San Francisco Real Estate - Residential

Glossary of real estate terms - San Francisco and beyond - Part 3

Below is the final part 3 - glossary of real estate terms

(Part 1 may be seen here.)
(Part 2 may be seen here.)

PMI:

Private Mortgage Insurance. If the first mortgage loan-to-value ratio is higher than 80 percent, a special insurance is required and typically paid monthly or annually to protect the lender should the loan go into default.

Prepaids:

Distinct from Closing Costs, these include recurring expenses a buyer would normally pay over time, but pays in advance at closing to set up an escrow or impound account to pay monthly for taxes and insurance. Prepaids will also include any interest due on the loan from the day of closing until the end of that month.

Quitclaim Deed:

A document that releases an owner from any interest in a property.

Sales-Leaseback or Sale-Rentback:

The buyer rents back the property they are purchasing to the seller for a specific period of time.

Sales Concession:

A cost that is typically paid by the buyer at closing is instead paid by the seller.

Table Funding:

The ability of a lender to provide loan funds on the same day the transaction is signed by all parties.

Title Insurance:

Insurance that protects your home purchase should a title problem that existed prior to the purchase be discovered after your transaction closes. There are two types of title insurance: a fee title policy insures you, the owner; a mortgage title policy protects the lender.

Walk-Through:

A buyer does a final inspection of the home prior to closing to confirm that all conditions in the purchase agreement have been satisfied.

*reprinted courtesy of California Real Estate magazine, September 2005 issue

(Part 1 may be seen here.)
(Part 2 may be seen here.)

posted by SFResidence.com @ 3:45 AM