Mortgage and Refinancing Information Channel:
We would like to thank the local libraries, schools, and universities for recommending students to visit us when doing research on any of our information topics.
Guide to Mortgage Terms
Listed below is a guide to mortgage terms. It is a useful list of definitions of mortgage terms that may or may not be familiar to you.
This stands for Annual Percentage Rate. It takes into account all fees and other costs in connection with the mortgage as well as the lenders interest rate.
This is the actual amount of money that you borrow including any additional fees that have been added.
The UK 's core interest rate which is set by the Bank of England.
A temporary loan that enables you to complete the purchase of a new home before completing the sale of your existing property.
These mortgages have a ceiling above which your payments will not rise.
The point at which the money to buy your new home is released to the seller and ownership is transferred to you.
Legal document which transfers ownership of unregistered freehold land.
The fees your solicitor has to pay such as; stamp duty, land registry, search fees, etc which will be added to your solicitor's bill.
Discounted Variable Rate
For a set period the interest rate charged will be a set percentage less than the standard variable rate.
Early Redemption Charge
If you repay your mortgage in full before a specified date you may be asked to pay an early redemption charge.
The difference between the value of your property and the amount of any outstanding loans secured against it.
These mortgages offer a fixed interest rate for a set period of time.
The term used to indicate ownership of property and the land on which it stands.
Interest Only Mortgage
With this type of mortgage, the payments you make each month simply pay the interest on the amount you borrow. At the end of the mortgage term you must pay back the amount you originally borrowed.
This is a record held by HM Land Registry which lists the registered owner of a plot and any legal charge that may be placed on it.
A document, which grants possession of a property for a fixed period of time and sets out the obligations of both landlord and tenant such as; payment of rent and repairs.
Arrangement between a landlord and tenant where the landlord agrees for the tenant to lease the property for a fixed period of time.
The legal document held by the Land Registry that identifies who has a claim on your property.
A loan you take out to buy your home.
Legal document that you must sign to say that the lender has a legal charge over your property.
Mortgage Payment Protection Insurance
This is an insurance that will cover your mortgage payments should you be unable to work due to an accident, illness or involuntary redundancy.
Person who borrows money to buy a property.
Building society, bank or other company which lends money against the security of a charge over the property purchased.
This is the official letter that the lender sends to you once all the referencing and valuations have been carried out satisfactorily.
Document that illustrates the cost of your mortgage.
These are the charges that some lenders make if you decide to move your mortgage.
When a borrower fails to pay back their loan in accordance with its terms and conditions, the lender can exercise their legal right to take ownership of the property.
The payments you make each month will pay off the interest and an element of the capital.
This is the amount to be repaid to your existing lender when you move your mortgage.
This is the charge made by some lenders when they release the legal charge over your home.
Enquiries made at the Land Registry, the Land Charges Register and Local Authorities to ensure there is nothing to cause concern about title to the land.
A government tax on the price you pay for your home.
Standard Variable Rate
This is the normal variable rate charged by a lender. This rate can go up or down at any time at the lender's discretion.
Subject to Contract
A provisional agreement made between buyer and seller, before exchange of contracts, which allows either side to back out without penalty.
Length of time over which your mortgage loan is to be paid.
Legal right to ownership of a property.
Legal document which transfers ownership of registered land.
This is a report produced on behalf of the lender. Lenders use this to decide whether they will offer a mortgage on the property.
A fee paid by the borrower for the lender's inspection of the property.
You may freely reprint this article provided the author's biography remains intact:
About the Author
MORE RESOURCES updated Sat. March / 06 / 2021
Today’s mortgage refinance rates mixed — one key rate drops while another rises | March 2, 2021 - Fox Business
Today’s mortgage refinance rates mixed — one key rate drops while another rises | March 2, 2021 Fox Business
Can refinancing a mortgage hurt my credit score? Fox Business
Today's mortgage refinance rates see little change as market holds steady | February 25, 2021 - Fox Business
Today's mortgage refinance rates see little change as market holds steady | February 25, 2021 Fox Business
Best cash-out refinance lenders in 2021 Bankrate.com
3 signs you should refinance your mortgage right now Fox Business
Mortgage Recast: How to Reamortize and Save Money Credible News
Today's mortgage and refinance rates: February 14, 2021 | Rates down Business Insider
Refinance Loans Propel Yet Another Increase In Home Mortgage Lending Activity During Fourth Quarter Of 2020 - PRNewswire
Refinance Loans Propel Yet Another Increase In Home Mortgage Lending Activity During Fourth Quarter Of 2020 PRNewswire
What Is a Mortgage and How Does It Work? | Mortgage 101 The Mortgage Reports
What Are The Benefits Of Cash-Out Refinancing? Is It Worth It? The Mortgage Reports
Can Closing Costs Change On The Closing Disclosure? The Mortgage Reports
Can You Use A 203K Rehab Loan For An Investment Property? The Mortgage Reports
Top 5 mortgage refinance questions answered Fox Business
How to decide if you should refinance your mortgage Fox Business
Pros and cons of a cash-out mortgage refinance Fox Business
How to refinance your mortgage Fox Business
4 ways to maximize your mortgage refinance savings Fox Business
Mortgage refinance: Everything you need to know Fox Business
How do I get the most out of my mortgage refinance? Fox Business
Who's exempt from the new mortgage refinance fee? Fox Business
Mortgage refinance rates continue hitting record lows – here’s how to get the best deal now - Fox Business
Mortgage refinance rates continue hitting record lows – here’s how to get the best deal now Fox Business
Everything You Should Know About The New Mortgage Refinancing Fee That Goes Into Effect Dec. 1 - Forbes
Everything You Should Know About The New Mortgage Refinancing Fee That Goes Into Effect Dec. 1 Forbes
Mortgage refinance applications soar despite a new fee that increases the cost - Pittsburgh Post-Gazette
Mortgage refinance applications soar despite a new fee that increases the cost Pittsburgh Post-Gazette
What are the hidden costs of refinancing a mortgage? Fox Business
4 ways to get lower mortgage refinance rates Fox Business
The best mortgage refinance lenders of March 2021 Business Insider
Despite low mortgage interest rates, homeowners should research the caveats before reﬁnancing - Seattle Times
Despite low mortgage interest rates, homeowners should research the caveats before reﬁnancing Seattle Times
A record 19.4 million homeowners can now save big on a mortgage refinance, as rates hit another new low - CNBC
A record 19.4 million homeowners can now save big on a mortgage refinance, as rates hit another new low CNBC
5 reasons to refinance your mortgage right now HousingWire
Complete Checklist of Mortgage Refinancing Requirements Credible News
10 things to know before refinancing your mortgage Fox Business
Refinancing your mortgage? Don’t make this mistake Fox Business
3 Mortgage Refinance Strategies to Consider in 2021 The Motley Fool
How a mortgage refinance affects your net worth Fox Business
10 tips for getting the best mortgage refinance rate, from checking your credit report to choosing the right lender - Business Insider
10 tips for getting the best mortgage refinance rate, from checking your credit report to choosing the right lender Business Insider
Today’s mortgage refinance rates climb upward — though one key rate holds steady | October 23, 2020 - Fox Business
Today’s mortgage refinance rates climb upward — though one key rate holds steady | October 23, 2020 Fox Business
Jumbo Mortgage Refinance Rates for March 2021 NextAdvisor