Radon | |
A radioactive gas found in some homes that in sufficient concentrations can cause health problems. |
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Rate Caps | |
Lenders offer caps with their adjustable rate mortgages (ARMs) so you can have more control over your monthly mortgage payment. Usually, there are two types of rate caps: |
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Rate-Improvement Mortgage | |
A fixed-rate mortgage that includes a provision that gives the borrower a one-time option to reduce the interest rate (without refinancing) during the early years of the mortgage term. |
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Rate Lock | |
A commitment issued by a lender to a borrower or other mortgage originator guaranteeing a specified interest rate for a specified period of time. |
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Ratified Sales Contract | |
A ratified sales contract means both the buyer and the seller have signed off on the final offer. It also acts as a starting point for the loan application interview. |
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Real Estate Agent | |
A person licensed to negotiate and transact the sale of real estate on behalf of the property owner. |
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Real Estate Attorney | |
Many homeowners hire a real estate attorney to represent them during the loan application process. If you do so, your attorney will review the sales contract and represent you at closing. |
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Real Estate Settlement Procedures Act (RESPA) | |
A consumer protection law that requires lenders to give borrowers advance notice of closing costs. |
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Real Property | |
Land and appurtenances, including anything of a permanent nature such as structures, trees, minerals, and the interest, benefits, and inherent rights thereof. |
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REALTOR® | |
A real estate broker or an associate who holds active membership in a local real estate board that is affiliated with the National Association of REALTORS®. |
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Recission | |
The cancellation or annulment of a transaction or contract by the operation of a law or by mutual consent. Borrowers usually have the option to cancel a refinance transaction within three business days after it has closed. |
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Recorder | |
The public official who keeps records of transactions that affect real property in the area. Sometimes known as a "Registrar of Deeds" or "County Clerk." |
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Recording | |
The noting in the registrar's office of the details of a properly executed legal document, such as a deed, a mortgage note, a satisfaction of mortgage, or an extension of mortgage, thereby making it a part of the public record. |
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Refinance Transaction | |
The process of paying off one loan with the proceeds from a new loan using the same property as security. |
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Rehabilitation Escrow Account | |
A contingency reserve will be set up that contains funds borrowed to finance your home improvements. These will be placed into an escrow account upon the closing of your mortgage. Payments to the contractor will be periodically made from this fund as construction occurs. |
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Rehabilitation Mortgage | |
A mortgage created to cover the costs of repairing, improving, and sometimes acquiring an existing property. |
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Remaining Balance | |
The amount of principal that has not yet been repaid. |
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Remaining Term | |
The original amortization term minus the number of payments that have been applied. |
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Rent Loss Insurance | |
Insurance that protects a landlord against loss of rent or rental value due to fire or other casualty that renders the leased premises unavailable for use and as a result of which the tenant is excused from paying rent. |
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Rent with Option to Buy | |
There are two different Rent With Option to Buy options: |
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Repayment Plan | |
An arrangement made to repay delinquent installments or advances. Lenders' formal repayment plans are called "relief provisions." |
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Replacement Reserve Fund | |
A fund set aside for replacement of common property in a condominium, PUD, or cooperative project -- particularly that which has a short life expectancy, such as carpeting, furniture, etc. |
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Revolving Liability | |
A credit arrangement, such as a credit card, that allows a customer to borrow against a preapproved line of credit when purchasing goods and services. The borrower is billed for the amount that is actually borrowed plus any interest due. |
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RHS Loans | |
The Rural Housing Service (RHS), a branch of the U.S. Department of Agriculture, offers low-interest-rate homeownership loans with no down payment requirements to low- and moderate-income persons who live in rural areas or small towns. Check with your local RHS office or a local lender for eligibility requirements. For the location of RHS State Offices and details on RHS loans, see the RHS home page. |
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Right of First Refusal | |
A provision in an agreement that requires the owner of a property to give another party the first opportunity to purchase or lease the property before he or she offers it for sale or lease to others. |
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Right of Ingress or Egress | |
The right to enter or leave designated premises. |
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Right of Survivorship | |
In joint tenancy, the right of survivors to acquire the interest of a deceased joint tenant. |
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Rural Housing Service (RHS) | |
An agency within the Department of Agriculture, which operates principally under the Consolidated Farm and Rural Development Act of 1921 and Title V of the Housing Act of 1949. This agency provides financing to farmers and other qualified borrowers buying property in rural areas who are unable to obtain loans elsewhere. Funds are borrowed from the U.S. Treasury. |