QUESTIONS | TESTED AND PROVEN ANSWERS |
LATEST UPDATE 2024/2025 100% (GRADE A+)
Acceleration Clause
Ans>> The clause in a mortgage or deed of trust that can be enforced to make the entire debt
due immediately if the borrower defaults on an installment payment or other covenant. (Pay now)
Adjustable Rate Mortgage (ARM)
Ans>> a mortgage with an interest rate that increases or decreases during the life of the loan
adjustment date
Ans>> The date the interest rate changes on an adjustable-rate mortgage.
Amortization
Ans>> A method for computing equal periodic payments for an installment loan. (Paid within
certain range of time)
amortization schedule
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,Ans>> A table showing precisely how a loan will be repaid. It gives the required payment on
each payment date and a breakdown of the payment, showing how much is interest and how
much is repayment of principal.
Annual Percentage Rate (APR)
Ans>> Cost of borrowing money on an annual basis; takes into account the interest rate and
other related fees on a loan.
Application
Ans>> The form used to apply for a mortgage loan, containing information about a borrower'a
income, savings, assets, debts, and more.
Appraisal
Ans>> A written justification of the price paid for a property, primarily based on an analysis of
comparable sales of similar homes nearby.
appraised value
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,Ans>> An opinion of a property's fair market value, based on an appraiser's knowledge,
experience, and analysis of the property. Since an appraisal is based primarily on comparable
sales, and the most recent sale is the one on the property in question, the appraisal usually comes
out at the purchase price.
Appraiser
Ans>> An individual qualified by education, training, and experience to estimate the value of
real property and personal property. Although some appraisers work directly for mortgage
lenders, most are independent.
Appreciation
Ans>> increase in value over time
Assessed Value (AV)
Ans>> The valuation placed on property by a public tax assessor for purposes of taxation.
Assessment
Ans>> The placing of a value on property for the purpose of taxation.
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, Assessor
Ans>> A public official who establishes the value of a property for taxation purposes.
Asset
Ans>> item of value owned by a firm or an individual
Assignment
Ans>> When ownership of your mortgage is transferred from one company or individual to
another, it is called an assignment.
Assumable Mortgage
Ans>> A mortgage that can be assumed by the buyer when a home is sold. Usually, the
borrower must "qualify" in order to assume the loan.
assumption
Ans>> The term applied when a buyer assumes the seller's mortgage.
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