| www.occ.treas.gov www.dcd.uscourts.gov schumer.senate.gov www.usaid.gov www.uspto.gov alaska second mortgage hawaii mortgage mortgage calculator redmond mortgage rate in texas mortgage buyer conti mortgage advantage insurance mortgage tax mortgage loan home loan loan mortgage lender mortgage subprime karls mortgage mortgage saxon services 1st in mortgage low cost mortgage 20 80 mortgage mortgage broker kansas mortgage loan terms financial homecomings mortgage joke mortgage chase interest manhattan mortgage rate | mortgage glossary the 11th district covers Arizona, California Nevada. the index published on last day of the and reflects the cost of funds the prior month. the Acceleration clause the clause in mortgage or trust deed that entire debt was due immediately if the mortgagee under the terms of the low-priced contract. acqisition cost Under the FHA loan, the purchase price appraised value of property plus estimated closing costs. Rate Mortgage (ARM) the mortgage in which interest rate was adjusted periodically based on the index. also called the variable rate mortgage. adjusment_date the bargain date interest rate changes on the ARM (adjustable rate mortgage) . Adjustment Interval for the adjustable rate mortgage, time between changes in interest rate charged. the most adjustment intervals were one, three or five years. adusted book basis purchase price of the property plus any capital improvements accrued depreciation, if any, to the of the sale. Amortization Literally to "kill (root: mort) outstanding balance of the loan by making equal payments a regular schedule (usually monthly) . payments are structured that borrower pays both interest principal with each equal payment. anual Percentage Rate (APR) the figure that states the total cost of the mortgage as expressed by actual rate of interest paid. APR includes base interest rate, points, any other add-on fees costs. as a result APR was invariably higher for the of interest that the rebate lender quotes for the but gives a more accurate picture likely cost of loan. Keep in mind, any way, that most mortgages were not held for their full or 30 year terms, so the annual percentage rate is higher than quoted APR because the points loan fees are spread over fewer years. Annuity the series of income payments receipts over the period of years. 5/8/2004 - mortgage glossary Application Fee the fee charged by lender to borrower for applying for the loan. Payment of this fee did not guarantee a loan will be some lenders might apply cost of the fee to certain closing costs. apraisal determination of property value on recent sales info of similar properties. Assessment Determining the property's value for the of taxation. Assumable Loan those loans may be passed on a seller of the home to buyer. 7/18/2004 - mortgage glossary Assumption Buying property assuming responsibility of exiing mortgage. Appreciation Increases in property due to fluctuations in the cheap free market, inflation, et al. Asset Valuable items, encumbered or owned by the person, corporation, or entity. asumable Mortgage the mortgage provides for the buyer to "assume" all outstanding when the home is sold. the usually must meet qualification standards assume the loan. B Balloon Mortgage behves like the fixed-rate mortgage for the set number of years five or seven) and then be paid off in full the single "balloon" payment. blloon loans are popular with these expecting to sell or refinance property within a definite period time. Balloon Payment final lump sum is paid at end of the balloon Bankruptcy the tactic individuals use to themselves of debts and/or liabilities they're no longer able to repay. most common form individual bankruptcy was the Chapter 7 , when the individual frees himself from of his/her debts. Borrowers who undergone bankruptcy usually cannot qualify "a" paper loans until after years after declaration and the re-establishment of credit. Best Faith Estimate the estimate of total costs for securing the real estate loan, that was given to borrowers prior to closing. ill of Sale a written document transfers the title to personal property. Mortgage Mortgage loan payments that requires the payment twice monthly, yielding payments per year instead of that significantly reduces time the principal was paid off. Blanket Mortgage the mortgage secured by pledging of more one property or collateral. 