A “Short Sale” is when a home seller sells his home for a lesser amount than what is owed on his mortgage, and the mortgage lender agrees to accept the lesser amount in lieu of a full payoff.
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From the category archives:
Real Estate Terms
APR is an acronym for Annual Percentage Rate. It’s a government-mandated calculation meant to simplify the comparison of mortgage options.
A loan’s APR can always be found in the top-left corner of the Federal Truth-In-Lending Disclosure.
Because APR is expressed as a percentage, many people confuse it for the loan’s interest rate. It’s not. APR represents the total cost of [...]
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Will Hansen and Horn Home Builders be the next casualty of the Indianpolis real estate market? The talk on the street indicates it is probable.
It was first reported on WishTV.com the Indianapolis home builder was having problems paying bills and is being sued by subcontractors for money they are owed. Customer complaints about work which [...]
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An escrow account is a designated savings account into which funds get deposited for a specific purpose.
With respect to real estate and home loans, escrow accounts are used to pay real estate tax bills and homeowners insurance payments.
Escrow accounts are managed and disbursed by lenders.
When a homeowner “escrows” his mortgage, along with his scheduled monthly [...]
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The basis of most mortgage lending is credit scoring. In general, the higher a person’s credit score, the lower his offered mortgage interest rate.
Despite the many credit scoring models in use today, however, just 3 are relevant to American homeowners:
The Equifax BEACON® score
The Experian Fair Isaac Risk Model
The TransUnion EMPIRICA®
Generically, these scoring models generate what are [...]
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One of the terms which is least understood and most overused in real estate is “average”. It gets used a lot in news media coverage of the real estate industry; I guess, simply because there is not a more definitive way to describe price or days on market. Let’s take a look at how average and median [...]
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