Atricle Dump - Mortgage Glossary of Terms

Adverse Credit
The term used if the borrower has a poor credit history. This could include previous mortgage or loan arrears, bankruptcy or CCJ's. Other terms used to describe an adverse credit mortgage include:

• Bad credit mortgage
• Poor credit mortgage
• Non status mortgage
• Credit impaired mortgage
• No credit mortgage
• Low credit score mortgage

APR (Annual Percentage Rate)
The interest rate reflecting the cost of a mortgage as a yearly rate. The APR provides home buyers with the ability to compare different types of mortgages based on the annual cost of each.

Arrangement Fee
The fee you pay your Lender in return for them providing you with a mortgage. Usually paid on completion or with your application, these fees usually apply when you take out a fixed rate, discount or cashback mortgage.

AST (Assured Shorthold Tenancy)
A form of tenancy that gives the landlord the right to repossess their property after a set amount of time laid out in the tenancy agreement. New tenancies are automatically ASTs unless otherwise stated.

Assured tenancy
The landlord can charge a market rent (the current rate for similar property in that area) and take back the property under certain conditions, as set out in the Housing Acts of 1988 and 1996.

Bridging Loan/Finance
Short term loan to enable the purchase of one property before the sale of another essentially releasing funds that are required for the purchase. You should always consult a professional before considering any bridging finance as it could be a solution that is worse than the problem.

Brokers Fee
A fee charged by an intermediary or advisor for locating the most appropriate mortgage for the borrower.

Buildings insurance
Insurance you can take out when you buy a property that will cover the cost of any damage to the house and or contents..

Buy to Let
A mortgage meant for those who wish to purchase a property to rent out to others. The decision on whether you are able to repay this type of mortgage is often based up on the future rental income from the property rather than the personal income of you the borrower.

CCJ (County Court Judgment)
A judgement reached in the County Court generally realted to non payment of a loan, mortgage etc debt in general. If you pay off the debt, the CCJ will be satisfied and a note is put on your records that states this.

Chain
A housing 'chain' made up of a number of buyers and sellers, essentially the line of buyers and sellers involved in each house move.

Charge
Any right or interest, especially with a mortgage, to which a freehold or leasehold property may be held. Basically a charge is the claim the lender has on the property until the mortgage or loan is satisfied.

Completion
The term used when the seller and buyer exchange the finances required to buy a property through their respective solicitors. At exchange of contracts a deposit, usually 10%, will have been paid. At this point the buyer becomes legal owner of the property.

Conveyance
The legal process in which ownership of the property is transferred from the seller to the buyer. Generally undertaken by a solicitor, or licensed conveyancer.

Early redemption fee
If you decide that you want to sell your property or remortgage then you will be redeeming you mortgage early. Most lenders charge a penalty fee, especially during any period of a fixed, capped or discounted rate. Be sure you are clear about any potential penalties when you are about to take on a mortgage.

Equity and negative equity
The amount of value in a property that isn't covered by a mortgage - simply take the amount of the mortgage from the valuation to work out the equity. This is where the money you owe on the mortgage is greater than the value of your property.

Exchange of contracts
The contract is a written agreement that lays out the terms between the buyer and the seller. When both parties exchange contracts, usually weeks before completion, the deal becomes legally binding. Often a deposit of around 10%, is paid at this stage.

Fixed Rate
A set interest rate on a mortgage fixed for a period of time. This varies from lender to lender.

Freehold
If you are the property owner outright then your property is freehold. Most houses are freehold wheres many flats are leasehold, since you are not the owner of the whole building containing the flats.

Gazumping
If you are in the process of purchasing a property and your offer has been accepted but the seller gets a better offer, before you complete, and takes it then, you've just been 'Gazumped'.

Interest Only Mortgage
A mortgage whereby the borrower is only required to pay inerest on the amount borrowed during the mortgage term. It is the borrowers responsibility to ensure that enough funds will exist (either through an investment policyor other means) to repay the full mortgage at the end of the term.

Intermediary
A mortgage broker or advisor who finds the most suitable mortgage for a borrower and arranges the mortgage on their behalf.

Leasehold
If you buy a leasehold property you don't own the property rather the right to live there for a specified period of time, however much time remains on the lease. The owner of the property is called the freeholder or landlord.

