Sub-Prime Lender
Definition of "Sub-Prime Lender"
A lender who specializes in lending to sub-prime borrowers.
Popular Mortgage Terms
A second mortgage on a property that is not paid off when the first mortgage is refinanced. The second mortgage lender must allow subordination of the second to the new first mortgage. ...
An independent contractor who offers the loan products of multiple lenders, called wholesalers. Mortgage brokers do not lend. They counsel borrowers on any problems involved in qualifying ...
Equations used to derive common measures used in the mortgage market, such as monthly payment, balance, and APR. ...
A borrower who must use tax returns to document income rather than information provided by an employer. ...
A contract provision that adjusts the payment on an ARM periodically to make it fully amortizing. ...
A documentation requirement where the applicant's income is not disclosed. ...
A document that evidences a debt and a promise to repay. A mortgage loan transaction always includes a note evidencing the debt, and a mortgage evidencing the lien on the property. ...
The interest rate used to calculate the mortgage payment. The interest rate and the payment rate are often the same, but they need not be. They must be the same if the payment is fully ...
The party advancing money to a borrower at the closing table in exchange for a note evidencing the borrowers debt and obligation to repay. Retail, Wholesale, and Correspondent Lenders: ...
Have a question or comment?
We're here to help.