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Definition
| A debt secured by reaL estate for which the holder's sole source of recovery of amounts owed is the value of the property securing the debt. No money judgement permitted for a deficiency in the value of the secured property on foreclosure or short payoff. |
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Definition
| An asset backed security representing a claim on the cash flows received on a mortgage loan. |
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Definition
| Occurs when monthly installment payments are insufficient to pay the interest accruing on the principal balance, so that the upaid interest must be added to the principal due. |
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Definition
| The notice filed to begin the nonjudicial foreclosure process. Generally, the NOD is filed after three payments or more months of delinquent payments. |
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Term
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Definition
| Nonrecourse mortgage financing created when a lender provides purchase assist financing to fund the purchase of a buyer occupied 1-4 unit residential property or a seller carries back financing on the sale of property which is the sole security for repayment. |
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Definition
| A component of the Truth in Lending Act requiring lenders to timely disclose a loan's annual percentage rate and all associatied costs to potential borrowers, enabling borrowers to competitively shop for loans. |
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Definition
| Legistlation prohibiting brokers or their agents from giving or accepting referral fees. |
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Definition
| A homebuyer's ability to purchase property funded by mortgage money based on 31% of their gross monthly income for mortgage payments and current interest rates. |
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Definition
| A financial arrangement where at the time of sale the seller retains occupancy by concurrently agreeing to lease the property from the purchaser. The seller receives cash while the buyer is assured a tenant and a fixed return on buyer's investment. |
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Term
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Definition
| A property owner or junior lienholder's right to cure any monetary default on a mortgage prior to five business days before the trustee's sale by paying the delinquent ammounts due on the note and trust deed, plus foreclosure charges. |
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Term
| SHARED APPRECIATION MORTGAGE |
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Definition
| A type of split rate note calling for the buyer to periodically pay interim interest at a fixed rate, and when the balance is due, to further pay the holder of the note as additional interest an agreed fraction of the property's increased value. |
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Term
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Definition
| A sale in which the lender accepts the net proceeds at closing in full satisfaction of a greater amount of mortgage debt. |
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