POP QUIZ! Correct Answers

Affordability
A measure of whether someone earns enough to quality for a long on a typical home based on the most recent price and income data. 

Today’s low mortgage rates and increasing wages offset rising prices, making homes affordable for buyers. 

Appraisal
A report highlighting the estimated value of the property completed by a qualified third party. 

Lenders rely on appraisals to validate a home’s value and ensure they’re not lending more than the house is worth. 

Contingency
A provision in a contract requiring certain acts to be completed before the contract is binding. 

In today’s highly competitive market, some buyers are minimizing contingencies to make their offers more appealing.

Equity
The value in your home above the total amount of the liens against your home.

With current home price appreciation, many homeowners are realizing they have more equity than they thought, and they’re using it to make a move.