Card Set Information

2014-02-14 15:53:12
Show Answers:

  1. amortization schedule
    A table showing the mortgage payment broken down by interest and tax and insurance payments if made by lender
  2. application
    a request for a loan from potential borrower, refers to the 1003 which borrower is obliged to fill out
  3. appraiser
    a professional with knowledge of real estate markets.. appraiser picked by lender payed by borrower.
  4. APR
    Annual percentage Rate .. must be reported to lenders under truth in lending regulations. it is a measure of credit cost to the borrower that takes account of the IR
  5. balance
    the amount of the original loan remaining to be paid. it is equal to the loan amount less the sum of all prior payments of principal.
  6. blanket loan
    a single mortgage covering several structures on one parcel of land. usually structures are occupied by different family members,blanket mortgage are difficult to obtain.
  7. bridge loan
    a short term loan ussually from a bank. "bridges" the period between the closing date of a home purchase and the closing date. unsecured are available if the borrower has a firm contract to sell the existing house.
  8. conventional mortgage
    a home mortgage that is neither FHA insured of VA guaranteed
  9. correspondent
    a lender who delivers loans to a wholesale lender against prior price commitments the wholesaler has made to the correspondent. the commitment protects the correspondent against pipeline risk
  10. conversion option t
    the option to vonber an ARM to a FRM at some point during its life. THese loans are likely to carry a higher rate or points than ARMs that do not have options
  11. COSI
    cost of savings index. on of many interest rate indexes used to determine interest rate adjustments on an adjustable rate mortgage