To help you locate a term, enter the first character or two of a term and press the 'Refresh' button. Or, just click on the handy alphabetical index to jump to that section of the glossary.
| Fair Credit Reporting Act |
| A consumer protection law that regulates the disclosure of consumer credit reports byconsumer/credit reporting agencies and establishes procedures for correcting mistakes on one's credit record. |
| fair market value |
| The highest price that a buyer, willing but not compelled to buy, would pay, and the lowest a seller, willing but not compelled to sell, would accept. |
| Fannie 97® |
| A financing option for a fixed-rate mortgage that offers home buyers a 3 percent downpayment loan with either a 25- or 30-year term. The mortgage features a loan-to-value(LTV) percentage of 97 percent, and is designed to expand homeownership opportunities for people with modest incomes. Borrowers must take a pre-purchase home-buyer educationsession to qualify for a Fannie 97 mortgage. |
| Fannie Mae (FNMA) |
| Fannie Mae is a New York Stock Exchange company and the largest non-bank financial services company in the world. It operates pursuant to a federal charter and is the nation's largest source of financing for home mortgages. Over the past 30 years, Fannie Mae hasprovided nearly $2. 5 trillion of mortgage financing for over 30 million families |
| Fannie Mae's Community Home Buyer's ProgramSM |
| An income-based community lending model, under which mortgage insurers and Fannie Maeoffer flexible underwriting guidelines to increase a low- or moderate-income family's buyingpower and to decrease the total amount of cash needed to purchase a home. Borrowers who participate in this model are required to attend pre-purchase home-buyer educationsessions. |
| Federal Home Loan Mortgage Corporation (FHLMQ) |
| A quasi-governmental agency that purchases conventional mortgages in the secondary mortgage market from insured depository institutions and HUD approved mortgage bankers. It sells participation sales certificates secured by pools of conventional mortgage loans, their principal and interest guaranteed by the federal government through theFHLMC. It also sells Government National Mortgage Association bonds to raise funds to finance the purchase of mortgages. Popularly known as Freddie Mac. |
| Federal Housing Administration (FHA) |
| An agency of the U. S. Department of Housing and Urban Development (HUD). Its main activity is the insuring of residential mortgage loans made by private lenders. The FHA sets standards for construction and underwriting but does not lend money or plan or construct housing. |
| Federal National Mortgage Association (FNMA) |
| See Fannie Mae |
| fee simple |
| The most extensive interest in land that can be enjoyed. It is of perpetual duration. |
| Fees and Charges
Worksheets (htm) |
| Enter the fees and charges which should always be included or
always be excluded from a loan calculation. Use the Real Estate Loan Special
Exclusions tab to enter fees and charges which should be excluded from all
mortgages. Totals display at the beginning of the screen.
|
| FHA |
| A loan insured by the Federal Housing Administration (of HUD). |
| FHA mortgage |
| A government-backed mortgage loan supported by the US FHA and the Department of Housing and Urban Development (HUD). |
| final Inspection |
| Home inspection made by a lender, VA, FHA or the appraiser after a new home or repairs have been completed. |
| finance charge |
| The total dollar amount your loan will cost you. It includes all interest payments for the life of the loan, any interest paid at closing, your origination fee and any other charges paid to the lender and/or broker. |
| finder's fee |
| A fee or commission paid to a mortgage broker for finding a mortgage loan for a prospective borrower. |
| Finder's fee (htm) |
| Enter
the fee paid to someone who brings a borrower to a lender. If this fee is paid
by the borrower, it is always included in the finance charge.
|
| firm commitment |
| A lender's agreement to make a loan to a specific borrower on a specific property. |
| First and Last Pages
Only (htm) |
| Select to print only the first and last pages of the report.
|
| First Month to Skip (htm) |
| Select
the first month to skip from the drop-down list.
|
| first mortgage |
| A mortgage that is the primary (senior) lien against a property. |
| First Page (htm) |
| Click
to display the first page of the results.
