| Fair market value |
The price offered to purchase property acceptable to the
seller and buyer. |
| |
|
| Fair Credit Reporting Act (FCRA) |
A Federal law which requires a lender who is rejecting a loan
request because of adverse credit information to inform the borrow of the
source of such information. |
| |
|
| Fair Housing Laws |
Federal, state, and local laws, particularly Title VIII of the
1968 Civil Rights Act, Title VI of the Civil Rights Act of 1964, and the Civil
Rights Act of 1866, which forbid discrimination because of race, sex, color,
religion, or national origin, in the selling or renting of homes or apartments,
and in other specified transactions. These laws have been recently been
expanded to include familial status (having children) and disabilities
(Americans with Disabilities Act). |
| |
|
| Fair Market Value |
That price a property will bring given that both buyer and
seller are fully aware of market conditions and comparable properties. |
| |
|
| Fair Credit Reporting Act |
A consumer protection law that regulates the disclosure and
use of consumer credit information, establishes rules for credit reporting to
consumer credit reporting agencies, and establishes procedures for a consumer
to view his or her credit report and correct mistakes on it. |
| |
|
| Federal Home Loan Board |
The board which charters and forbids discrimination in the
sale. |
| |
|
| Federal Tax Lien |
A lien attached to property for nonpayment of a federal tax.
|
| |
|
| Federal Home Board |
The board which charters and regulates federal savings and
loan associations, as well as controlling the system of Federal Home Loan
Banks. |
| |
|
| Federal National Mortgage Association - FNMA (FANNIE MAE) |
A taxpaying corporation created by Congress to support the
secondary mortgage market. It purchases and sells residential mortgages insured
by the Federal Housing Administration (FHA) or guaranteed by the Veterans
Administration (VA) as well as conventional home mortgages. It operates
pursuant to a federal charter and is the nation's largest source of financing
for home mortgages and is subject to supervision by HUD. It adds liquidity to
the mortgage market by investing in home loans through the country. It is a New
York Stock Exchange company and the largest non-bank financial services company
in the world. |
| |
|
| Federal Fair Housing Law |
Refers to Title VIII of the Civil Rights Act, and stipulates
that discrimination based on race, color, sex, familial status, handicap,
religion, or national origin is illegal in connection with the sale or rental
of most dwellings |
| |
|
| 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 loan
underwriting but does not lend money or plan or construct housing. |
| |
|
| Federal Housing Administration (FHA) |
The federal agency that helps individuals purchase housing and
insures loans through private lending institutions. |
| |
|
| Federal Home Loan Mortgage Corporation - FHLMC (FREDDIE MAC)
|
A corporation authorized by Congress. It purchases residential
mortgages insured by the Federal Housing Administration (FHA) or guaranteed by
the Veterans Administration (VA) as well as conventional home mortgages. It
sells participation certificates whose principal and interest are guaranteed by
FHLMC. |
| |
|
| Fee Simple |
An unconditional, unlimited estate of inheritance that
represents the greatest estate and most extensive interest in land that can be
enjoyed. It is of perpetual duration. When the real estate is in a condominium
project, the unit owner is the exclusive owner only of the air space within his
or her portion of the building (the unit) and is an owner in common with
respect to the land and other common portions of the property. |
| |
|
| Fee Appraisal |
The act or process of estimating values of real estate or any
interest therein for a fee. |
| |
|
| Fee Simple Estate |
The most complete form of ownership of real property; absolute
ownership. Commonly used to denote a property where the owner has undivided
title to the land on which the property is situated. |
| |
|
| FHA Mortgage Insurance |
Requires a fee (up to 2.25% of the loan amount) paid at
closing to insure the loan with FHA. In addition, FHA mortgage insurance
requires an annual fee of up to 0.5% of the current loan amount, paid in
monthly installments. The lower the down payment, the more years the fee must
be paid. |
| |
|
| FHA Loan |
A loan which has been insured by the federal government
guaranteeing its payment in case of default by the borrower. |
| |
|
| FHA Coinsured Home Loan |
A loan (under FHA Section 244) for which the Federal Housing
Administration (FHA) and the originating lender share the risk of loss in the
event of the borrower's default. |
| |
|
| FHA - Federal Housing Administration |
Part of the US Department of Housing and Urban Development
(HUD). It was established in 1934 to encourage improvement in housing standards
and communities. The FHA insures mortgage loans. |
| |
|
| FHA Home Loan |
A mortgage home loan that is insured by the Federal Housing
Administration (FHA). Also known as a government loan. |
| |
|
| FHA Financing |
A loan insured by the Federal Housing Administration (FHA) and
made by an approved lender in accordance with the FHA's regulations. FHA
requires that the property being purchased meets certain minimum standards.
This mortgage may be easier to qualify for than a conventional mortgage, but it
also has a lower maximum loan limit that varies depending on the average cost
of housing in a given region. FHA loans require the borrower to pay mortgage
insurance premiums (MIP) if the down payment is less then 20%. Fixed and
adjustable rates are available with FHA loans. |
| |
|
| FHA Mortgage |
A mortgage that is insured by the Federal Housing
Administration. Also referred to as a "government" mortgage. |
| |
|
| Fiduciary |
The relationship of trust, honesty and confidence between
agent and principal; the faithful relationship owed by an agent to the
principal. |
| |
|
| Filing Status |
Please enter here whether you file your income taxes as
single, married, separated or head-of household. |
| |
|
| Financial Index |
An agreed upon basis for making interest rate changes on an
adjustable rate mortgage. One example of a financial index could be the cost of
U.S. Treasury Bonds. Fixed Rate The interest rate does not change during the
entire term of the loan. |
| |
|
| Firm Commitment |
A lender's agreement to make a loan to a specific borrower on
a specific property. |
| |
|
| First Mortgage |
A mortgage which is in first lien position, taking priority
over all other liens (which are financial encumbrances). |
| |
|
| Fixed Period ARM |
Provides a fixed rate for 3, 5, 7 or 10 years then adjusts
annually based on a financial index for the remaining loan term. |
| |
|
| Fixed Rate Mortgage |
A mortgage with an interest rate that stays the same (fixed)
over the life of the mortgage. Monthly payments for a fixed rate mortgage are
very stable and will not change. |
| |
|
| Fixed Installment |
The monthly payment due on a mortgage loan. The fixed
installment includes payment of both principal and interest. |
| |
|
| Fixture |
Personal property which has been attached to real estate so as
to become part of the real property. The article must meet at least one of
three conditions: 1. Attached in a permanent manner. 2. Specially adapted to
the property. or 3. Intentionally made part of the real property. |
| |
|
| Flood Insurance |
Insurance that compensates for physical property damage
resulting from flooding. It is required for properties located in federally
designated flood areas. |
| |
|
| Flood Check |
A survey conducted to determine whether a property is in a
flood zone. |
| |
|
| Foreclosure |
The legal process by which a borrower's interest in mortgaged
property is taken because of a default on the loan. This usually involves a
forced sale of the property at public 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. |
| |
|
| Fraud |
A misstatement of a material fact made with intent to deceive
or made with reckless disregard of the truth, and which actually does deceive.
|
| |
|
| Front Foot |
One linear foot (12 inches) along the street side of a lot.
|
| |
|
| Full Disclosure |
Revealing all the known facts which may affect the decision of
a buyer or tenant. |
| |
|
| Functional Obsolescence |
Loss of value of real property caused by modernization or
changing tastes or standards; e.g. single bath, inadequate closet space, etc.
|