Budget Mortgage
Definition of "Budget mortgage"
Involves monthly payments for property taxes and insurance, besides principal and interest. The tax and insurance payments are put into an impound account. For a residential mortgage this means one-twelfth of the property taxes and property insurance each month. For the borrower, the advantage is the spreading out of these annual expenses into 12 equal payments. For the lender, who normally places these funds into an impound or reserve account, the advantage is the assurance that these expenses will be paid when due.
Popular Real Estate Terms
Assets owned by an individual as part of his or her estate except for land and everything attached to the land. Personal property may be either tangible, having physical substance such as ...
Retail businesses next to each other with common walls on each side and the same roof. ...
Number of range grassland acres needed to support one animal unit for a specified period of time or grazing season. ...
Charges incurred in making a sale of real estate such as real estate commissions and attorney fees. ...
Term used in the real estate industry describing the price requested by a property owner vs. the price a buyer is willing to pay. Bid is the highest price a purchaser is willing to pay ...
If you are a real estate investor and you come across this term, you might wind up wondering … What is the operating expense ratio? The operating expense ratio (OER) is a way for ...
Enhancement of a property's value even though the improvement is not on it. Lighting in the street would be an example. ...
Uniform charge for transportation and delivery of household items to a homeowner within a particular locality. ...
Falsify financial records and statements to misrepresent the financial position and operating results of the business. ...
Have a question or comment?
We're here to help.