Glossary of terms used on this site
All
| Term | Definition |
|---|---|
| Annual Percentage Rate (APR) |
The cost of the loan expressed as a yearly rate on the balance of the loan. |
| Annuity |
The payment of a fixed sum to an investor at regular intervals. |
| Anticipatory breach |
A communication that informs a party that the obligations of the original contract will not be fulfilled. |
| Application |
A document that details a potential borrower's income, debt and other obligations to determine credit worthiness. |
| Application fee |
The fee that a lender charges to process a loan application. |
| Appraisal |
An opinion of the value of a property at a given point in time. |
| Appraisal fee |
The fee that an appraiser charges to estimate the market value of the property. |
| Appraisal report |
A detailed written report on the value of a property based on recent sales of comparable sites in the area. |
| Appraised value |
An opinion of the current market value of a property. |
| Appreciation |
An increase in the value of a home or other property. |
| Arbitration |
A method of resolving a dispute in which a third party renders a decision. |
| Arbor |
An area shaded by trees, shrubs or vines on a latticework structure. |
| Arch |
A curved structure that supports weight over an area, such as a doorway. |
| Architect |
A licensed professional who designs homes, buildings and other structures. |
| Architectural fees |
The fee an architect charges for services. In general, architects charge for their services by the hour, by the square foot, or by a percentage of the project budget. |
| Arpent |
A French measurement of land equal to .84625 acres. |
| As-is condition |
The purchase or sale of a property in its existing condition. |
| Asbestos |
A fire-resistant mineral used for insulation and home products that has been found to pose a health hazard. |
| Asking price |
A seller's initial price for a property. |
| Assessed value |
A tax assessor's determination of the value of a home in order to calculate a tax base. |
| Assessment |
The estimated value of a piece of real estate or a levy placed on property in addition to taxes. |
| Assessment rolls |
A list of taxable property compiled by the assessor. |
| Assets |
Items of value which include cash, real estate, securities and investments. |
| Assignor |
A person who transfers rights and interests of a property. |
| Assumable mortgage |
A mortgage that can be transferred to another borrower. |
| Assumption clause |
A provision that allows a buyer to take responsibility for the mortgage from a seller. |
| Assumption fee |
A fee the lender charges to process new records for a buyer who assumes an existing loan. |
| Average price |
The price of a home determined by totaling the sales prices of all houses sold in an area and dividing that number by the number of homes. |
| Avigation easement |
An easement over private property near an airport that limits the height of structures and trees. |
| Awning windows |
Single-sash windows that tilt outward and up. |
| Back fill |
Soil used to solidify the foundation of a structure. |
| Back title letter |
A letter that a title insurance company gives to an attorney who then examines the title for insurance purposes. |
| Back-to-back escrow |
Arrangements that an owner makes to oversee the sale of one property and the purchase of another at the same time. |
| Backup offer |
A secondary bid for a property that the seller will accept if the first offer fails. |
| Backwater valve |
A valve in a sewer line that prevents sewage from flowing back into a house. |
| Balance sheet |
A statement that shows the assets, liabilities and net worth of an individual. |
| Balloon loan |
A mortgage in which monthly installments are not large enough to repay the loan by the end of the term. As a result, the final payment due is the lump sum of the remaining principal. |
| Balloon payment |
The final lump sum payment due at the end of a balloon mortgage. |
| Balloon-frame construction |
A type of framing used in two-story homes in which studs extend from the ground to the ceiling of the second floor. |
| Balustrade |
Railing held up by a set of posts on a porch or stairway. |
| Bankruptcy |
A proceeding in which an insolvent debtor can obtain relief from payment of certain obligations. Bankruptcies remain on a credit record for seven years and can severely limit a person's ability to borrow. |
| Bargain sale |
The sale of a piece of property for less than market value. |
| Baseboard |
Any board or molding found at the bottom of an interior wall. |
| Baseboard electric heat |
Heating units installed in the floor that can be controlled by a central thermostat. |
| Basement |
The area of a home below ground level. |
| Basis Point |
A basis point is one one-hundredth of one percentage point. For example, the difference between a loan at 8.25 percent and a mortgage at 8.37 percent is 12 basis points. |
| Bay |
The opening between two columns or walls that forms a space. |
| Bay window |
A window that projects outward in a curve. |
| Bearing wall |
A wall that supports its own weight in addition to other parts of a structure. |
| Before-tax income |
Total income before taxes are deducted. |
