Rate
Lock -
A commitment issued by a lender to a borrower or other
mortgage originator guaranteeing a specified interest
rate for a specified period of time at a specific cost.
Real
Estate -
A portion of the earth's surface extending downward
to the center to the earth and upward into space, including
all things permanently attached thereto by nature or
man and all legal rights therein.
Real
Estate Agent -
A person licensed to negotiate and transact the sale
of real estate.
Real
Estate Settlement Procedures Act (RESPA) -
An act requiring the revelation of all costs involved
in a real estate closing to all participants.
Real
property -
See real estate.
Realtor
-
A real estate agent, broker, or associate that holds
an active membership in a local real estate board that
is affiliated with the National Association of Realtors.
Recast
-
To redesign an existing loan balance into a new loan
for the same period or longer, to reduce payments and
help a distressed borrower.
Reconciliation
-
Determining the final estimate of value by weighing
the results of the various approaches in an appraisal.
Reconveyance
Clause -
The clause in a trust deed that gives the title back
to the borrower when the loan is paid in full.
Recording
-
The formal filing of documents affecting a property's
title.
Regulation
Z -
A truth-in-lending provision that requires lenders to
reveal the actual costs of borrowing.
Refinancing
-
The process of paying off one loan with the proceeds
from a new loan, using the same property as security.
Rent-loss
insurance -
Insurance that protects a landlord against loss of rent
or rental value due to fire or other casualty, resulting
in the tenant being excused from paying rent.
Repayment
Plan -
An agreement between a lender and a delinquent borrower
regarding mortgage payments, in which the borrower agrees
to make additional payments to pay down past due amounts
while still making scheduled payments.
Residual
Qualifying -
Under a VA loan, using specified housing expenses to
qualify for a loan payment.
Restrictions
-
Rules imposed on the use of real estate in an effort
to preserve property values.
Reverse
annuity mortgage (RAM) -
A system developed for an elderly property owner in
which regular monthly payments can be received from
a lender. When the total reaches a pre-determined amount,
the owner begins repaying the loan or sells the property.
Revolving
Debt -
A credit arrangement that allows a customer to borrow
against a pre-approved line of credit used to purchase
goods and services. The borrower is responsible for
the actual amount borrowed plus any interest due.
Right-of-First
Refusal -
A provision that states that a property to be first
offered to a specific person before it can be offered
for sale or lease to other parties.
Rollover
Loan -
A loan that /includes a call date earlier than its normal
amortization period.
Rule
of 78 -
Calculates proportionate amount of interest due on a
loan being paid in full before its maturity.
