The appraisal on a property can be very important in order to receive the final approval on a loan request. The property appraisal serves two primary purposes. The first purpose is the appraisal determines the value of the property. Loan prequalifications and preapprovals are based on property value estimates; the appraisal established the actual value
May be required on new loans to determine if there is an infestation of termites or other pests in the home, generally reserved for FHA loans.
The interest charged by a lender for the use of money, expressed as a percentage. Cost of credit determined by the lender on a home mortgage loan.