Liability
This relates more to commercial mortgages. With a commercial mortgage liability for the repayment of the loan depends on the legal structure of the business:

A sole trader will be personally liable for the mortgage debt. Personal assets could be seized if the business defaults. Build Your Career Decision By Decision
Do you dislike making decisions and avoid the challenge whenever you can?Take heart. Look around and you will find you have plenty of company.Management psychologists Irving L. Janis and Leon Mann say people tend to be “reluctant decision makers” because they are “beset by conflict, doubts and worry.” They explain that people “seek relief by procrastinating, rationalizing and denying responsibility” in making choices.This human tendency creates a big vacuum. Its name is opportunity!"Organizations cannot function, certainly cannot succeed, without good decision- makers. Organizations reward those men and women who are willing and able to fill those roles," according to Ramon Greenwood, senior career counselor at www.CommonSenseAtWork.comTherefore, opportunities are available for those who are willing and able to come to grips with decision-making. It's the very essence of management. Success depends on being confident and reasonably comfortable with the process. Of course, success also requires a good batting average of right decisions. That doesn't mean you have to be right all of the time; it means be right more often than wrong.Why People Shy Away From DecisionsIt helps to understand some of the reasons why people dislike making decisions.All decisions encompass some degree of irrevocability. Once a decision has been made there is no returning to ally ASTs unless otherwise stated.

Assured tenancy
The landlord can charge a market rent (the current rate for similar property in that area) and take back the property under certain conditions, as set out in the Housing Acts of 1988 and 1996.

Bridging Loan/Finance
Short term loan to enable the purchase of one property before the sale of another essentially releasing funds that are required for the purchase. You should always consult a professional before considering any bridging finance as it could be a solution that is worse than the problem.

Brokers Fee
A fee charged by an intermediary or advisor for locating the most appropriate mortgage for the borrower.

Buildings insurance
Insurance you can take out when you buy a property that will cover the cost of any damage to the house and or contents..

Buy to Let
A mortgage meant for those who wish to purchase a property to rent out to others. The decision on whether you are able to repay this type of mortgage is often based up on the future rental income from the property rather than the personal income of you the borrower.

CCJ (County Court Judgment)
A judgement reached in the County Court generally realted to non payment of a loan, mortgage etc debt in general. If you pay off the debt, the CCJ will be satisfied and a note is put on your records that states this.

Chain
A housing 'chain' made up of a number of buyers and sellers, essentially the line of buyers and sellers involved in each house move.

Charge
Any right or interest, especially with a mortgage, to which a freehold or leasehold property may be held. Basically a charge is the claim the lender has on the property until the mortgage or loan is satisfied.

Completion
The term used when the seller and buyer exchange the finances required to buy a property through their respective solicitors. At exchange of contracts a deposit, usually 10%, will have been paid. At this point the buyer becomes legal owner of the property.

Conveyance
The legal process in which ownership of the property is transferred from the seller to the buyer. Generally undertaken by a solicitor, or licensed conveyancer.

Early redemption fee
If you decide that you want to sell your property or remortgage then you will be redeeming you mortgage early. Most lenders charge a penalty fee, especially during any period of a fixed, capped or discounted rate. Be sure you are clear about any potential penalties when you are about to take on a mortgage.

Equity and negative equity
The amount of value in a property that isn't covered by a mortgage - simply take the amount of the mortgage from the valuation to work out the equity. This is where the money you owe on the mortgage is greater than the value of your property.

Exchange of contracts
The contract is a written agreement that lays out the terms between the buyer and the seller. When both parties exchange contracts, usually weeks before completion, the deal becomes legally binding. Often a deposit of around 10%, is paid at this stage.

Fixed Rate
A set interest rate on a mortgage fixed for a period of time. This varies from lender to lender.

Freehold
If you are the property owner outright then your property is freehold. Most houses are freehold wheres many flats are leasehold, since you are not the owner of the whole building containing the flats.

Gazumping
If you are in the process of purchasing a property and your offer has been accepted but the seller gets a better offer, before you complete, and takes it then, you've just been 'Gazumped'.

Interest Only Mortgage
A mortgage whereby the borrower is only required to pay inerest on the amount borrowed during the mortgage term. It is the borrowers responsibility to ensure that enough funds will exist (either through an investment policyor other means) to repay the full mortgage at the end of the term.

