Our Mortgages |
Compare Mortgage Rates |
Our Mortgage Rates |
 |
 |
 |
Glossary - B
| A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z |
Mortgage Brokers Glossary - B
- Balloon Mortgage:
- A mortgage which normally offers low rates for an initial period of time generally 5, 7, or 10 years; after that time period pass, the balance is payable or is refinanced by the borrower.
- Bankruptcy:
- A federal law whereby a person's property are turned over to a trustee and used to pay off exceptional debts; this generally occurs when someone have a loan from more than they have the ability to repay.
- Blend and Extend:
- A closed mortgage can often be "opened" for the purpose of extending the term. Most lenders will blend the penalty for breaking (usually an Interest Rate Differential) with the rate for the new extended term. The idea is to get a lower rate and protect against rate increases in the future.
- Borrower:
- A person who has been approved to get a loan and is then required to repay it and any additional fees according to the loan provisions.
- Building code:
- Based on approved upon safety standards within a particular area, a building code is an instruction which conclude the design, materials used, and construction in the building.
- Budget:
- Absolute records of all income earned and spend throughout an exact period of time.
- Buy-down:
- "Paying down" the mortgage rate by paying the lender a premium at time of funding. This is often used as a marketing feature by new home builders, particularly on high ratio second mortgages.
- Buyer's Agent:
- A Realtor who acts contractually on behalf of the buyer. Traditionally, and still in most cases, the Realtor is the Agent of the Sellers and is paid by them out of the proceeds of the sale. A Buyer's Agency Agreement allows a Realtor (with full disclosure to the sellers or their agent) to negotiate on behalf of the buyer, with no legal conflict of interest. The seller still pays the Buyer's Agent fees, but this is always spelled out and acknowledged in the Offer to Purchase.
