Installment plan for
buying a house. It is used as an
alternative to obtaining a loan from a
traditional, source such as a mortgage
banker or savings and loan.
A penalty for failure to
pay an installment on time.
with Option to Purchase
under which the lessee has the right
to purchase the property. The option
may run for the length of the lease or
only for a portion of the lease
An expanded and
unique description of a property that
is used on legal documents, such as
deeds and deeds of trust. Recorded
documents generally require a legal
A general term encompassing all
mortgages,, and beneficiaries under
deeds of trust.
A document that
lenders prepare for the closing agent
that outlines the requirements for
A formal method of
stating that a prospective developer,
buyer or lessee is interested in
An encumbrance against property
for for the payment of debt; a lien
may be a mechanic's lien, mortgage,
unpaid taxes or judgment.
An estate in real property
for the life of a living person. The
estate then reverts back to the
grantor or to a third party.
consisting of one or more general
partners who conduct the business and
are responsible for losses, and one or
more special partners, who contributes
capital and are liable only to the
A notice that litigation
is pending on a property.
Agreement between a
property owner and a real estate
owner, authorizing the broker to find
a buyer for the property. If the sale
is consummated, the listing broker
will be paid a fee.
borrowers pay (sometimes seller will
pay for borrower) that adjust to the
yield requirement of the investor.
Loan discount denotes an investor
yield requirement higher than the note
rate. Loan premium denotes an investor
yield requirement lower than the note
Guarantee from a lender that
a borrower will receive the interest
rate in effect at the time of loan
A person that helps
borrowers through the loan selection,
processing and closing of a mortgage
loan. Loan officers can be paid a
commission or salary for their
services and can work for mortgage
brokers, mortgage bankers, or
The cost to
obtain a loan that is paid to the
originating lender or broker.
The information regarding
a borrower and property necessary
which is the basis for a lender's
credit decision to extend or deny
The amount of a loan to the
value or selling price of real
The function of
collecting loan payments, managing the
property tax and insurance escrows,
foreclosing on defaulted loans and
remitting payments to the
The ratio of the mortgage
loan amount to the property's
appraised value or selling price,
whichever is less.