Intermediary
A mortgage broker or advisor who finds the most suitable mortgage for a borrower and arranges the mortgage on their behalf.

Leasehold
If you buy a leasehold property you don't own the property rather the right to live there for a specified period of time, however much time remains on the lease. The owner of the property is called the freeholder or landlord.

Liability
This relates more to commercial mortgages. With a commercial mortgage liability for the repayment of the loan depends on the legal structure of the business:

A sole trader will be personally liable for the mortgage debt. Personal assets could be seized if the business defaults. What to Look For When Buying Resell Rights Products
There are 2 types of resale rights category – the low end and high end resale products.There are some products that are bundled with the resell packages that are very useful and then there are others that are a waste of computer space.For example, there are outdated pop-up generators and meta tag generators. Do you really think someone is going to buy a software that will create a few paragraphs of text for you? Only if you’re selling to those who have never buy any resale rights products before.When I’m buying products to resell there are several criteria they must follow:1. They must have a minimum suggested resale price.I’ve seen time and time again products that originally sold well for $100 to $200 which are rendered totally worthless because the authors didn’t set a minimum price on their product.For example, if one reseller gives a product away for free as a bonus for whatever reason then other resellers get discouraged because they think “how can I sell mine for $200 when he’s giving it away for free?”2. They must be sold as a stand alone product.Again, this is to protect the value of the product. If another reseller is including it in a package, I won’t be able to easily sell it for a high margin. However, if the product are allowed to be package with certain terms and conditions, then it’s a good buy because I can repackage it as well in my other future promotion.<rong>
A judgement reached in the County Court generally realted to non payment of a loan, mortgage etc debt in general. If you pay off the debt, the CCJ will be satisfied and a note is put on your records that states this.

Chain
A housing 'chain' made up of a number of buyers and sellers, essentially the line of buyers and sellers involved in each house move.

Charge
Any right or interest, especially with a mortgage, to which a freehold or leasehold property may be held. Basically a charge is the claim the lender has on the property until the mortgage or loan is satisfied.

Completion
The term used when the seller and buyer exchange the finances required to buy a property through their respective solicitors. At exchange of contracts a deposit, usually 10%, will have been paid. At this point the buyer becomes legal owner of the property.

Conveyance
The legal process in which ownership of the property is transferred from the seller to the buyer. Generally undertaken by a solicitor, or licensed conveyancer.

Early redemption fee
If you decide that you want to sell your property or remortgage then you will be redeeming you mortgage early. Most lenders charge a penalty fee, especially during any period of a fixed, capped or discounted rate. Be sure you are clear about any potential penalties when you are about to take on a mortgage.

Equity and negative equity
The amount of value in a property that isn't covered by a mortgage - simply take the amount of the mortgage from the valuation to work out the equity. This is where the money you owe on the mortgage is greater than the value of your property.

Exchange of contracts
The contract is a written agreement that lays out the terms between the buyer and the seller. When both parties exchange contracts, usually weeks before completion, the deal becomes legally binding. Often a deposit of around 10%, is paid at this stage.

Fixed Rate
A set interest rate on a mortgage fixed for a period of time. This varies from lender to lender.

Freehold
If you are the property owner outright then your property is freehold. Most houses are freehold wheres many flats are leasehold, since you are not the owner of the whole building containing the flats.

Gazumping
If you are in the process of purchasing a property and your offer has been accepted but the seller gets a better offer, before you complete, and takes it then, you've just been 'Gazumped'.

Interest Only Mortgage
A mortgage whereby the borrower is only required to pay inerest on the amount borrowed during the mortgage term. It is the borrowers responsibility to ensure that enough funds will exist (either through an investment policyor other means) to repay the full mortgage at the end of the term.

Intermediary
A mortgage broker or advisor who finds the most suitable mortgage for a borrower and arranges the mortgage on their behalf.

Leasehold
If you buy a leasehold property you don't own the property rather the right to live there for a specified period of time, however much time remains on the lease. The owner of the property is called the freeholder or landlord.

