A mortgage plan where half the scheduled monthly payment is made twice a month. This plan is not to be confused with a bi-weekly plan where half the scheduled…

A mortgage payment plan where payments are made every two weeks, as opposed to the more traditional monthly payment plan. Making mortgage payments every…

A real estate investing term that refers to someone who spends their time trying to locate properties with substantial investment potential. Usually…

A mortgage with principal and interest payments due every two weeks. A biweekly mortgage adds up to 26 payments per year, two payments more than a mortgage…

A single policy on an insured property that covers more than one type of property at the same location, the same kind of property at more than one location…

A mortgage which covers two or more pieces of real estate. The real estate is held as collateral on the mortgage, but the individual pieces of the real…

1. An interest rate charged on a loan, which is in between a previous rate and the new rate. Blended rates are usually offered through the refinancing…

The estimated value of a property as determined by a real estate broker or other qualified individual or firm. A broker price opinion is based on the…

A business whose main responsibility is to be an intermediary that puts buyers and sellers together in order to facilitate a transaction. Brokerage companies…

An insurance policy that covers residential and commercial structures while they are under construction or being remodeled or renovated. Covered building…

The document that details the provisions of a type of business insurance policy designed to cover direct physical damage or loss to a covered commercial…

A type of escrow agreement placed on the sale of inventory, business assets or an entire company. The escrow serves to protect the interests of unsecured…

1) A one-time lump-sum repayment of an outstanding loan, typically made by the borrower after very little, if any, amortization of the loan. This can…

Any loan that requires a balloon payment at the end of the term and anticipates that the loan will be refinanced in order to meet the balloon payment…

A one-story house, cottage or cabin. Bungalows are generally small in terms of square footage, but it is not uncommon to see very large bungalows. Bungalows…

A period of slowing mortgage prepayment within a mortgage backed security (MBS). This usually occurs after the mortgages start to mature. When some percentage…

A mortgage-financing technique with which the buyer attempts to obtain a lower interest rate for at least the first few years of the mortgage, but possibly…

A division of the Government of Canada that acts as Canada's national housing agency. The CMHC's mandate is to help Canadians access a variety of affordable…

The cost involved for adding new assets or bettering existing assets within a business. Capital additions can take the form of adding new parts that could…

The addition of a permanent structural improvement or the restoration of some aspect of a property that will either enhance the property''''s overall…

A rate of return on a real estate investment property based on the expected income that the property will generate. Capitalization rate is used to estimate…

A rate of return often used in real estate transactions. The calculation determines the cash income on the cash invested. Calculated as: For example…

A mortgage refinancing transaction in which the new mortgage amount is greater than the existing mortgage amount, plus loan settlement costs. The purpose…

The 12-month average of the most recently published dealer bid rates (yields) on nationally traded three-month certificates of deposit as reported in…

A term used when describing a mobile or manufactured home mortgage. Specifically when the home is not financed with the land. These homes are commonly…

1. The end of a trading session. The closing price is quoted in the newspaper. 2. The final procedure in a home sale in which documents are signed and…

A loan or extension of credit in which the proceeds are dispersed in full when the loan closes and must be repaid, including any interest and finance…

A document commonly used in real estate transactions, detailing the fees, commissions, insurance, etc. that must be transacted for a successful transfer…

Any document, claim, unreleased lien or encumbrance that might invalidate or impair the title to real property or make the title doubtful. Clouds on title…

A mortgage plan in which a borrower's mortgage is structured like a checking account, where paychecks are deposited directly into the mortgage account…

Any additional borrower(s) whose name(s) appear on loan documents and whose income and credit history are used to qualify for the loan. Under this arrangement…

Properties or assets that are offered to secure a loan or other credit. Collateral becomes subject to seizure on default. Collateral is a form of security…

The act where a borrower pledges an asset as recourse to the lender in the event that the borrower defaults on the initial loan. Collateralization of…

A type of mortgage-backed security that creates separate pools of pass-through rates for different classes of bondholders with varying maturities, called…

1. A transaction consisting of two separate loans for the same borrower by the same lender. The initial loan is used to finance the construction of a…

A ratio used by lenders to determine the risk of default by prospective homebuyers when more than one loan is used. In general, lenders are willing to…

A type of mortgage-backed security that is secured by the loan on a commercial property. A CMBS can provide liquidity to real estate investors and to…

Property that is solely used for business purposes. Examples are malls, industrial parks, gas stations, convenience stores and office towers.

A resource, such as water or pasture, that provides users with tangible benefits. A major concern with common resources is overuse, especially when there…

An act of Congress enacted in 1977 with the intention of encouraging depository institutions to help meet the credit needs of surrounding communities…

A valuation technique in which a recently sold asset is used to determine the value of a similar asset. This technique is often used in real estate to…

A large property complex that is divided into individual units and sold. Ownership usually includes a non-exclusive interest in certain "common properties…

A condominium project that is operated as a hotel with a registration desk, cleaning service and more. The units are individually owned. Unit owners also…

The limit on the size of a mortgage which Fannie Mae and Freddie Mac will purchase and/or guarantee. The conforming loan limit is set annually by Fannie…

A loan borrowed to finance the construction of a home and typically only interest is paid during the construction period. Once the construction is over…

An economic indicator that measures the amount of spending towards new construction. Released monthly by the U.S. Department of Commerce's Census Bureau…

A real estate term that refers to the contribution a particular component has to the value of the whole property. For example, the pool in the backyard…

A type of mortgage in which the underlying terms and conditions meet the funding criteria of Fannie Mae and Freddie Mac. About 35-50% of mortgages, depending…

A clause associated with some adjustable-rate mortgages that allows the borrower to convert the variable interest rate to a fixed rate within a certain…