Definitions related to mortgages, refinancing, real estate, and lending.

premium pricing

Define: premium pricing

Definition: Premium pricing is a credit from a lender for the interest the interest rate chosen. Premium pricing may be used to pay a borrower’s actual closing costs and/or prepaid items.

net worth

Define: net worth

Definition: Net worth is assets minus liabilities.

mortgage lender

Define: mortgage lender

Definition: A mortgage lender is a lender providing funds for a mortgage. They can also manage financial information review financial and credit information review, the property and loan application process through closing.

mortgage investors

Define: mortgage investors

Definition: Mortgage investors are individuals or companies that purchase mortgages after the closing.

mortgage broker

Define: mortgage broker

Definition: A mortgage broker is a person that renders origination services and serves as the intermediary between a borrower and a lender in a transaction involving a federally related mortgage loan.

leverage

Define: leverage

Definition: Leverage is the use of borrowed funds to increase yield.

what are lender credits

Define: lender credits

Definition: Lender credits a credit that a lender may offer a borrower to help with closing costs. The lender usually increased the loan amount or charges a higher interest rate to cover these costs.

junior lien

Define: junior lien

Definition: A junior lien is a loan that is subordinate to a primary loan, such as a second or third mortgage.

interest definition

Define: interest

Definition: Interest is the fee charged for the use of money.

high priced mortgage loan

Define: high priced mortgage loan

Definition: A high priced mortgage loan is a mortgage loan with an APR 1.5 percent high than the Average Prime Offer Rating for a first-lien mortgage or 3.5 percent for a subordinate mortgage.