| Tax Lien |
Lien for nonpayment of taxes. |
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| Tax Savings |
This is the amount of money you save in income taxes. You save
this money because in most cases the interest you pay on your home loan is tax
deductible! |
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| Tax |
As applied to real estate, an enforced charge imposed on
persons, property or income, to be used to support the State. The governing
body in turn utilizes the funds in the best interest of the general public.
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| Tax Service |
A fee collected to set up a third-party to monitor the
borrower's property tax payments to ensure that the payments are made on time,
and to prevent tax liens from occurring. |
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| Tax Bracket |
Please select the tax bracket you fall under. If you are
unsure what tax bracket you are in, you may want to speak with an accountant
find out. |
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| Tax Sale |
Public sale of property at auction by governmental authority,
after a period of nonpayment of property taxes. |
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| Tenancy in Common |
A type of ownership in which two or more people have an
undivided interest in property, without the right of survivorship. Upon death
of one of the owners, his/her interest passes to his/her heirs or devises.
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| Tenancy Joint |
A type of joint ownership of property that provides right of
survivorship and is available only to a husband and wife. |
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| Tenancy in Common |
A type of joint ownership in a property without right of
survivorship. |
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| Tenancy By The Entirety |
A type of joint tenancy of property that provides right of
survivorship and is available only to a husband and wife. One spouse dies the
property goes to the other spouse. Contrast with tenancy in common and joint
tenancy. |
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| Tenant |
A person who is granted temporary possession of a property
under specific terms and conditions which are usually specified in a Lease or
Rental Agreement. |
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| Tenement |
Everything that may be occupied under a lease by a tenant.
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| Term |
The term of a home loan is the number of years the home loan
is amortized for. Home loans are generally amortized over 15, 20 or 30 years.
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| Termite Report |
A report that results from an inspection by a professional to
determine if the property has termites. |
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| Third Party Fees |
Fees collected by lender for services provided by other
companies, such as an appraiser. |
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| Third Party Origination |
A process by which a lender uses another party to completely
or partially originate, process, underwrite, close, fund, or package the home
loan. See mortgage broker. |
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| Time is of the Essence |
A clause, which if included in a contract, makes failure to
perform by a specified date a material breach or violation of the contract.
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| Timeshare |
An arrangement under which a purchaser receives an interest in
real property and the right to use an accommodation or amenities, or both, for
a specified period and on a recurring basis. Used primarily for selling
vacation properties. |
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| Title Theory State |
The system in which the lender has legal title to the
mortgaged property and the borrower has equitable title. |
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| Title Option |
An attorney's opinion of a title, based on an Abstract of
Title. |
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| Title Company |
A company that specializes in examining and insuring titles to
real estate. |
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| Title Search |
Checks all the records relating to the property to determine
whether the seller can sell the property, and can do so free of liens. |
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| Title Insurance Endorsements |
This is an endorsement of insurance against losses that may
result from claims of previously unknown ownership in insured property. |
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| Title Company |
A company that specializes in examining and insuring titles to
real estate. |
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| Title Insurance |
Protects lenders or homeowners against loss of their interest
in property due to legal defects in title. Title insurance may be issued to
either the mortgagor, as an"owner's title policy" or to the
mortgagee, as a "mortgagee's title policy." Insurance benefits will
be paid only to the "named insured" in the title policy, so it is
important that an owner purchase an "owner's title policy," if he
desires the protection of title insurance. |
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| Title |
As generally used, the rights of ownership and possession of
particular property. In real estate usage, title may refer to the instruments
or documents by which a right of ownership is established (title documents), or
it may refer to the ownership interest one has in the real estate. |
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| Torrens System |
A system of land registration in which clear title is
established with a governmental authority, which issues title certificates to
owners. |
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| Total Expense Ratio |
Total obligations as a percentage of gross monthly income. The
total expense ratio includes monthly housing expenses plus other monthly debts.
Used to help qualify a potential borrower for a home loan. |
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| Total Monthly Payment |
See Monthly PITI payment. |
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| Townhouse |
A dwelling unit usually with two or three floors, and shared
walls. It can be individually owned, a condominium, a cooperative, or rental
property. |
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| Transaction Fee |
A fee which may be charged each time you draw on a home equity
credit line. |
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| Transfer Tax |
State or local tax payable when title to a property passes
from one owner to another. |
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| Transfer of Ownership |
Any means by which the ownership of a property changes hands.
Lenders consider all of the following situations to be a transfer of ownership:
the purchase of a property "subject to" the mortgage, the assumption
of the mortgage debt by the property purchaser, and any exchange of possession
of the property under a land sales contract or any other land trust device.
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| Treasury Index |
An index that is used to determine interest rate changes for
certain adjustable-rate mortgage (ARM) plans. It is based on the results of
auctions that the U.S. Treasury holds for its Treasury bills and securities or
is derived from the U.S. Treasury's daily yield curve, which is based on the
closing market bid yields on actively traded Treasury securities in the
over-the-counter market. See adjustable-rate mortgage (ARM). |
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| Trust Account |
An account separate and apart and physically segregated from
broker's own funds, in which broker is required by law to deposit all funds
collected for clients. |
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| Trust |
A property interest held by one person for the benefit of
another. |
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| Trustee |
A party who is given legal responsibility to hold property in
the best interest of or "for the benefit of" another. |
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| Truth-In-Lending Act |
A federal law requiring disclosure of the APR-Annual
Percentage Rate to home buyers shortly after they apply for the loan. Also
known as Regulation Z. This is intended to facilitate comparisons between the
lending terms of financial institutions. |
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| Two To Four-Family Property |
A property that consists of a structure that provides living
space (dwelling units) for two to four families, although ownership of the
structure is evidenced by a single deed. See multi-unit housing. |