Betsy Hines Realtors, LLC | Marshfield Real Estate, Scituate Real Estate, Duxbury Real Estate


Whether you’re a first time homebuyer or a seasoned homeowner, the terminology of mortgages can be confusing. Since buying a home is such a huge financial decision, you’re also going to want to make sure you understand every step of the process and all of the conditions and fees along the way.

In this article, we’re going to explain some of the common terms you might come across when applying for a home loan, be it online or over the phone. By learning the basic meaning of these terms you’ll feel more confident and prepared going into the application process.

We’ll cover the acronyms, like APRs and ARMs, and the scary sounding terms like “amortization” so that you know everything you need to about the terminology of home loans.

  • ARM and FRM, or adjustable rate vs fixed rate mortgages. Lenders make their money by charging you interest on your home loan that you pay back over the length of your loan period. Adjustable rate mortgages or ARMs are loans that have interest rates which change over the lifespan of your loan. You may start off at a low, “introductory rate” and later start paying higher amounts depending on the predetermined rate index. Fixed rate mortgages, on the other hand, remain at the same rate throughout the life of the loan. However, refinancing on your loan allows you to receive a different interest rate later down the road.

  • Amortization. It sounds like a medieval torture technique, but in reality amortization is the process of making your life easier by setting up a fixed repayment schedule. This schedule includes both the interest and the principal loan balance, allowing you to understand how long and how much money will go toward repaying your mortgage.

  • Equity. Simply state, your equity is the the amount of the home you have paid off. In a sense, it’s the amount of the home that you really own. Your equity increases as you make payments, and having equity can help you buy a new home, or see a return on investment with your current home if the home increases in value.

  • Assumption and assumability. It isn’t the title of a Jane Austen novel. It’s all about the process of a mortgage changing hands. An assumable mortgage can be transferred to a new buyer, and assumption is the actual transfer of the loan. Assuming a loan can be financially beneficial if the home as increased in value since the mortgage was created.

  • Escrow. There are a lot of legal implications that come along with buying a home. An escrow is designed to make sure the loan process runs smoothly. It acts as a holding tank for your documents, payments, as well as property taxes and insurance. An escrow performs an important function in the home buying process, and, as a result, charges you a percentage of the home for its services.

  • Origination fee. Basically a fancy way of saying “processing fee,” the origination covers the cost of processing your mortgage application. It’s one of the many “closing costs” you’ll encounter when buying a home and accounts for all of the legwork your loan officer does to make your mortgage a reality--running credit reports, reviewing income history, and so on.  


This beautiful home has an abundance of curb appeal Ideally located on spacious corner lot in a lovely sought after circular neighborhood. It offers 3 large bedrooms upstairs and two smaller bedrooms on the first floor, 3 full baths, (one on every level), second floor laundry, finished basement with a storage pantry, extra washer/dryer hookups, and a work shop, a mud room side entrance, patio large enough to entertain with built in fire pit, above ground pool with composite decking, 3 car side by side off street driveway, master suite with his & her walk in closets and master bath with jacuzzi tub. It has oodles of storage with an enormous attic, and shed. Adding comfort is the security system with exterior cameras and LED security lighting. The Galley kitchen has tons of cabinet space, a breakfast nook & Corian counters. Walking distance to East Middle School. Central location is 5 minutes to Rt 3, Rt 53, Train stations, shopping plazas, 30 min to Cape Cod, 20 minutes to Boston.

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94 preston terrace, Marshfield, MA 02050

Seaview

Land

$679,900
Price

0.36
Acres
Residential
Land Type
Panoramic ocean and river views with 100 feet plus or minus of deep water frontage. This land offering has a 4,000 square foot house on it in need of repair and rehab. However, there is a 10 year old roof, furnace, skylights, decking,electrical, hot water, some sliders, etc. It is located in a popular waterfront neighborhood within walking distance of Humarock beach, restaurants and shops and marinas. There is an existing partial large dock consisting of pilings and some platforms. The views are beyond magnificent!!!! No flood insurance needed.
Open House
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30 PENNIMAN TERRACE, Braintree, MA 02184

Single-Family

$579,000
Price

8
Rooms
5
Beds
3
Baths
This beautiful home has an abundance of curb appeal Ideally located on spacious corner lot in a lovely sought after circular neighborhood. It offers 3 large bedrooms upstairs and two smaller bedrooms on the first floor, 3 full baths, (one on every level), second floor laundry, finished basement with a storage pantry, extra washer/dryer hookups, and a work shop, a mud room side entrance, patio large enough to entertain with built in fire pit, above ground pool with composite decking, 3 car side by side off street driveway, master suite with his & her walk in closets and master bath with jacuzzi tub. It has oodles of storage with an enormous attic, and shed. Adding comfort is the security system with exterior cameras and LED security lighting. The Galley kitchen has tons of cabinet space, a breakfast nook & Corian counters. Walking distance to East Middle School. Central location is 5 minutes to Rt 3, Rt 53, Train stations, shopping plazas, 30 min to Cape Cod, 20 minutes to Boston.
Open House
No scheduled Open Houses

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98 Preston Terrace, Marshfield, MA 02050

Seaview

Single-Family

$679,900
Price

13
Rooms
5
Beds
3/1
Full/Half Baths
Fabulous ocean and river view WATERFRONT location. Very interesting contemporary design with lots of flair in need of completion and restoration. A former good size suspension dock in the back yard needs restoration also. Great location only a short walk to shopping, restaurants and the most popular Humarock Beach. This is a rare opportunity to bring your architect or builder and complete the waterfront home of your dreams. Just 10 years ago the sellers installed a new roof,12 sliding glass doors,updated electrical, 2 gas water heaters and main level decks. Great care was taken to create a terraced back yard with a walkway to the dock area. Magnificent scenery, cooling summer breezes, glorious sunrises, fishing, boating, paddle boarding, kayaking and swimming in your own backyard could all be yours. This is one of Marshfield's most favorite neighborhoods. Use VIRTUAL TOUR BUTTON to see 3 levels of floor plans and a slide show. NEW PRICE BUT BUYER TO INSTALL SEPTIC
Open House
No scheduled Open Houses

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