B - Dictionary

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Balloon Mortgage -
Behaves like a fixed-rate mortgage for a set number of years (usually five or seven) and then must be paid off in full in a single "balloon" payment. Balloon loans are popular with those expecting to sell or refinance their property within a definite period of time.

Balloon Payment -
The final lump sum that is paid at the end of the balloon mortgage.

Bankruptcy -
A tactic that individuals use to relieve themselves of debts and/or liabilities when they are no longer able to repay. The most common form of individual bankruptcy is a Chapter 7, when an individual frees himself from most of his/her debts. Borrowers who have undergone bankruptcy usually cannot qualify for "A" paper loans until after two years after declaration and a re-establishment of credit.

Best Faith Estimate -
An estimate of the total costs for securing a real estate loan, that is given to borrowers prior to closing.

Bill of Sale -
A written document that transfers a title to personal property.

Biweekly Mortgage -
Mortgage loan payments that requires a payment twice monthly, yielding thirteen payments per year instead of twelve. This significantly reduces the time a principal is paid off.

Blanket Mortgage -
A mortgage secured by the pledging of more than one property or collateral.

Book Value -
Acquisition costs less any accrued depreciation.

Broker -
An individual in the business of assisting in arranging funding or negotiating contracts for a client but who does not loan the money himself. Brokers usually charge a fee or receive a commission for their services.

Bridge Loan -
An equity loan secured to solve short-term financing problem.

Budget Mortgage -
A mortgage that includes a portion for taxes and insurance as well as principal and interest.

Buy down -
Allows loans to be made at less-than-market interest rates by paying front-end discounts. The interest rate is brought down for a temporary period, usually from one to three years. In order to acquire this discount, a lump sum is paid and held in an account used to supplement the borrower's monthly payment. After the discount period, the payment is calculated as the note rate.

  

    Fannie Mae
    Freddie Mac
   
Ginnie Mae
   
VA
   
FTC
   
FDIC
   
FRB
   
HUD
   
Complaints

 

Discussion Forum

Recent Posts -

Ads

Mortgage
Homeowners - get fast, easy & free online mortgage answers.
www.jc-capital.net


Lower Payments

Search MortgageSector for Low Rate Loans! Get Info & Apply online here.
www.mortgagesector.com


Save Online

Compare offers on interest on adjustable mortgages. Get Started now!
www.rateadvisors.net

 


By visiting Allie Mae you have taken your first step toward becoming an educated borrower. Allie Mae is an objective, independent source of information for the mortgage consumer. Whether you are buying a home, refinancing, taking a home equity loan, building a home or in need of a mortgage for any purpose, Allie Mae is here to help. Allie Mae has helped thousands of people with their mortgage needs. We have a complete selection of articles, charts, calculators, and checklists designed to help you through the mortgage and home buying process.

© 2004 Copyright AllieMae. All Rights Reserved.
Privacy Policy   Legal  Terms & Conditions   Webmaster   Site Map    Application
About   Contact Us   Forum   Dictionary   Calculators   Articles   Free Content