Mortgage terminology

Featured resources

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6-minute read

What does assessed value mean and how is it determined?

The assessed value of a home helps determine its worth for property tax purposes. Discover how a home’s value gets assessed and why this matters.

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6-minute read

What is a conventional loan?

Conventional loans are a traditional mortgage option. Learn what a conventional home loan is, how it works and common lender requirements in our guide.

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6-minute read

What is Fannie Mae's Community Seconds Program?

Need a little extra help covering your down payment or closing costs? A program like Fannie Mae's Community Seconds might be able to help.

Couple smiling and eating pizza on floor of new home surrounded by unopened boxes.

9-minute read

Buydown: A way to reduce interest rates

Buydowns are methods used by buyers and sellers to lower interest rates in the early years of a new mortgage. Find out if a buydown is right for you.

A young couple inspecting a house, potentially considering it for purchase.

4-minute read

How does a mortgage contingency work?

A mortgage contingency is a clause that sets up certain conditions for a real estate transaction. Learn how this can protect both home buyers and home.

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7-minute read

Mortgage recasting: What you should know before you reamortize

A mortgage recast is when you make a lump-sum payment toward your principal balance to reduce your monthly payments. Learn how mortgage recasting works.

A beautiful house near woods, portraying a serene setting with nature in the background.

6-minute read

Appraised value vs. market value: Knowing the difference

Knowing the difference between appraised value vs. market value is key when purchasing a home. Learn more about the role each plays in real estate transactio...

6-minute read

The appraisal waiver: What home buyers should know

Some buyers are able to skip the appraisal process when purchasing their home. Learn more about appraisal waivers and their benefits with our complete guide.

A man working on a desktop computer, potentially managing finances or researching mortgage-related information.

4-minute read

What is a desktop appraisal and how does it work?

A desktop appraisal is a property valuation that is completed remotely by a professional appraiser. Find out whether a desktop appraisal is right for you.

A woman on the phone reviewing a document, potentially related to financial or property matters.

3-minute read

What is an abstract of title in real estate

An abstract of title shows all legal documentation associated with a property. Learn why an abstract of title is important in real estate.

A woman standing in front of a window, engrossed in her phone.

6-minute read

What are mortgage points and should you buy them?

A mortgage point is a fee you pay to help lower the interest rate on a mortgage. Using this guide, learn more about discount points and how they work.

A man speaking to a financial advisor, potentially discussing financial planning related to real estate or homeownership.

5-minute read

What is correspondent lending?

Correspondent lending happens when a lender originates and funds a mortgage, but then sells it. Read more about correspondent lending and how it works.

An image showing balcony of a house with a green view suggesting good real estate investment.

6-minute read

Everything you need to know about loan estimates or 'good faith estimates'

A Loan Estimate lists the key details of a mortgage, like closing costs and interest rates. Find out what other critical loan terms and costs are in the form...

A red brick colonial home in fall, depicting a colonial-style house in an autumnal setting.

4-minute read

What is a warranty deed?

When you buy a home, you want to be sure that no one but you and your lender hold claim to the property. Find out how a warranty deed protects you.

A picturesque home with a spacious front yard, showcasing its beauty and inviting ambiance.

4-minute read

What is the alienation clause in real estate and how does it work?

The alienation clause, or due-on-sale clause, requires all mortgage payments be made at the time of sale. Learn how it impacts borrowers and real estate.

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5-minute read

What is an appraisal contingency and when should I use it?

An appraisal contingency can give home buyers peace of mind about a home's purchase price. Learn how appraisal contingencies work and when to use one.

A man carefully reviewing documents related to real estate or financial matters.

5-minute read

How much does title insurance cost? Estimates, requirements and savings tips

How much does title insurance cost? It varies, but the cost is generally 0.5% – 1% of the home’s sale price. Learn more about the cost of title i...

A man working on multiple computers simultaneously, indicating multitasking or tech-related work.

3-minute read

What is an automated valuation model (AVM)?

An automated valuation model (AVM) is a data-based tool real estate sites use to offer estimated property value on searched properties. Explore how it works....