Renegotiate Rate Mortgage (RRM)
Definition of "Renegotiate rate mortgage (RRM)"
Also called a rollover mortgage. Provides a borrower with a fixed-rate mortgage that expires at a preestablished time, such as in four years. This permits the lender and borrower to renegotiate the mortgage rate periodically. The balance of the mortgage comes due in a balloon payment, but can be refinanced at 'going' interest rate. This type of mortgage helps the lender avoid being the cost of money. Here, at intervals such as 3 to 5 years, the loan is renewed at the prevailing rate
Popular Real Estate Terms
member of the National Association of Real Estate Brokers, Inc. ...
Capability of a party to enter into a contract such as having the financial and physical resources as well as mental competency to meet contractual commitments. ...
A closed-end mortgage is a mortgage in which the collateralized property cannot be used as security for another loan. See also open-end mortgage for a better understanding of the ...
one having physical existence and a life exceeding one year. It is not kept for resale in the ordinary course of business. An example is a building. ...
Land parcel bounded by two intersecting roadways. ...
The method for splitting a commission between a registered real estate sales person and the sponsoring real estate broker, and between the listing broker and the selling broker, or any ...
the type and value of real estate improvements made as well as the use to which land is put. This is controlled by zoning as well as suitability. For example, in a prime commercial downtown ...
One that is legally binding because it is in conformity with legal requirements and conditions. ...
Professional certification granted by the Institute of Real Estate Management, an affiliate of the National Association of Realtors. ...
Have a question or comment?
We're here to help.