Subordination Policy
The policy of a second mortgage lender toward allowing a borrower to refinance the first mortgage while leaving the second in place.
Popular Mortgage Terms
Limit on the size of payment change on an adjustable rate mortgage. ...
The option to convert an ARM to an FRM at some point during its life. ...
Allowing the interest rate and points to vary with changes in market conditions, as opposed to 'locking' them. Floating may be mandatory until the lender's lock requirements have been met. ...
Same as term Interest Rate: The rate charged the borrower each period for the loan of money, by custom quoted on an annual basis. A mortgage interest rate is a rate on a loan secured by a ...
A rate lock, plus an option to reduce the rate if market interest rates decline during the lock period. ...
A term that small lenders sometimes use to distinguish themselves from mortgage brokers. ...
Markets in which mortgages or mortgage-backed securities are bought and sold. 'Whole Loan' Markets Versus Securities Markets: Secondary mortgage markets are of two general types. 'Whole ...
A very large increase in the payment on an ARM that may surprise the borrower. The term is also used to refer to a large difference between the rent being paid by a first-time home buyer ...
A lender commitment to make a mortgage loan to a specified borrower, prior to the identification of the property that will be mortgaged. On a pre-approval, unlike a pre-qualification, the ...
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