|
Confused in the Home Loan jargon? Our glossary
will help you in understanding the basic loan related terms.
Browse through the glossary or serach for a term through the
menu to resolve any doubts.
Glossary of Home Loan terms
D
Default
Failure to make a loan repayment by a specified date.
Deposit
With most house purchases the Deposit is the amount of money
that is paid to secure the purchase of the house and on
Settlement is treated as part payment of the purchase price.
The Deposit is often payable to the real estate agent as
the Vendor's agent. It is important to find out what paying
a Deposit will commit you to, whether the Deposit is refundable
and, if so, in what circumstances.
Documentation
Documentation is the papers or documents to be signed in
connection with the loan at the HFC, i.e., the loan papers.
Down Payment
Housing Finance companies normally give loans up to 80-85%
of the value of the property. Down payment is the balance
that has to be paid by the buyer, as a payment before the
loan applicant draws on the loan amount.
|
