{"id":2113,"date":"2016-05-20T23:36:45","date_gmt":"2016-05-20T23:36:45","guid":{"rendered":"https:\/\/www.movoto.com\/foundation\/?p=2113"},"modified":"2016-05-20T23:36:45","modified_gmt":"2016-05-20T23:36:45","slug":"ultimate-homebuyers-guide-basics-of-buying-a-home","status":"publish","type":"post","link":"https:\/\/www.movoto.com\/blog\/ultimate-homebuyers-guide-basics-of-buying-a-home\/","title":{"rendered":"Before You Start: Learn the Basics of Buying a Home"},"content":{"rendered":"

\"Before-You-Start-Basics\"<\/a><\/p>\n

\"Prep_thumb_2\"<\/a>You don\u2019t need to be ready right away, but once you\u2019ve got a game plan to get your finances in order and the seeds of home ownership have been planted in your head, you can start doing your research. Give yourself some time to research exactly what you want and are capable of buying and you\u2019ll be ready to pull the trigger once it\u2019s time.<\/p>\n

A few essentials before you start:<\/p>\n

What is a mortgage?<\/h3>\n

A mortgage is a loan a homebuyer takes from a bank or other lender specifically to buy real estate. The collateral or security for this loan is the property itself, so if the buyer stops making payments, the bank can seize the property and foreclose on or repossess it to recover the balance of the loan.<\/p>\n

What is a title?<\/h3>\n

A property\u2019s title is its proof of ownership. In order to buy a property from a person or corporation, a title insurance company will do an extensive title search on the history of the property\u2014any transfer of ownership, claims made against it, and mortgages associated with it. They will confirm that the title is in good standing and the seller has the legal right to transfer it to a new owner.<\/p>\n

What is a FICO score?<\/h3>\n

FICO (originally Fair, Isaac and Company) is a software company that developed a credit scoring system in the 1950s. Their scoring system has since become the unofficial barometer to determine whether someone is creditworthy.<\/p>\n