Bridge Loan

A short-term loan collateralized by the borrower’s present home and used to close on a new house before the present home is sold.

Caps

Interest caps are consumer safeguards that limit the rise or fall of interest rates on an adjustable rate mortgage. Interest caps offer borrowers protection from drastically increased interest rate on your loan.

Cash Out

A cash out refinance loan allows you to get a new loan that is larger than the remaining balance of your current mortgage, based upon the equity you have already built up in the house, and receive a cash balance of that lump sum. The cash out amount is calculated by subtracting the sum of the old loan and fees from the new mortgage loan. Several ways to cash out when you refinance are consolidate your credit card debt, make a debt pay off, home improvement loans, auto loan pay offs and any other high-interest bills you may have into one low monthly mortgage payment. The interest rate may be a tax deduction. Consult your CPA or tax consultant for additional...

Ceiling

The maximum allowable interest rate of an adjustable rate mortgage.

Closing Cost

Expenses over and above the price of the property incurred by buyers and sellers when transferring ownership of a property. Closing costs normally include an origination fee, property taxes, charges for title insurance, and escrow cost, appraisal fees, etc. Closing cost will vary according to the area of the country and the lenders...

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