|
| First Year Property Charges |
| The first year property charges (i.e. taxes, insurance, etc.). This variable is Homekeeper specific and has no effect if you are calculating a HECM. |
| fixed rate loan (or mortgage) |
| A loan on which the interest rate which stays constant for the entire term of the mortgage. |
| Fixed rate mortgage |
| A type of mortgage loan usually with 30 or 15 year loan terms where the interest rate remains constant throughout the life of the loan. The advantages of a fixed rate loan is your own security that the interest rate will not increase. The disadvantage of a fixed rate loan occurs when interest rates substantially decline below the interest rate of your loan. |
| fixture |
| Personal property that becomes real property when attached in a permanent manner to realestate. |
| Flex ARM Loan Type |
| A Flex ARM Loan combines the features of a Graduated Payment Loan and a Random Rate Loan. |
| float |
| Electing to not lock in the interest rate between the time of application and closing. |
| flood insurance |
| Insurance that compensates for physical property damage resulting from flooding. It is required for properties located in federally designated flood areas. It may not cover personal property. |
| floor |
| The rate below which the interest rate of an adjustable rate mortgage may not decline. |
| foreclosure |
| The legal process by which a borrower in default under a mortgage is deprived of his or her interest in the mortgaged property. This usually involves a forced sale of the property atpublic auction with the proceeds of the sale being applied to the mortgage debt. |
| forfeiture |
| The loss of money, property, rights, or privileges due to a breach of legal obligation. |
| From (htm) |
| Select to
print a range of pages.
|
| fully amortize |
| Reduce the balance of a loan to zero at term through regular payments of interest and principal. |
| fully amortized ARM |
| An adjustable-rate mortgage (ARM) with a monthly payment sufficient to amortize the remaining balance, at the interest accrual rate, over the amortization term. |
| fully Indexed Rate |
| The index plus the margin for an adjustable rate mortgage. |
| Fully Indexed Rate (htm) |
| Displays
the borrower's interest rate, calculated by adding the Current Index and the
Margin and rounded by default to the nearest 1/8. Use System Defaults to change
the rounding factor.
|
| funding fee |
| The fee paid and forwarded to the Veterans Administration to guarantee a VA home loan provided to a Veteran. |
| Future Value |
| Displays the future value of the account. |
| Future Value (htm) |
| Displays
the future value of the account.
|
| gem |
| See Growing Equity Mortgage |
| GEM (htm) |
| Select to
calculate a growing equity mortgage, where the borrower increases payment
amounts over a specified number of years.
|
| GEM Loan Screen (htm) |
| Enter
the terms for a growing equity mortgage, where the borrower increases payment
amounts over a specified number of years. You must enter the interest rate,
periods per year, term, loan amount, prepaids, advance date, date of first
payment, graduation rate, and graduation period or error messages display.
Click the Options and Variations button on the toolbar to
enter any variations.
|
| General Entries (htm) |
| Displays
multiple stream identification number(s). When there are more than two streams,
ZMath® modifies this number automatically according to the first principal
payment date.
|
| good faith estimate |
| A document provided at application that provides estimates for all charges which a borrower is likely to incur in connection with a loan closing. |
| Government fees (htm) |
| Enter
the recording fees for this loan, as charged by the County Recorder's Office to
enter the Deed, Mortgage, or Deed of Trust and, occasionally, additional
documents, requiring public notice.
|
| government National Mortgage Association (GNMA) |
| A government-owned corporation within the U. S. Department of Housing and UrbanDevelopment (HUD). Created by Congress on September 1, 1968. GNMA performs the samerole as Fannie Mae and Freddie Mac the assumed responsibility for the special assistance loan program formerly administered by Fannie Mae. Popularly known as Ginnie Mae. |
| gparm |
| A loan combining a Graduated Payment Mortgage with an Adjustable Rate Mortgage (ARM). |
| GPARM (htm) |
| Select to
calculate a mortgage that combines graduated payments with an adjustable rate
mortgage.
|
| GPARM Loan Screen (htm) |
| Enter
the terms for a graduated payment, adjustable rate mortgage. You must enter the
interest rate, periods per year, term, loan amount, prepaids, advance date, and
date of first payment or error messages display.
Click the Options and Variations button on the toolbar to
enter any variations.
|
| GPM |
| See Graduated payment Mortgage |
| GPM (htm) |
| Select to
calculate a mortgage which has level payments for one year, at which time they
grow by a specified percentage amount (the graduation rate) for another year.
This continues for a specified number of years (the graduation period). At the
end of any particular year, the payment amount may be adjusted to pay off the
remaining balance over the number of years left to maturity.
|
