change, but they also offer lower initial payments than fixed rates. Variable-rate mortgages are adjustable-rate mortgages with an interest rate that is periodically adjusted based on an index that reflects the cost to the lender of borrowing on the credit markets.
The loan may be offered at the lender's standard variable rate/base rate. If all this sounds complicated to you, you’re not alone. Many first time home buyers look to the guidance of a reputable mortgage broker to show them the ropes and walk them through the mortgage process. Mortgages by Jill will show you a few options for your mortgage and help you pick the best one for you!
What services does Mortgages by Jill offer?
By now you’re probably considering working with the fantastic Jill Burgess of Mortgages by Jill, but you’re probably wondering what services she can specifically offer. As a seasoned mortgage professional Mortgages by Jill offers clients specialized mortgage services for their unique lifestyle and positions. She offers everything from medical professional mortgages to a special first-time homeowner program.
As a first-time homeowner, you should reach out to Jill Burgess for a unique first-time homeowner program to help you through the mortgage process. As a top-producing loan officer for The North Carolina Housing Finance Agency, Jill has been helping first-time home buyers for over 30 years!