A Jumbo Mortgage is a loan for an amount exceeding the statutory limit placed on the size of loans that Freddie Mac and Fannie Mae can purchase. These loans must be maintained in the lender's portfolio or sold to private investors rather than Fannie or Freddie. Often associated with the purchase of luxury homes, jumbo mortgages differ from conforming loans.
A mortgagee is an entity or individual that holds a lien on or title to a property as security for a debt, typically a lender.
Pre-approval is a critical step in the mortgage application process where a lender agrees to provide a loan amount to a borrower under certain conditions. It signifies a preliminary agreement from the lender, boosting the borrower's bargaining power during home purchasing.
Savings and Loan Associations (S&Ls) are financial institutions that specialize in accepting savings deposits and making mortgage and other loans.
A Savings and Loan Association (S&L), also known as a building and loan association, is a financial institution similar to a savings bank, with a historical focus on providing home loans. In recent years, S&Ls have expanded their services to include a wider variety of loans.
