Rate Lock -
A commitment issued by a lender to a borrower or other mortgage originator guaranteeing a specified interest rate for a specified period of time at a specific cost.
Real Estate -
A portion of the earth's surface extending downward to the center to the earth and upward into space, including all things permanently attached thereto by nature or man and all legal rights therein.
Real Estate Agent -
A person licensed to negotiate and transact the sale of real estate.
Real Estate Settlement Procedures Act (RESPA) -
An act requiring the revelation of all costs involved in a real estate closing to all participants.
Real property -
See real estate.
A real estate agent, broker, or associate that holds an active membership in a local real estate board that is affiliated with the National Association of Realtors.
To redesign an existing loan balance into a new loan for the same period or longer, to reduce payments and help a distressed borrower.
Determining the final estimate of value by weighing the results of the various approaches in an appraisal.
Reconveyance Clause -
The clause in a trust deed that gives the title back to the borrower when the loan is paid in full.
The formal filing of documents affecting a property's title.
Regulation Z -
A truth-in-lending provision that requires lenders to reveal the actual costs of borrowing.
The process of paying off one loan with the proceeds from a new loan, using the same property as security.
Rent-loss insurance -
Insurance that protects a landlord against loss of rent or rental value due to fire or other casualty, resulting in the tenant being excused from paying rent.
Repayment Plan -
An agreement between a lender and a delinquent borrower regarding mortgage payments, in which the borrower agrees to make additional payments to pay down past due amounts while still making scheduled payments.
Residual Qualifying -
Under a VA loan, using specified housing expenses to qualify for a loan payment.
Rules imposed on the use of real estate in an effort to preserve property values.
Reverse annuity mortgage (RAM) -
A system developed for an elderly property owner in which regular monthly payments can be received from a lender. When the total reaches a pre-determined amount, the owner begins repaying the loan or sells the property.
Revolving Debt -
A credit arrangement that allows a customer to borrow against a pre-approved line of credit used to purchase goods and services. The borrower is responsible for the actual amount borrowed plus any interest due.
Right-of-First Refusal -
A provision that states that a property to be first offered to a specific person before it can be offered for sale or lease to other parties.
Rollover Loan -
A loan that /includes a call date earlier than its normal amortization period.
Rule of 78 -
Calculates proportionate amount of interest due on a loan being paid in full before its maturity.