Terms with Category Mortgages
- Monthly Periodic Rate — Bank,
- The interest rate factor used to calculate the interest charges on a monthly basis. The factor equals the yearly rate divided by 12.
- Mortgage (mtg) — Abbreviation, Important,
- A mortgage is a contract stipulating a specific real property, typically a residence or building, as collateral for a loan. The mortgage incurs a rate of interest that varies according to term and other features.
- Mortgage Acceleration Clause — Definition, Important,
- A provision of a loan agreement that lets a lender demand payment of the full balance under specified circumstances, such as sale of the property, default or refinancing. Not commonly used in Canada and/or Canadian lenders.
- Mortgage Application — Bank, Very Important,
- A document in which a prospective borrower details his or her financial situation to qualify for a loan.
- Mortgage Assumption — Definition, Important,
- Taking over the payment and responsibility for an existing property loan.
- Mortgage Banker — Bank, Important,
- An employee of a large bank who finds financing for the general public.
- Mortgage Broker (MB) — Acronym, Important,
- One who finds clients perspective lenders at generally no cost. Mortgage Brokers have a special relationship with lenders and can offer their clients the best rates and service. CanEquity goes through great lengths to ensure you are serviced by the best Mortgage Brokers in Canada.
- Mortgage Brokerage — Bank, Very Important,
➥ CanEquity is a mortgage brokerage.
- An individual or group who brokers deals between their clients and lenders.
- Mortgage Calculator — Definition, Very Important,
➥ CanEquity's mortgage calculator has been rated number one by the Globe and Mail.
- A program that calculates the costs involved in a mortgage or determines what kind of mortgage a person can qualify for.
- Mortgage Disability Insurance — Definition, Important,
- Insurance that covers mortgage payments if a policyholder becomes disabled.
- Mortgage Insurance — Definition, Very Important,
➥ CanEquity offers mortgage insurance.
- Insurance that protects a lender if a homeowner fails to pay off his or her mortgage.
- A policy covering a mortgagor from which the benefits are intended (a) to pay off the balance due on a mortgage upon the death of the insured, or (b) to meet the payments on a mortgage as they fall due in the case of his death or disability.
- Mortgage Lender (ML) — Bank, Very Important,
➥ Used internally by mortgage brokers and mortgage lenders.
- A lender that offers mortgages, often through a mortgage broker.
- Mortgage Lien — Definition, Important,
- A legal claim against a mortgaged property which must be paid when the property is sold.
- Mortgage Life Insurance — Definition, Very Important,
- Insurance that covers the costs of paying off a mortgage if the insured dies or becomes disabled.
- Mortgage Payment — Definition, Important,
- A periodic payment used to pay off a mortgage's principal and interest.
- Mortgage Rate — Definition, Very Important,
➥ You can compare mortgage rates using this website by clicking 'Rates' above.
- The interest rate on a mortgage loan.
- Mortgage Renewal — Definition, Very Important,
- A renewal as it pertains to the mortgage industry is defined as having an existing mortgage term end and signing a new term to continue.
- Mortgage-Backed Securities — Definition, Important,
- Securities backed by mortgage debt.
- Mortgagee — Definition, Important,
- The lender in a mortgage transaction.
- Mortgagor — Definition,
- The borrower in a mortgage transaction.
- Negative Amortization — Bank,
- A gradual increase in loan debt that occurs when the monthly payment does not cover the entire principal and interest due. The shortfall is added to the remaining balance which creates "negative" amortization.
- No Credit History — Bank,
- To have no record of an individual's credit worthiness.
- No Money Down Mortgage — Definition, Important,
- Available in Canada as a true 100% mortgage financing product.
- No-documentation Loan — Bank,
- A mortgage in which the applicant provides a minimum of information -- name, address, Social Insurance number (so credit reports can be pulled), and contact information for an employer, if there is one. The underwriter decides on the loan based on the applicant's credit history, the appraised value of the house and size of down payment.
- Non-assumption Clause — Definition,
- A provision of a home loan that prohibits the transfer of the mortgage to another borrower without the lender's permission.
- Non-owner Occupant — Bank,
- A borrower who purchases a property for investment or rental purposes and will not occupy the property.
- Non-recourse Debt — Bank,
- A loan secured by collateral where the borrower is not personally liable.
- Note Rate — Bank,
- The percentage paid by a borrower for the use of money, usually expressed as an annual percentage on a promissory note.
- Notice of Assessment (NOA) — Bank, Canada, Important,
➥ Canada Revenue Agency's T451 tax form.
- A form the federal government issues when personal taxes are complete. A notice of assessment shows a breakdown of the given years income along with the balance owing or refund.
- Notice of Default (NOD) — Bank, Important,
- The step in the foreclosure process where the lender informs the court that the borrower is in arrears.