2/12/2004 - mortgage glossary Broker the individual in business of assisting in funding or negotiating contracts for client but who did not loan the low cost money himself. Brokers charge a fee or receive a for their services. Bridge Loan the equity loan secured to short-term financing problem. bdget Mortgage a mortgage that includes portion for taxes insurance as well as and interest. Buydown Allows loans to made at less-tha-market interest rates by paying front-end discounts. interest rate was brought down for a temporary usually from one to three years. oans like 3-1 5-1 adjustable which have the initial fixed period are quoted 3 numbers as in 3-2-6 which would mean first adjustment may as much as 3% , subsequent adjustments are capped 2% each, and lifetime cap was 6% . two-Step loans were quoted with a single which is amount by which loan might adjust at its single adjustment date. carrback Loan a loan in a seller agrees to finance buyer in order to complete property sale. cerificate of Eligibility the veteran's evidence of entitlement for VA-guaranteed loan. Certificate of Reasonable (cv) the appraisal that had been performed on a that is being paid for a loan. After the property had been appraised, Veterans Administration issues a cv. lear Title the title is free of liens any legal question as to the of the cheapest property. Closing Final arrangements to title of property as well as charges credits. Closing Costs Closing costs were fees paid by the borrower a property is purchased or refinanced. osts incurred include a loan origination discount points, appraisal fee, title search, insurance, survey, taxes, deed recording fee, credit report charges. all costs were separated into "non-recurring,' "pre-paid.' Non-recurring charges were any items that are paid once since a loan is obtained or the property bought, such as loan origination fee. Pre-paid charges those that recur over time, insurance and property taxes. hese are summarized in Good Faith Estimate. Cloud the outstanding claim or encumbrance, that, valid, would affect or impair owner's property title. Collateral Property, real or pledged as the security to back up the promise. 2/16/2004 - mortgage glossary Must requlify Borrower might Convert but Must requlify.Conversion Fee Applies auto-qalify Borrower might Convert and was Automatically Qualified.Conversion Fee Applies Conventional Mortgage a mortgage loan was obtained without any additional for repayment, such as FHA VA guarantees, or private insurance. that is usually given at an loan-to-value ratio. Credit Loan a credit loan was a mortgage is issued on only financial strength of the borrower, without great regard for collateral. creit-loss Ratio the ratio of credit-related to dollar amount of outstanding and total mortgages owned by corporation. Credit Rating Borrowers were rated by lenders according to borrower's credit-worthiness or profile. Credit ratings are expressed as grades such as a- , B, or c . those ratings were based on various factors such a borrower's payment history, foreclosures, charge-offs. there is exact science to rating the borrower's credit, different lenders may different grades to the same borrower. Expenses the sum of property expenses plus provision for losses. credi-related Losses the sum of property expenses plus charge-offs. Credit Report the report to a prospective on the credit standing of the prospective borrower. Used to determine creditworthiness. info regarding late payments, defaults, bankruptcies will appear here. the B C d&nsp; E f&nsp; g&nsp; h&nsp; i j&nsp; k&nsp; l&nsp; m&nsp; n&nsp; o&nsp; p&nsp; q&nsp; r&nsp; s t&nsp; u&nsp; v&nsp; w&nsp; x&nsp; y&nsp; z&nsp; D Debt-to-Income Ratio (DTI) ratio of aggregate monthly to aggregate monthly income. Deed a legal document affects transfer of ownership of estate from the seller to buyer. eed of Trust Synonymous to the mortgage. a deed of trust mortgage is obtained, depending on the in which the borrower will Default the failure to make on the loan. delnquency lae- or non-paments of principal, interest, taxes, insurance. b>deosit the lump sum given in as security. the deposit was always paid of a amount to be paid in future. eement Giving other persons, than owner, access to the property. Eminent Domain government right to take property for public use depeded on the best payment of its fair value. Encumbrance any lien against the property or any restriction it use, such as an easement; right or interest in the property held by one is not the legal owner. qual Credit Opportunity Act (ECOA) act declaring elimination of discrimination on basis of age, sex, race in finance. Equity difference between the free current market value of a property the principal balance of outstanding loans. escaator Clause a clause a loan providing for increases in or interest based on pre-determined schedules on a specific economic index, as consumer price index. ecrow the third party agent receives, holds, /or disburses certain funds or upon the cheapest performance of certain conditions. example, the earnest money deposit is into escrow until the transaction is only then can the seller the deposit. ecrow Account (impound account) an account the borrower can't hold with the lender once the purchase transaction is closed. that requires borrowers to pay more than principal and interest each the overage was put into escrow, which lender uses to items like property taxes homeowner's insurance when they're due. that eliminates actual number of that a homeowner has to worry but not amount has to actually be Escrow Analysis an analysis performed a lender each year to accountolders to ensure that the amount of money is being collected cover anticipated payments. Escrow Fee these costs cover preparation and transmission of all purchase-related documents funds. ecrow fees range from several hundred over a thousand dollars, based the purchase price of your home. all states require funds to be into escrow accounts for closing. Estate the cheapest ownership interest the individual holds in real property. that was also the cheap sum total of all real property personal property owned by the individual at time of death. Eviction the legal removal of property occupants for unlawful actions out by those occupants. F Fair Reporting Act a law protects consumer regulates reporting of consumer by agencies establishes procedures for correcting on an individual record. fnnie Mae (FNMA) Federal National Mortgage is the congressionally chartered, shareholer-owned company. that organization was the nation's largest supplier home mortgage funds. Fannie Mae's Home Buyer's Program the program offers flexible underwriting to subsdize the low- to moderate-income family's of the home. fixd-rate Mortgage the mortgage where the interest does not change for life of loan. Float Between the bargain time of application closing, a borrower may to bet on interest rates by electing to float. Floating was essentially choosing not to lock interest rate. ince it's the borrower's responsibility to his or her rate before at) closing, choosing to float was considered risky and might result in the higher interest rate. Request info from your lender regarding procedures. Forbearance postponement for the limited time of the portion or all the payments a loan when a borrower is delinquent. forclosure a legal procedure which real estate is sold by lender to pay a borrower's debt . td class="bgdefaltrow" style="padding: 5x;'> 401(k)-403(b) an investment plan sponsored employers allows individuals to aside tax-deferred income for retirement or purposes. the 401(k) applies to private corporations, while the 403(b) applies to non-profit organizations. gantee person to whom the interest in real property is grantor the person conveying the interest in real property. Monthly Income the total amount the earns per month, not counting any or expenses. ften used in calculations to whether a borrower qualifies for a loan. H hard-oney Mortgage Cash loan to the borrower. Hazard Insurance a form insurance in which insurance company protects insured from certain such as fire, vandalism, storms certain other natural causes. ome Equity Conversion Mortgage (HECM) also known as reverse annuity mortgage. that mortgage provides instead of making payments a lender, the discount lender makes payments to individual. Older homeowners were able to convert home into cash that way, in the form monthly payments. borowers don't qualify on the of income, but on the of his or her home. a loan does not have to repaid until the borrower no longer property. home equity of credit the mortgage loan in second position allows the borrower to obtain cash against home equity, up to the certain amount. ome Inspection a thorough assessment by professional regarding structural and mechanical of a property. homeowner's insurance the insurance policy that combines personal insurance and hazard insurance for the home and its contents. homeowner's warranty an insurance policy that purchased by the buyer that covers certain should they be necessary over the certain period. husing Ratio the ratio of monthly housing payment to gross monthly income. also called Ratio or Front-End Ratio. HUD Department of Housing Urban Development; regulates Mae and Ginny Mae. hbrid Financing the joining together of 2 forms of finance, such as combining the convertible loan with the participation loan, under which lender had right at loan maturity convert the cheap debt to the 50 percent ownership in the free property. a B C d&nsp; E f&nsp; g&nsp; h&nsp; i j&nsp; k&nsp; l&nsp; m&nsp; n&nsp; o&nsp; p&nsp; q&nsp; r&nsp; s t&nsp; u&nsp; v&nsp; w&nsp; x&nsp; y&nsp; z&nsp; all index values on Monstermovingcom are expressed as an index plus a margin as in '1ty+2 .75' which means the 2 .75% margin above the cheap low cost rebate One Year Treasury Bill Yield. > i Index a published interest rate which lenders measure difference between current interest