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
Stature regulating the use of credit information. Allows consumers such as prospective homeowners access to their credit files. It requires a lender to explain how loan interest is ...
Principal highway designed to divert traffic around a major urban area in order to limit congestion and expedite traffic flow. A belt highway is connected to the urban area by main highways ...
lender who charges an exorbitant interest rate, which is typically illegal because it exceeds the interest rate allowed in the state. A borrower may go to a loan shark if he cannot obtain ...
Loan that allows the borrower to pay only the interest for the first few years of the loan. ...
List of architectural design items needing to be corrected and resolved prior to finalizing a building design. ...
Listing of all of the plats of subdivided plots in a jurisdiction showing the location, boundaries, and plat owners. A plat book normally shows other improvements including roads, blocks, ...
In the business world, the definition of override means a salesperson paying a commission to a supervisor or another agent. The meaning of override refers to an arrangement for acquitting ...
Contractual clause allowing one or both parties to terminate the agreement if a specified occurrence takes places. This is a cancellation clause, which allows the agreement to become null ...
Road or highway acting as a frontage boundary. ...
Have a question or comment?
We're here to help.