Darren Ahearn
Darren Ahearn
240-317-2722240-317-2722

Frequently Asked Mortgage Questions

Frequently Asked Mortgage Questions

Does the term “amortization” leave you perplexed? Are you unsure how preapproval differs from prequalification? If so, you’re not alone. Here are some mortgage basics to help you become more familiar with the process.

What’s the difference between prequalification and preapproval?
Getting prequalified is often the first step when searching for a home. You supply basic financial information, such as your income, assets and debts, and the lender then provides a preliminary estimate of the amount for which you may qualify.

Preapproval involves an in-depth look at your finances and usually requires an application fee, but this process brings you closer to determining your potential interest rate and monthly payment. Being preapproved also puts you in a better position in a competitive market because it shows you have your finances in order.

What is amortization?
Amortization is the process of paying off a home loan’s principal and interest over time within a consistent, planned repayment schedule. In the beginning, a large portion of each payment goes toward interest, but as the loan matures, larger amounts go toward paying down the principal.

What types of loans are there?
Fixed and adjustable rate mortgages operate as their respective names imply. The former has a rate that stays the same for the life of the loan. The latter’s rate may start low, but it can increase after a predetermined period or depending on market conditions.

Government-guaranteed mortgages include FHA and VA loans. These are usually easier to qualify for and typically require lower down payments than other types of loans.

About Darren Ahearn

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Darren Ahearn

darrenahearn@gmail.com

7210 Corporate Court Suite B, Frederick, MD 21703

240-317-2722240-317-2722 main

240 344 1713240 344 1713 office

240 344 1713240 344 1713 mobile

RE/MAX Results

7210 Corporate Ct. Suite B Frederick, MD. 21703

It’s not about the home, It’s about serving you!

Community Events

Baker Park Walk

Frederick Walkers

Meet outside William Talley Recreation Center (West side) in Baker Park. We walk to the northwest end of the park (Schifferstadt House) and back - a little over two miles.(https://www.cityoffrederick.com/DocumentCenter/Home/View/1740)On the first...

Meetup 4th Tuesday of the month, Mark your calendar. Lets Network & brainstorm!

Frederick Tax Lien and Real Estate Investing Meetup

I started this Meetup to see if there are any local real estate investors interested in Tax Liens investing for JV partnerships, although it is not just for Tax Lien investors. This Meetup is for anyone interested or already investing in any kind...

Wrangling Plot Bunnies + 2 Critiques

Frederick Writers Salon

Have you ever been asked, “How did you come up with that story?” For this meeting, we are going to talk about plot bunnies: elusive when you need ~something~ to write, yet prolific when you are already inundated with nifty ideas. I’d like...