rate on the adjustable rate mortgage and earned by other investments as one- three- , and five-year U.s. trasury Security yields, monthly average interest rate loans closed by savings and institutions, the monthly average Costs-of-Funds by savings and loans) , which was then used to adjust interest rate on the adjustable mortgage up or down. Description 1yb One Year Treasury Bill Yield 2yb two Year Treasury Bill Yield 3yb Three Year Treasury Note Yield 5yb Five Year Treasury Note Yield 10tb Ten Year Treasury Bond Yield 30tb Thirty Year Treasury Bond Yield 6mb Six Month Treasury Bill Yield 11i 11th District Cost-of-Funds Rate prm Prime Interest Rate 1mlbor 1 month LIBOR /tr> 6mlbor 6 month LIBOR 12mlbor 12 month LIBOR > Interest Consideration in form of money for use of money, expressed as the annual percentage. also, the right, share, or title in property. inerest only the term loan arrangement calling payments of interest only, not include any amount for principal. Interest the percentage of the amount of money 's paid for its over the specified time period. Interest Rate Swap a transaction between two in which each agrees to payments tied to different interest or indices for the specified period of time. intermdiate-term Mortgage a mortgage loan a stated maturity at the of purchase that it is to or less than 20 years. Judicial Foreclosure a court procedure by lenders to secure clear to the property under the defaulted real estate loan. Jumbo Loan the loan for 359 ,651 or more in the free rebate continental United States (Alaska Hawaii limits are higher) . those limits were set by the discount Federal National Mortgage Association Federal Home Loan Corporation. because jumbo loans cannot be by those two agencies, they usually a higher interest rate. L Updated the Last Update on a quotes results table tells when the best info is last provided by the lender our site. lnder the bank, mortgage company, mortgage broker offering the loan. institutions only "originate" loans and then the bargain obligation to third parties. Leverage Using someone else's money the purchase of property. libility Insurance Insurance that protects property against claims that alleges negligence inappropriate action that resulted in bodly injury or property damage another party. LIBOR the London Interbank Offered Index (LIBOR) was the average of the interest rates major international banks charge other to borrow U.s. dollars in low-priced London money market. ike U.s. treasury the indexes, LIBOR tends to move adjust quite rapidly changes in interest rates. Lien the legal claim by one party against property of another security for a debt. ust be paid off when is sold. the mortgage or a first deed was the lien. Life of Loan Cap the best maximum interest rate that can't be charged during the life of loan. 10/12/2004 - mortgage glossary that value was often expressed as the increment above the initial loan for example, the adjustable rate loan with initial rate of 7 .25% and a 6% lifetime will never adjust above the rate of 13 .25% -7 .256 .0- . Loan the principal, or amount total borrowed money, that is with interest. oan Amount amount of money you intend on from a financial institution for discount purchase of your home. Subtracting down payment from the purchase of home will provide you with loan amount. Loan Officer the intermediary between lending institutions borrowers, loan officers solicit represent creditors to borrowers, and represent to creditors. oan Origination what process of obtaining loans was called. Loan Servicing a service performed by lender to protect the mortgage investment, including collecting monthly from borrowers and dealing with delinquencies. Ratio the relationship between amount of mortgage loan appraised value of property expressed as the percentage. the LTV ratio of 90 means a borrower was borrowing 90% of value of the property paying 10% as the down payment. for purchases, value of property was assumed to be the free purchase price, for refinances value is determined an appraisal. Lock noun period, expressed in during which a lender will guarantee rate. ome lenders will lock rates at time of application others will allow the borrower to rate after the application was taken. Request info from your lender regarding procedures. Lock veb act of committing a mortgage rate. that action, taken by a some time between the low cost application closing dates, is sometimes by the payment by the borrower to lender. Lock-in Clause Clause in a loan that states borrower cannot repay the loan prior to the specified date. M Margin amount a lender to quoted index rate for the adjustable rate loan to the new interest rate. Maturity "Due Date" of the loan. 10/25/2004 - |
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