Creative Financing

Determines the ability of soil to absorb and draw down water. A percolation test is essential to determine the location of a drainage field for waste disposal. ...

An amount of money provided for in a contract as compensation if the contract is not fulfilled. An example is an offer to buy real property that includes a provision that once the seller ...

Potential customer or client in which there is a realistic chance of making the sale for the product or service. An example is a prospective purchaser of real estate that the real estate ...

(1) Method of measurement lumber using the board foot cubic measure. The board measure is used to estimate quantities and prices of lumber materials. (2) Method of estimating lumber ...

Buying real property subject to risk. For the high risk undertaken, the expected return is higher. The investor may lose all of part of the initial investment. ...

Net return rate earned on an equity investment in real estate after deducing any interest costs and taxes. ...

Highly subjective term, usually an expression of monetary worth applied to a particular piece of real estate property. ...

Records maintained as evidence of ownership of the home and any of its contents. ...

An opinion of a properties fair market value, based on an appraisers inspection and analysis of the property. ...

A treasury index is an index used to determine interest-rate changes for certain adjustable-rate mortgages (ARMs). This index is based on the results of auctions the U.S. Treasury holds for ...

A rate lock is a commitment issued by a lender to a homebuyer or to the mortgage broker guaranteeing a specific interest rate for a specified amount of time. ...

If you plan to stay forever in a certain place, buying is better than renting. Banks and mortgage brokers offer such a huge variety of loans that it is almost impossible not to find ...

If you truly want to purchase that property, the only ethical thing to do is to purchase it through that REALTOR. Otherwise, you could set up potential conflicts between your previous ...

A housing ratio is the percentage of your housing payment (principal, interest, taxes, and insurance) to your monthly gross income. Lenders use this ratio to qualify you for a loan. ...

It’s not hard to figure out why a property has a high market value, especially if you have the qualities of a real estate investor. But what happens to the properties that sell for ...

A qualifying ratio is the percentages a lender compares to see whether you qualify for a loan. ...