Real Estate Glossary

Any area of land contained within a single description.

The cement coat applied to block foundations.

A shared ownership in a piece of property. May be divided among two or more parties.

A payment of less than the regular monthly amount. Usually, a lender will not accept partial payments.

An association of two or more persons who have contracted to join in business and share the profits.

A wall generally erected on a property boundary or between two lots for the common benefit and use of the property owners on either side.

A conveyance of title to land by the Federal or State Government.

The limit on how much regular monthly payments on an Adjustable Rate Mortgage can change during one adjustment period.

The limit on how much the interest rate on an Adjustable Rate Mortgage can change during any one adjustment period.

Owned items which are not permanently affixed to the land.

Any property that is not designated by law as real property (i.e., money, goods, evidences of debt, rights of action, furniture, automobiles).

The primary domicile of a person or family.

A payment that combines Principal, Interest, Taxes, and Insurance.

A coordinated, real estate development where common areas are shared and maintained by an owner's association or other entity.

A plan or chart of a piece of land which lays out existing or planned streets, lots or other improvements.

A plan, map or chart of a tract or town site dividing a parcel of land into lots.

A percentage of a mortgage amount (one point = 1 percent).

A document by which one person (called the "principal") authorizes another person (called the "attorney-in-fact") to act for him/her in a specific manner in designated transactions.

The process of applying for a mortgage loan and becoming approved for a certain amount at a certain interest rate before a property has been chosen. Pre-approval allows the borrower greater freedom in negotiations with sellers.

Less formal that pre-approval, pre-qualification usually means a written statement from a loan officer indicating his or her opinion that the borrower will be able to become approved for a mortgage loan.

Any building or portion thereof which is manufactured and assembled off site, then erected on a property.

Payment made that reduces the principal balance of a loan before the due date and before the loan has become fully amortized.

A fee that may be charged to a borrower who pays off a loan before it is due.

The interest rate that banks and other lending institutions charge other banks or preferred customers.

The amount owed on a mortgage which does not include interest or other fees.

The outstanding balance of principal on a mortgage. Does not included interest due.

The most common constituents of a monthly mortgage payment.

A title term referring to the type of inspection made in connection with insuring a new construction loan. In making the inspection of the property, the title company must be assured that the work of improvement had not yet begun when the lender's deed of trust was recorded.

The order of preference, rank or position of the various liens and encumbrances affecting the title to a particular parcel of land. Usually, the date and time of recording determine the relative priority between documents.

A form of mortgage insurance provided by private, non-government entities. Normally required when the LOAN TO VALUE RATIO is less that 20%.

Any item which is owned or possessed.

Land owned by the government and belonging to the community at large.

The transcriptions in a recorder's office of instruments which have been recorded, including the indexes pertaining to them.

A written contract signed by the buyer and seller stating the terms and conditions under which a property will be sold.