Mortgage Glossaryt
What is Tax impound?
Money paid to and held by a lender for annual tax payments. See Impound…
What is Tax lien?
Claim against a property for unpaid…
What is Tax sale?
Public sale of property by a government authority as a result of nonpayment of…
What is Term?
The number of years until a loan is due to be paid in…
What is Third-party Origination?
When a lender uses another party to completely or partially originate, process, underwrite, close, fund, or package the mortgages it plans to deliver to the secondary mortgage…
What is Title?
A document that gives evidence of ownership of a property, as well as rights of ownership and…
What is Title company?
A company that insures the title to a…
What is Title search?
Examination of municipal records to ensure that the seller is the legal owner of a property and that there are no liens other claims against the…
What is Total Expense Ratio?
Total obligations as a percentage of gross monthly income including monthly housing expenses plus other monthly…
What is Transfer tax?
Tax paid when a title passes from one owner to…
What is Treasury Index?
An index used to determine interest rate changes for certain adjustable-rate mortgage (ARM) plans. Based on the results of auctions that the U.S. Treasury holds for its Treasury bills and securities…
What is Trust account?
An account maintained by a broker or escrow company to handle all money collected for…
What is Trustee?
Someone given legal responsibility to hold property in the best interest of…
What is Truth-in-Lending?
A federal law that requires lenders to fully disclose, in writing, the terms and conditions of a mortgage, including the annual percentage rate (APR) and other…
What is Two-step Mortgage?
An adjustable-rate mortgage (ARM) with one interest rate for the first five or seven years of its mortgage term and a different interest rate for the remainder of the amortization…
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