Frequently Asked Questions

Lending FAQs

Private mortgage insurance, also called PMI, is a type of mortgage insurance you might be required to pay for if you have a loan. Like other kinds of mortgage insurance, PMI protects the lender, not you, if you stop making payments on your loan.

Mortgage insurance protects the lender if you fall behind on your payments. Mortgage insurance is typically required if your down payment is less than 20 percent of the property value. Mortgage insurance also is typically required on FHA and USDA loans. However, if you have a conventional loan and your down payment is less than 20 percent, you will most likely have private mortgage insurance (PMI).

Earnest money is a deposit a buyer pays to show good faith on a signed contract agreement to buy a home. The deposit is held by a seller or third party like a real estate agent or title company. If the home sale is finalized or ?closed? the earnest money may be applied to closing costs or the down payment.

Your debt-to-income ratio is all your monthly debt payments divided by your gross monthly income. This number is one way lenders measure your ability to manage the monthly payments to repay the money you plan to borrow.

An origination fee is what the lender charges the borrower for making the mortgage loan.? The origination fee may include processing the application, underwriting and funding the loan, and other administrative services.


An escrow account is set up by your mortgage lender to pay certain property-related expenses, like property taxes and homeowner?s insurance. A portion of your monthly payment goes into the account.

An adjustable rate mortgage (ARM) is a type of loan for which the interest rate can change, usually in relation to an index interest rate.

An annual percentage rate (APR) is a broader measure of the cost of borrowing money than the interest rate. The APR reflects the interest rate, any points, mortgage broker fees, and other charges that you pay to get the loan. For that reason, your APR is usually higher than your interest rate.

Amortization means paying off a loan with regular payments over time, so that the amount you owe decreases with each payment. Most home loans amortize.

A conventional loan is any mortgage loan that is not insured or guaranteed by the government (such as under Federal Housing Administration – FHA, Department of Veterans Affairs – VA, or Department of Agriculture – USDA loan programs).

A Closing Disclosure is a required five-page form that provides final details about the mortgage loan you have selected. It includes the loan terms, your projected monthly payments, and how much you will pay in fees and other costs to get your mortgage.

QuickBuy? FAQs

Sellers who choose the QuickBuy? Lock option may market their homes for up to 150 days and can accept the QuickBuy? offer at any time during those 150 days. Closing must take place within 180 days of the offer date.


Once your home qualifies for a no-obligation QuickBuy? offer, your Berkshire Hathaway HomeServices PenFed Realty agent will view the property and answer any questions you may have. The offer will be made within two business days, and once accepted, a home inspection and closing will follow. If the offer is not accepted, your agent will present other home sale solutions.


QuickBuy? Lock allows you to market your home up to 150 days with the certainty and assurance of a QuickBuy? offer in hand. Your Berkshire Hathaway HomeServices PenFed Realty agent will help you ?lock in? the QuickBuy? offer before listing the home and will implement a QuickBuy? pricing protocol to help market the home.


Your Berkshire Hathaway HomeServices PenFed Realty agent will schedule the inspection. Once complete you will be notified of any repairs and ? as with a typical home sale ? you?ll have the choice to perform repairs or grant a credit to the purchaser at closing.


Some exceptions apply, for instance, if your home is already or recently listed for sale, a multi-family residence or a mobile home, it will not qualify. Contact your Berkshire Hathaway HomeServices PenFed Realty agent to see if your home qualifies for a QuickBuy? offer.


We do not rely on automated valuations, as many iBuyers do. Your detailed home valuation is based on recent local market activity and the features of your home. Research is verified by a professional team of residential property experts, as well as your knowledgeable Berkshire Hathaway HomeServices PenFed Realty agent.


There is no cost to receive an offer. A resale fee similar to real estate commission, typical closing costs, and a $795 administrative fee will all be paid at closing.


Enjoy the professional guidance of a trusted Berkshire Hathaway HomeServices PenFed Realty agent as well as the certainty of a reliable cash buyer. If you?re planning to buy a home as well, QuickBuy? gives you the advantage of making a non-contingent cash offer on your next home.


  • Receive an immediate offer on your qualified home and close in as few as 14 days from acceptance.
  • If you?re planning to buy a home as well, QuickBuy? gives you the advantage of making a cash offer, with flexible closing terms, on your next home.
  • Eliminate or reduce the time and expense of preparing the house for market.
  • Save on carrying costs while the home is listed, such as utilities, insurance, and taxes.
  • Avoid duplicate mortgages if your home doesn?t sell before you buy your next home.
  • No need to keep the house in show condition.

There is no cost to receive a QuickBuy? offer.


Your Berkshire Hathaway HomeServices PenFed Realty agent will help you decide which home sale solution is best for you. If you would like more convenience and certainty in the home sale process, QuickBuy? may be right for you. QuickBuy? allows you to receive an immediate home offer and avoid listing your home, showing your home, preparing it for market, or maintaining a market-ready home.


Closing may take place in as few as 14 days and as many as 60 days from QuickBuy? offer acceptance. Choose the time frame that best suits your needs.


Since the QuickBuy? offer is based on accurate market research, not internet ?guesstimates? or algorithms, it typically takes one to two business days for your agent to present the offer after the home visit.


Take up to 10 business days to accept the QuickBuy? offer or Lock option.