📖 Real Estate Vocabulary: Amortization 🏡💰

Amortization is the process of gradually paying off a loan balance over time through scheduled mortgage payments. Each payment includes both principal (the original loan amount) and interest (the cost of borrowing).

🔹 At the beginning of the loan, more of your payment goes toward interest.
🔹 Over time, a larger portion applies to the principal, building equity in your home.
🔹 Most home loans follow a set amortization schedule, helping buyers understand how their payments contribute to owning their home outright.

Understanding amortization is key to making smart mortgage decisions! 💡 Have questions about financing your dream home? Let's chat! 📩

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