Real estate, made personal.

Pre-qualification is a quick, informal estimate based on what you tell a lender about your income and debts — no documents, usually no credit pull. Pre-approval means a lender has actually verified your income, assets, and credit, and is prepared to lend up to a specific amount, subject to underwriting. Sellers take pre-approval far more seriously than pre-qualification, especially the moment you're in a multiple-offer situation.

A contingent listing has an accepted offer, but the sale still depends on certain conditions being met — usually inspection, appraisal, or financing. If those fall through, the deal can still fall apart, which is why some contingent listings do come back on the market. It's different from "pending," which usually means those conditions have already been cleared.

Escrow is a neutral third party that holds the money and paperwork until every condition of the sale has actually been met — so neither side has to just trust the other. The buyer's deposit sits in escrow, documents get signed and verified, and everything releases together at closing. It protects both sides at once.

FHA loans allow a lower down payment and more flexible credit, but usually carry mortgage insurance for the life of the loan. Conventional loans ask for stronger credit and typically more down, but you can drop mortgage insurance once you hit roughly 20% equity — which often makes it cheaper long-term if you qualify. The honest answer is it depends on your specific numbers, which is exactly what I'll run for you before you decide.

Underwriting is where the lender verifies everything — income, assets, debts, credit, and the property itself through an appraisal. They may come back asking for more documentation; that's normal, not a red flag. Once everything checks out, you get a "clear to close," which means you're on track to sign.

Discount points are an upfront fee you pay to lower your interest rate. Whether it's worth it comes down to a break-even math problem: how many months of lower payments does it take to earn back what you paid upfront? If you're planning to stay in the home well past that point, it can make sense. If you might sell or refinance sooner, it usually doesn't. I'll run the actual break-even for you before you commit either way.