Liability
This relates more to commercial mortgages. With a commercial mortgage liability for the repayment of the loan depends on the legal structure of the business:

A sole trader will be personally liable for the mortgage debt. Personal assets could be seized if the business defaults. Web-based Systems and a Formula for Success
Does your business have a lot of overhead? Do you feel like your spending too much money in certain areas of your business? If you said no then you’re either untruthful or you are not fully aware of the ways in which you can minimize your resources to save money and reduce your company’s overhead. The following article explains the positive consequences of implementing a Web-based system to manage and automate certain aspects of your business. First, let me start off by clarifying something. You do not have to be an “online” or e-business to effectively utilize a Web-based system. This is something that can be used by any business. Whether you sell shoes online, landscape yards, paint houses or perform accounting services from the luxury of your own home, you can benefit from a Web-based system.Ok, now that I got that off my chest, let’s move on to how and why this will benefit you, your employees and ultimately your business. This is a great formula for success.How?One way, is to setup an Intranet that can only be accessed from within your company’s internal network. This is usually a solution for a small- or medium-sized business that have 25 or more employees. This will allow each employee to have the rights and privileges to one centralized system and gain access to certain back-end features.Another way, and the best way in my mind for a s redeeming you mortgage early. Most lenders charge a penalty fee, especially during any period of a fixed, capped or discounted rate. Be sure you are clear about any potential penalties when you are about to take on a mortgage.

Equity and negative equity
The amount of value in a property that isn't covered by a mortgage - simply take the amount of the mortgage from the valuation to work out the equity. This is where the money you owe on the mortgage is greater than the value of your property.

Exchange of contracts
The contract is a written agreement that lays out the terms between the buyer and the seller. When both parties exchange contracts, usually weeks before completion, the deal becomes legally binding. Often a deposit of around 10%, is paid at this stage.

Fixed Rate
A set interest rate on a mortgage fixed for a period of time. This varies from lender to lender.

Freehold
If you are the property owner outright then your property is freehold. Most houses are freehold wheres many flats are leasehold, since you are not the owner of the whole building containing the flats.

Gazumping
If you are in the process of purchasing a property and your offer has been accepted but the seller gets a better offer, before you complete, and takes it then, you've just been 'Gazumped'.

Interest Only Mortgage
A mortgage whereby the borrower is only required to pay inerest on the amount borrowed during the mortgage term. It is the borrowers responsibility to ensure that enough funds will exist (either through an investment policyor other means) to repay the full mortgage at the end of the term.

Intermediary
A mortgage broker or advisor who finds the most suitable mortgage for a borrower and arranges the mortgage on their behalf.

Leasehold
If you buy a leasehold property you don't own the property rather the right to live there for a specified period of time, however much time remains on the lease. The owner of the property is called the freeholder or landlord.

Liability
This relates more to commercial mortgages. With a commercial mortgage liability for the repayment of the loan depends on the legal structure of the business:

A sole trader will be personally liable for the mortgage debt. Personal assets could be seized if the business defaults. The 5 Secrets to Getting Out of Debt Fast
As they stare down at a teetering pile of bills, so many consumers wonder how they racked up such a large debt. The answer boils down to simple mathematics.“On a basic, fundamental level, the problem is created by spending more than you make,” says Brad Stroh, co-CEO of the San Mateo, California-based Freedom Financial Network, LLC, a company that specializes in debt resolution services.The reasons for doing so, he notes, are varied:• Spending addictions• Lack of budgeting (mistaking the amount of money coming in and going out)• Loss of income (reduced hours, layoffs, forced to leave the workforce)• Increased costs (health-related expenses, fuel and other basic living expenses)• A personal hardship (divorce, medical illness, loss of a loved one or other major changes in a person’s life)You can, however, get out of debt—but it takes commitment. Here are 5 steps to accomplishing your goal.1. Start Planning—and Saving“The only way to guarantee solid financial footing is through proper planning—and that’s where most consumers go wrong,” Stroh says. “Proper planning means monthly budgeting of cash flow, combined with saving for long-term security.”Stroh recommends saving at least 5% of your income to ensure long-term financial security.“Of course, this percent will vary by age group and the individual’s financial goals and objectives,” he says. “Younge in the process of purchasing a property and your offer has been accepted but the seller gets a better offer, before you complete, and takes it then, you've just been 'Gazumped'.

