| Abstract
of title A written history of the title transaction
or conditions bearing on the title to a specific piece of real
property. Accrued
interest The interest earned for the period of time
that has elapsed since interest was last paid.
Adjustable
rate mortgage (ARM) A loan in which the interest
rate adjusts periodically according to a predetermined index
and margin resulting in increased or decreased loan payments.
Also called a variable rate loan.
Affidavit
A statement or declaration reduced to writing and
sworn to or affirmed before some officer who has authority
to administer an oath or affirmation.
Amortization
Repayment of a debt in equal installments of principal and
interest, calculated to pay off the loan by the maturity date.
Annual
percentage rate (APR) The effective rate of interest
on a loan per year including interest at the note rate and
the total finance charges. Regulation Z, the Truth-in-Lending
law, requires APR disclosure.
Appraisal
A report by a qualified person giving an opinion or estimate
of property value.
Appreciation
An increase in value; the opposite of depreciation.
Assessed
valuation The value that a taxing authority places
on real property that becomes the base for computing local
property taxes.
Assignment
A transfer or making over to another of the whole
of any property, real or personal, or of any estate or right
therein. To assign to, transfer, or make over to another.
Assumption
Agreement by a buyer to assume the liability under an existing
note secured by a mortgage or deed of trust. The lender usually
must approve the new borrower in order to release the existing
borrower from liability. |
