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AJAX progress indicator
  • A tax-deferred exchange that allows for the disposal of an asset and the acquisition of another similar asset without generating a capital gains tax liability from the sale of the first asset.
  • A type of mortgage where the interest rate can change, usually in relation to an index, and payments go up or down accordingly.
  • The gradual reduction of a debt over a given period.
  • The cost of credit, expressed as a yearly rate including interest, mortgage insurance, and loan origination fees.
  • An estimate of a property's fair market value, generally performed by a licensed appraiser.
  • A mortgage which does not fully amortize over the term of the loan, thus leaving a balance due at maturity.
  • A short term loan that is used until a person or company secures permanent financing or removes an existing obligation.
  • The history of all of the documents that transfer title to a parcel of real property, starting with the earliest existing document and ending with the most recent.
  • Expenses over and above the price of the property that are incurred by buyers and sellers when transferring ownership of a property.
  • A document which provides itemized listing of the funds that were paid at closing.
  • Conditions that must be met in order to close. Contingency clauses are written into home purchase contracts to specify conditions that must be met before the home sale can close.
  • A type of mortgage in which the underlying terms and conditions meet the funding criteria of Fannie Mae and Freddie Mac.
  • The legal document conveying title to a property.
  • The part of the purchase price that the buyer pays in cash and does not finance with a mortgage.
  • The process of gathering information about the condition and legal status of assets to be sold.
  • A deposit made by the potential home buyer to show that they are serious about buying the house.
  • The difference between the fair market value of the property and the amount still owed on its mortgage.
  • An account held by the lender into which the home buyer pays money for tax or insurance payments.
  • The estimated price of a property based on what a buyer would probably pay and a seller would accept, assuming that both parties are informed and that the property has been on the market for a reasonable period of time.
  • A government-sponsored enterprise that purchases and securitizes mortgages in order to ensure that funds are consistently available to the institutions that lend money to home buyers.
  • A mortgage in which the interest rate does not change during the entire term of the loan.
  • A legal process in which mortgaged property is sold to pay the loan of the defaulting borrower.
  • A government agency that buys mortgages from banks and resells them as securities on the secondary mortgage market.
  • A form that lists basic information about the terms of a mortgage loan for which the applicant has applied.
  • A line of credit extended to a homeowner that uses the borrower's home as collateral.
  • An examination of a real estate property's condition, usually performed by a professional home inspector, before the property's sale.
  • An organization in a subdivision, planned community, or condominium complex that makes and enforces rules for the properties and their residents.
  • A standard form used to disclose costs at closing in a real estate transaction, as required by the U.S. Department of Housing and Urban Development (HUD).
  • A mortgage that is larger than the limits set by the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation.
  • A form that provides important information about the mortgage loan for which the applicant has applied.
  • A percentage calculated by dividing the amount borrowed by the price or appraised value of the home to be purchased; the higher the LTV, the less cash a borrower is required to pay as down payment.
  • Money paid to insure the mortgage when the down payment is less than 20 percent.
  • A fee charged by a lender for processing a new loan application.
  • Charges that are paid to a lender or broker for the loan and are often linked to the interest rate; usually, the more points you pay, the lower the rate.
  • An informal determination by a lender or mortgage broker stating how much mortgage you can afford.
  • A charge imposed by a mortgage lender on a borrower who wants to pay off part or all of a mortgage loan in advance of schedule.
  • The amount of debt, not counting interest, left on a loan.
  • Insurance payable to a lender or trustee for a pool of securities that may be required when taking out a mortgage loan.
  • A commitment issued by a lender to a borrower guaranteeing a specific interest rate for a specified amount of time.
  • Obtaining a new mortgage to replace an existing one. This is often done to get a better interest rate, convert your mortgage type, or to tap into home equity.
  • A loan available to homeowners 62 years or older allowing them to convert part of the equity in their homes into cash.
  • A provision in an agreement that gives a party the right to be the first to purchase a particular property if it's ever sold.
  • An agreement in which the owner of a property provides financing, often in combination with an assumable mortgage.
  • A property sale negotiated with a mortgage lender or servicer to accept less than the full amount owed on the mortgage loan.
  • A type of mortgage that's offered to homebuyers with poor credit. These homebuyers are not able to take advantage of conventional mortgages and must pay higher interest rates.
  • A legal document evidencing a person's right to or ownership of a property.
  • Insurance that protects the holder from financial loss sustained from defects in a title to a property.
  • A federal law enacted to help protect consumers in their dealings with lenders and creditors.
  • A mortgage on a property that is worth less than what is owed on the mortgage.
  • The process of evaluating a loan application to determine the risk involved for the lender. Underwriting involves an analysis of the borrower's creditworthiness and the quality of the property itself.
  • The illegal action or practice of lending money at unreasonably high rates of interest.
  • A mortgage loan in the United States guaranteed by the U.S. Department of Veterans Affairs (VA).
  • The difference between the lowest available interest rate and the higher rate a borrower agrees to pay. The lender provides a loan at the higher interest rate, and the lender or broker collects the YSP as commission.
  • Municipal or local government laws that dictate how real property can and cannot be used in certain geographic areas.