Optional Mortgage Features
Payment Frequency refers to how often mortgagee makes their mortgage payments. Ask your CTMS agent how you can save thousands of dollars with accelerated payment option which allow you to make the equivalent of one extra monthly payment each year.
Payment frequency options may include:
- Monthly - 1 payment per month
- Semi Monthly - 2 payments per month (monthly payment divided by two)
- Bi-weekly - 1 payment every 2 weeks ( monthly payments multiple by 12 and divide by 26)
- Weekly - 1 payment per week (monthly payment multiple by 12 & divide by 52)
- Accelerated biweekly - 1 payment every 2 weeks (monthly payment divided by 2)
- Accelerated weekly - 1 payment per week (monthly payment divided by 4)
Home Equity Lines of Credit (HELOC)
HELOC is a secured form of credit that lenders use your home as guarantee that you will pay back the money you borrowed. Generally lenders only requires you to pay interest on the money you use; there are no fixed repayment amount and borrowers can use up to the credit limit, pay it back and borrow again as they see fit. HELOC can even be combined with fixed-term mortgage. Ask your CTMS agent how you can finance part of your home purchase using your HELOC.
Title insurance protects you and your lender against losses related to the property’s title or ownership. There are two types of Title Insurance:
- Lender Title Insurance - protects lender until the mortgage is paid in full
- Homeowner Title Insurance - Protects homeowner as long as they owns the home.
This is a one time premium cost that’s based on the value of the home.