Interest Only Mortgage
A mortgage whereby the borrower is only required to pay inerest on the amount borrowed during the mortgage term. It is the borrowers responsibility to ensure that enough funds will exist (either through an investment policyor other means) to repay the full mortgage at the end of the term.

Intermediary
A mortgage broker or advisor who finds the most suitable mortgage for a borrower and arranges the mortgage on their behalf.

Leasehold
If you buy a leasehold property you don't own the property rather the right to live there for a specified period of time, however much time remains on the lease. The owner of the property is called the freeholder or landlord.

Liability
This relates more to commercial mortgages. With a commercial mortgage liability for the repayment of the loan depends on the legal structure of the business:

A sole trader will be personally liable for the mortgage debt. Personal assets could be seized if the business defaults.

Partners are jointly liable for the debts of the partnership and their personal assets are at risk

With a limited-liability partnership and a limited company, the liability falls firstly on the business rather than on the individual partners and directors. The lender may take a floating charge on business assets in general, rather than simply on the current property being purchased.

The lender may also insist on personal guarantees as a condition of granting the loan, in which case the partners and directors may be held personally liable anyway.

Life insurance
If you have a joint mortgage, life insurance can be acquired that will see the mortgage paid of should one of you pass on.

LTV (Loan to Value)
The size of the mortgage as a percentage of the value of the property i.e. A ?90k mortgage on a house valued at ?100k would mean an LTV of 90%.

MIG (Mortgage Indemnity Guarantee)
A one off payment made when you set up a mortgage a kind of insurance policy for the lender. This offers them protection against the value of the home falling to less than the mortgage. It is generally only charged to borrowers with a less than 10% deposit, but this can vary.

Mortgage
A loan to buy a property where the property is used as security against you paying back the loan.

Mortgagee
The company or organisation that lends you the money.

Mortgagor
The person taking out the mortgage.

Non-Status
Where a lender may not require income details from you or may accept some previous poor credit history i.e. CCJ's or previous mortgage arrears.

Payment Holiday
A period during which the borrower makes no mortgage payments.

Regulated tenancy
A legal right to live in your accommodation for a period of time. Your tenancy might be for a set period such as a year (this is known as a fixed term tenancy) or it might roll on a week-to-week or month-to-month basis (this is known as a periodic tenancy).You are a regulated tenant if you moved in before 15 January 1989, you pay rent to a private landlord and your landlord does not live in the same building as you.

Remortgage
The taking on of a second mortgage to pay off the first. The most common reasons for doing this are that another mortgage is available at a better rate or that the value of the property has gone up allowing for the opportunity to borrow more money against the property.

Right to Buy
For example, a tenant in a council owned property may purchase the property at a discount depending on length of their tenancy.

Self Certified
Generally when a borrower applies for a mortgage he or she will be asked to provide pay slips or company accounts to prove their income. If it is difficult or inconvenient for you to provide this evidence, you can choose to self-certify your income. This involves signing a declaration which states your income sources and amounts. Lenders will charge you higher rates than average and offer you a more limited range of mortgages if you choose to self-certifyyour income, in general it's not a good idea to self-certify just to avoid some paperwork.

Stamp Duty
Tax paid by the buyer of a property set at 1% for properties over ?60k, 3% for properties over ?250k and 4% for properties over ?500k.

Structural survey
The most wide ranging check of the structure of a property. This is carried out by professional surveyor and should uncover any defects or faults with the building.

Tenancy
A legal written agreement between a landlord and tenant that sets out the terms of the rental.

Term
The period of years over which you take the mortgage and repay it.

Term Assurance
An insurance policy designed to repay the mortgage on the death of the insured person. Level Term Assurance covers a principal sum throughout the policy term and pays out the full amount on death. Reducing Term Assurance is designed to repay the balance outstanding on a repayment type mortgage upon death. Term Assurance may also pay out early on the diagnosis of a terminal illness.

Underwriting
The process of evaluating a loan application to determine the risk involved for the lender. This involves an analysis of the borrower's creditworthinessand the quality of the property itself.

Unencumbered
Where the property is owned outright and no mortgages or loans are secured against it.

Valuation
A simple check of the property in order to find out how much it is worth and whether it is suitable to secure a mortgage against.

Valuation Fee
The fee paid by a borrower to cover the cost of the lender checking that the property is suitable security for the mortgage.

Variable Rate

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