Mortgage and Real Estate Terms Sorted Alphabetically:
S – sales contract, satisfaction or mortgage, seasoned
mortgage, second mortgage…more
SALES CONTRACT - a written agreement between buyer
and seller, stating terms and conditions of a sale
or exchange of property.
SATISFACTION OF MORTGAGE - the recorded instrument
the lender provides, to evidence the full payment
of a mortgage debt.
SEASONED MORTGAGE - a mortgage on which payments
have been made regularly for a year or longer.
SECOND MORTGAGE (HOME EQUITY LOAN) - a mortgage loan
that has rights which are subordinate to a first,
or senior lien. ForTheBestRate.com works with lenders that offer
both fixed
rate second mortgages and home
equity lines of credit.
SECURED PARTY - an entity party holding a security
interest or lien, also called the mortgagee.
SECURITY INSTRUMENT - mortgage or deed of trust,
evidencing the pledge of real estate as collateral
for a loan.
SELF-EMPLOYMENT INCOME - the net earnings from your
business or profession, determined by subtracting
business expenses from gross tax return reported income.
For lending documentation purposes, if you didn't
pay taxes on it, you didn't earn it. Stated income
loans and no documentation mortgages are popular choices
to for self employed borrowers.
SELLER CONTRIBUTIONS - payment by the seller or any
other interested party of some or all of the purchaser's
usual closing costs. Investors and pmi insurers sometimes
limit the amount of seller contribution and require
lenders to adjust the property's value if contributions
exceed limitations. Undisclosed seller contributions
(such as decorating allowances, appliances or payment
of moving expenses) are made to borrowers outside
of closing, and are also subject to investor/lender
and insurer restrictions.
SENIOR MORTGAGE (LIEN) - a first mortgage or deed
of trust.
SETTLEMENT COSTS - money paid by borrower (and seller
if a purchase transaction) to effect the closing of
a mortgage loan, including payments for title insurance,
survey, attorney fees, and such prepaid items as taxes
and insurance escrow.
SITE DEVELOPMENT - all improvements made to a site,
such as clearing, grading and the installation of
public utilities, before the actual construction of
a building.
SITE VALUE - the value of land without improvements,
as if vacant.
SPECIAL ASSESSMENT DISTRICT - a governmental subdivision
with the power to tax and improve property within
its jurisdiction. Also called special improvement
district.
SPOT LOANS- single family residential real estate
mortgage loans solicited on an individual basis, rather
than through Realtor referrals, or otherwise.
SUBCONTRACTOR - a person or company contracted to
perform work for a developer or general contractor.
SUBDIVISION - improved or unimproved land divided
into a number of parcels for sale, lease, financing
or development.
SUBORDINATION - the act of a party acknowledging,
by a written record, that a debt is inferior to the
interest of another in the same property. Subordination
may also apply not only to mortgages but to leases,
real estate rights and any other types of debt instruments.
SURETY BOND - written evidence of a third party,
called the surety, that will be primarily liable for
a debt in the case of default.
SURVEY - a measurement of land, prepared by a registered
land surveyor, showing the location of the land with
reference to known points, its’ dimensions and
the location and dimensions of any improvements.
Mortgage Glossary - Mortgage and Real Estate Terms Sorted Alphabetically:
Mortgage
Glossary
A
- adjustable rate mortgage, adjustment interval, amortization,
annual percentage rate (APR) - more
B
- balloon mortgage, bankruptcy, basis point, beneficiary
- more
C
- caps, cash flow, cash out (second mortgage), cash
out refinance - more
D
- debt consolidation, debt service, debt reduction
plan, debt-to-income ratio - more
E
- earned and unearned income, earnest money, easement,
economic life - more
F
- Fair Credit Reporting Act, fair market value, Fannie
Mae - more
G
- good faith estimate, grace period, gradual payment
mortgage (GPM), grantee - more
H
- home equity, home improvement loan, Home Mortgage
Disclosure Act (HMDA) - more
I
- index, in file credit report, inflation, initial
interest rate, ingress and egress - more
L
- lender buy-down mortgage, liability insurance, LIBOR,
loan application - more
M
- manufactured home, market value, maximum loan amount,
mechanic's liens - more
N
- negative amortized (Neg/AM), Neg AM Loans, negative
cash flow, net worth - more
O
- obsolescence, off-site improvements, on-site improvements,
ordinary income - more
P
- par, partial payment, partnership, party wall, payment
shock - more
Q
- quality control, quit claim deed, quote - more
R
- rate shopper, real property, real estate loans,
reconciliation - more
S
- sales contract, satisfaction or mortgage, seasoned
mortgage, second mortgage - more
T
- tax lien, tenancy in common, tenant, term, title,
title insurance - more
U
- underwriting, unencumbered property, uniform commercial
code (UCC)ï -more
V
- VA (Department of Veterans Affairs) Mortgage, vacancy
rate, VA funding fee - more
