Glossary
T
Takeout Mortgage -
A permanent mortgage, obtained by pre-arrangement between a builder and a
financial institution, to repay the interim mortgagee at the completion of
construction.
Tax Lien -
A claim against real estate for the amount of its unpaid taxes.
Third-Party Origination -
A process by which a lender uses another party to completely or partially
originate, process, underwrite, close, fund, or package the mortgages it plans
to deliver to the secondary mortgage market.
Title -
A legal document showing a person's right to or ownership of a property.
Title Company -
A company that specializes in examining and insuring titles to real estate.
Title Insurance -
Title Insurance policies typically insure a homebuyer against any title-search
errors or mistakes, and against loss due to disputes over property ownership.
Title Insurance can additionally offer protection to the lender under similar
circumstances. The cost of title insurance is usually a set value per thousand of
dollars of the total loan amount.
Title Search -
A check of the title records to make sure that the seller is the actual legal owner
of the property, and that there are no liens or other claims outstanding.
Total Debt Ratio -
Monthly debt and housing payments divided by gross monthly income. Also
known as Back-End Ratio.
Transfer of Ownership -
The means by which the ownership of a property changes hands. Examples of
such include the purchase of a property "subject to" the mortgage, the
assumption of the mortgage debt by the property purchases, and any exchange
of possession of the property under a land sales contract or any other land trust
device.
Transfer Tax -
State or local tax payable when the title passes from one owner to another.
Truth-in-Lending Law -
Provision that requires lenders to reveal the actual costs of borrowing.
Two-Step Mortgage -
A loan where the interest rate is fixed for the first seven years and then is
adjusted one time for the balance of the loan period.
V
VA Loan -
A government-backed mortgage loan supported by the US Veterans
Administration.
Variable Rate Mortgage -
See Adjustable Rate Mortgage.
Vested -
Means that one has a right to use a portion of a fund, such as an individual's
retirement fund.
Z
Zero Percent Financing -
A loan with no interest in the contract. The IRS imputes 10 percent for both
borrower and lender.
Zoning -
The right of a community, under its police power, to dictate the use of property
within its boundaries.
Takeout Mortgage -
A permanent mortgage, obtained by pre-arrangement between a builder and a
financial institution, to repay the interim mortgagee at the completion of
construction.
Tax Lien -
A claim against real estate for the amount of its unpaid taxes.
Third-Party Origination -
A process by which a lender uses another party to completely or partially
originate, process, underwrite, close, fund, or package the mortgages it plans
to deliver to the secondary mortgage market.
Title -
A legal document showing a person's right to or ownership of a property.
Title Company -
A company that specializes in examining and insuring titles to real estate.
Title Insurance -
Title Insurance policies typically insure a homebuyer against any title-search
errors or mistakes, and against loss due to disputes over property ownership.
Title Insurance can additionally offer protection to the lender under similar
circumstances. The cost of title insurance is usually a set value per thousand of
dollars of the total loan amount.
Title Search -
A check of the title records to make sure that the seller is the actual legal owner
of the property, and that there are no liens or other claims outstanding.
Total Debt Ratio -
Monthly debt and housing payments divided by gross monthly income. Also
known as Back-End Ratio.
Transfer of Ownership -
The means by which the ownership of a property changes hands. Examples of
such include the purchase of a property "subject to" the mortgage, the
assumption of the mortgage debt by the property purchases, and any exchange
of possession of the property under a land sales contract or any other land trust
device.
Transfer Tax -
State or local tax payable when the title passes from one owner to another.
Truth-in-Lending Law -
Provision that requires lenders to reveal the actual costs of borrowing.
Two-Step Mortgage -
A loan where the interest rate is fixed for the first seven years and then is
adjusted one time for the balance of the loan period.
V
VA Loan -
A government-backed mortgage loan supported by the US Veterans
Administration.
Variable Rate Mortgage -
See Adjustable Rate Mortgage.
Vested -
Means that one has a right to use a portion of a fund, such as an individual's
retirement fund.
Z
Zero Percent Financing -
A loan with no interest in the contract. The IRS imputes 10 percent for both
borrower and lender.
Zoning -
The right of a community, under its police power, to dictate the use of property
within its boundaries.
 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| For additional questions please contact me at 281-650-7592 or via e-mail at kowens@closingjust4you.com |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |