Explaining Real Estate Jargon in Plain English

Real estate can feel like a foreign language. If you’re buying or selling a home and hearing words like escrow, contingency, or appraisal gap, you’re not alone! Let’s break down a few common terms so you feel confident every step of the way:

🔹 Escrow: A safe, third-party account that holds funds (like your deposit) until the transaction is complete. Think of it as a neutral holding zone.

🔹 Contingency: A condition that must be met before the sale is finalized—like the buyer securing financing or the home passing inspection.

🔹 Appraisal: A professional estimate of the home’s market value. Lenders use it to make sure the home is worth the loan amount.

🔹 Earnest Money: A good-faith deposit you make when your offer is accepted—showing you’re serious about the purchase.

I always make sure my clients understand the process clearly, no jargon, no pressure—just real support.

Get pre-approved with NewFed Mortgage

https://myloans.newfed.com/homehub/signup/callen@newfed.com?from_mobile_share=true