Financing

You’ll learnHow a HELOC's draw period and repayment period differ, and why the monthly payment can jump when the line shifts into repayment

You’ll learnWhy underwriters work from calculated qualifying income after deductions rather than the gross revenue a business owner tends to quote

You’ll learnHow ARM shorthand like 5/1 or 7/6 works, and what the initial, periodic, and lifetime caps actually limit

You’ll learnHow forgivable second mortgages, deferred-payment loans, outright grants, and rate or fee reductions differ as forms of down payment assistance

You’ll learnHow a temporary 2-1 or 3-2-1 buydown steps the payment up each year while the underlying note rate never changes

You’ll learnWhy private mortgage insurance reimburses the lender rather than the borrower, and why it makes low down payment conventional loans possible

You’ll learnHow a cash-out refinance replaces the existing mortgage with a larger one, while a HELOC is a revolving line drawn during a draw period

You’ll learnWhy credit behaves as a dial rather than a pass/fail gate, shaping the rate offered, the programs available, and the down payment

You’ll learnWhat separates pre-qualification from pre-approval: self-reported answers and no hard credit pull versus verified income, assets, and a documented file

You’ll learnHow front-end DTI measures the proposed PITI housing payment while back-end DTI adds every other recurring debt payment

You’ll learnHow a full pre-approval built on documented income, assets and credit differs from a pre-qualification, and why sellers treat the two differently

You’ll learnWhat FHA requires and where the down payment can come from: HUD credit tiers, debt-to-income, gift funds, and assistance programs