The period that elapses between the adjustment dates for an adjustable-rate mortgage (ARM).

The fee charged by the lender to the borrower for applying for a loan.

An increase in the value of a house due to changes in market conditions or other causes.

A refinance transaction in which the amount of money received from the new loan exceeds the total of the money needed to repay the existing first mortgage, closing costs, points, and the amount required to satisfy any outstanding subordinate mortgage liens.

A sharing of insurance risk between the insurer and the insured. Coinsurance depends on the relationship between the amount of the policy and a specified percentage of the actual value of the property insured at the time of the loss.

An asset (such as a car or a home) that guarantees the repayment of a loan. The borrower risks losing the asset if the loan is not repaid according to the terms of the loan contract.

Money paid to a real estate agent or broker by the seller as compensation for finding a buyer and completing the sale.

An unwritten body of law based on general custom in England and used to an extent in the United States.

A report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness.

An obstruction, building, or part of a building that intrudes beyond a legal boundary onto neighboring private or public land, or a building extending beyond the building line.

The difference between the market value of a property and the homeowner's outstanding mortgage balance.

A loan based on the borrower's equity in his or her home. Prior to closing; also, an account held by the lender into which a homeowner pays money for taxes and insurance.

The account in which a mortgage servicer holds the borrower's escrow payments prior to paying property expenses.

The portion of a mortgagor's monthly payment that is held by the servicer to pay for taxes, hazard insurance, mortgage insurance, lease payments, and other items as they become due.

The lawful expulsion of an occupant from real property.

The report on the title of a property from the public records or an abstract of the title.

A person named in a will to administer an estate

An offeree’s consent to enter into a contract and be bound by the terms of the offer.

A payment by a borrower of more than the scheduled principal amount due in order to reduce the remaining balance on the loan.

Any mortgage that does not have a fixed interest rate and a fixed payment for the term of the loan, or does not amortize to zero at the end of the set term, when required payments are made on time.

A mortgage in which the interest rate is adjusted periodically according to the movement in a pre-selected index.

Known by various names, such as contract of purchase, purchase agreement, or sales agreement according to location or jurisdiction. A contract in which a seller agrees to sell and a buyer agrees to buy, under certain specific terms and conditions spelled out in writing and signed by both parties.

A feature of real property that enhances its attractiveness and increases the occupant’s or user’s satisfaction although the feature is not essential to the property’s use. Natural amenities include a pleasant or desirable location near water, scenic views of the surrounding area, etc. Human-made amenities include swimming pools, tennis courts, community buildings, and other recreational facilities.

A payment plan, which enables the borrower to reduce his debt gradually through monthly payments of principal.

Reduce a debt by regular payments of both principal and interest.