Secondary Financing
Same as term junior mortgage: Mortgage placed on a property after a previous mortgage. It can be a second, third, etc. mortgage. A junior mortgage is subordinate to the terms of a previous mortgage. Junior mortgages usually require a premium interest rate. For example, John, buys a home for $175,000 and obtain a $100,000 first mortgage. In order to enable him to complete the financing for the property, he obtains a $40,000 junior mortgage requiring a $35,000 cash down payment.
Popular Real Estate Terms
Geographic location that is gradually being developed as an urban area. ...
Individual or business to which all rights (usually intangile) to property have been transferred. ...
The definition of a bedroom community, or commuter town in real estate is a unique type of community that merely uses their homes to sleep, while doing everything else offsite. In a bedroom ...
Building with large unpartitioned floors areas often used for storage. ...
In a construction loan, payments made to a contractor as the various construction stages are completed. The contractor uses progress payments to pay the various subcontractors and suppliers ...
An interest rate charged on a loan that exceeds the legal maximum interest rate within the state. It is illegal to do so. The maximum interest rate may depend on the type of lender and ...
Person's sole ownership of real property. ...
A certificate of ownership in a real estate company. Pledged assets for a borrowing. An example is an office building serving as collateral for the mortgage. Way of protecting property ...
A method widely used for evaluating real estate projects. Under the net present value method, the present value (PV) of all cash inflows from the project is compared against the initial ...
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