Mortgage
Terms Defined T-Z
Basic
Terms Used for Mortgages
Terms: A-F
G-M
N-S
T-Z
Loans
may involve other terms. In the event you don't
understand some of these terms, ask for help from
your lender or attorney.
T | U | V
| W | X | Y
| Z
Tax Lien
Lien for nonpayment of taxes
Tax Sale
The consequence when taxes are not
paid for. The property is put on auction by the
government for public sale.
Teaser Rate
A mortgage with a low starting interest
rate normally used to attract prospective borrowers.
Tenancy for Years
The amount of time a lease is enacted
for (8 months, 3 years, etc.).
Tenancy in Common
Two or more people sharing the same
residency and share the same belief of survivorship.
In this case, if one of the residents shall decease
the major beneficiary of the deceased person will
inherit the ownership of the residency.
Tenancy in Severalty
A single owner of the property.
Time Share
Usually used in vacation properties.
Ownership of the property is usually by a group
of people and only for a specified interval in the
lease.
Title
Evidence of ownership. Showing the
owner of the property and that they are in lawful
possession.
Title Insurance
A policy usually for the buyer and
the lender. The insurance policy is created as protection
from loss and damage caused by problems in the title.
Title Report
A document containing all information
pertaining to the title's condition. The information
included on this document is: mortgages, liens,
easements, covenants, restrictions, and other problems
that may be seen.
Title Search
A search conducted to conclude the
ownership of property.
Town House
Homes that are generally of the two
story nature and attached side-by-side to one another.
Commonly found in planned unit developments (PUDs).
Tract
Land that is subdivided for the use
of a development or other needs.
Transfer Tax
After the sale of property taxes are
taken out and divided between the state, county,
city, and other government agencies.
Truth in Lending
Federal Regulation Z defines truth
in lending.
Underwriting
A background check given to a future
loaner based on the criteria of assets, credit,
income, employment, etc. of a potential borrower.
Unencumbered Property
Real estate with a free and clear
title.
Unimproved Property
Undeveloped land.
Unrecorded Deed
A transfer of title from one party
to another without recording.
Vacation Home
Second home.
VA Loan (U.S. Veterans Administration)
Allows veterans to receive a loan
without putting money down and is guaranteed by
the U.S. Veterans Administration.
Variable Rate Mortgage
Adjustable Rate Mortgage
Verification of Deposit (VOD)
Verification of account balance and
history. This information must be verified through
the borrower's bank.
Verification of Employment
Verification that a borrower is employed.
The documents states the starting date, job title,
salary, and probability of future employment.
Waiver
The voluntary surrender of responsibility
or privilege.
Warranty Deed
A deed to property containing a warranty
of a clear marketable title.
Wraparound Mortgage
The addition of a new loan to the
already existing loan.
Zero Lot Line
A group of homes where the individual
unit is a separate lot but the homes are attached
to another (town homes).
Zoning
Areas in which are categorized as
either residential, commercial, or agricultural.
The zoning areas are usually monitored by the city
or county.
