Mortgage

Mortgage

The business of lending money for the purchase of real property which is repayed in security interest.

Industry: Banking; Real estate

Add a new term

Contributors in Mortgage

Become a Contributors

Mortgage

fee simple

Banking; Mortgage

The greatest possible interest a person can have in real estate, including the right to dispose of the property or pass it on to one's heirs.

The estimated monthly payment due when the interest rate on an adjustable-rate mortgage is reset. After the initial fixed-rate period, the interest rate can increase or decrease annually according to ...

first mortgage

Banking; Mortgage

A real estate loan that has priority over any subsequently recorded mortgages.

fixed interest rate

Banking; Mortgage

An interest rate that does not change during the loan term.

gift letter

Banking; Mortgage

A written explanation signed by the individual giving the gift stating, "This is a bona fide gift, and there is no obligation expressed or implied to repay this sum at any time."

high-ratio loan

Banking; Mortgage

Mortgage loan with a loan- to-value higher than 80 percent. Calculated using the loan amount divided by the lower of the sales price or appraised value.