Funding

Explore everything from strategies to get the most bang for your buck to foundational knowledge that will get you ahead of the competition.
Then find a reputable lender here.

Back To: All Topics 

Funding

Explore everything from strategies to get the most bang for your buck to foundational knowledge that will get you ahead of the competition.
Then find a reputable lender here.

Back To: All Topics 

Mortgage Broker

Mortgage Broker

| Think Realty | Glossary | Funding
An intermediary party who brokers mortgage loans on behalf of individuals and businesses. Usually a mortgage broker is paid when the loan closes, and the lender or the borrower may be responsible for that fee ...
Mortgage

Mortgage

| Think Realty | Glossary | Funding
A legal agreement between a lender and a homebuyer wherein the lender loans money for the purchase of the property and the property serves as collateral until the debt is paid ...
Loan-To-Value (LTV) Ratio

Loan-To-Value (LTV) Ratio

| Think Realty | Glossary | Funding
A financial term used mainly by lenders to express the ratio of a loan to the value of the asset purchased using the loaned money or to the value of the asset serving as collateral on the loan. A borrower taking out a $65,000 loan to purchase a $100,000 property ...
Loan Workout

Loan Workout

| Think Realty | Glossary | Funding
An agreement between a lender and a delinquent borrower to either bring a loan back on track or resolve the delinquency in some other way. Workouts often include extensions of the payback period to lower monthly payments and other adjustments to the loan terms ...
Loan Origination

Loan Origination

| Think Realty | Glossary | Funding
The process of creating a new loan, from application to evaluation to disbursal of funds ...
Lien

Lien

| Think Realty | Glossary | Funding
A debt. In real estate, if a property has a lien against it, that property is serving as collateral for the debt in some form or fashion ...
LIBOR-Index

LIBOR-Index

| Think Realty | Glossary | Funding
The world’s most widely used benchmark for short-term interest rates. LIBOR stands for London Interbank Offered Rate. It is based on the US dollar, the euro, the pound sterling, the Japanese yen, and the Swiss franc. When LIBOR rises, interest rates also tend to rise ...
Leverage

Leverage

| Think Realty | Glossary | Funding
Using borrowed capital for an investment and expecting the profits made to be greater than the cost of the loan ...
Lease-Purchase Option

Lease-Purchase Option

| Think Realty | Glossary | Funding
A traditional rental agreement may include a first-refusal option for the tenant under certain circumstances. A lease-purchase may define a set time period within which the purchase may be made, pricing, and how the down payment will be obtained, since often tenants planning to exercise a lease-purchase will set a ...
Interest

Interest

| Think Realty | Glossary | Funding
Money paid regularly at a predetermined rate as payment for use of funds lent. Interest may also be paid as a fee for delaying repayment on a debt, as in an “interest only” loan ...
Heat Island

Heat Island

| Think Realty | Glossary | Funding
A loan made based on the value of the collateral securing the loan rather than the borrower’s predicted likelihood or ability to repay the loan. In hard money, the value of the collateral is the most important factor in the lending decision although many hard money lenders will check credit, ...
Hard Money Loan

Hard Money Loan

| Think Realty | Glossary | Funding
A loan made based on the value of the collateral securing the loan rather than the borrower’s predicted likelihood or ability to repay the loan. In hard money, the value of the collateral is the most important factor in the lending decision although many hard money lenders will check credit, ...
Hard Money Lender

Hard Money Lender

| Think Realty | Glossary | Funding
A lender who makes loans based on the value of the collateral securing the loan rather than the borrower’s predicted likelihood or ability to repay the loan. Find out more about hard money loans (and find a reputable lender) with the American Association of Private Lenders ...
Good-Faith Estimate

Good-Faith Estimate

| Think Realty | Glossary | Funding
Also referred to as a GFE, this document includes the breakdown of estimated payments due when a mortgage loan is closed. Lenders are required to provide these documents in order to help borrowers make good decisions and comparisons between loan offerings ...
Foreclosure Receivership

Foreclosure Receivership

| Think Realty | Glossary | Funding
The receivership process typically begins when a property owner stops making payments on a property. The receiver is responsible for controlling the property and maintaining its value. These can happen in commercial and residential properties ...
Foreclosure

Foreclosure

| Think Realty | Glossary | Funding
The process by which a lender seizes collateral, in real estate usually a piece of physical property, on a loan as a result of nonpayment ...
FHA Loan

FHA Loan

| Think Realty | Glossary | Funding
A government-backed mortgage issued by the Federal Housing Administration (FHA). These loans tend to have lower interest rates and less-stringent qualification requirements than other industry loans. FHA borrowers pay for mortgage insurance to protect the lender from loss in the event of a default ...
Fannie Mae

Fannie Mae

| Think Realty | Glossary | Funding
The Federal National Mortgage Association (FNMA) is a government-sponsored enterprise (GSE) established to stimulate the housing market by making mortgages more affordable to borrowers. Fannie Mae does not actually originate mortgages. Instead, it purchases and guarantees them after origination in order to create more liquidity for lenders and, by extension, ...
Escrow

Escrow

When an impartial third party holds something of value (in real estate, usually earnest money) during the progress of a transaction. If a home is “in escrow,” that means that the third party is holding the earnest money while the contract is negotiated and the deal is closed. Lenders may ...
Equity

Equity

| Think Realty | Glossary | Funding
Value found in an asset. In real estate, equity is the amount of value in an asset after the cost of the mortgage and other collateralized debts are deducted ...
How To Recession-Proof Your Business and Your Credit with Merrill Chandler

How To Recession-Proof Your Business and Your Credit with Merrill Chandler

00:32:09 | In this exclusive class you will learn: - How to avoid business credit imposters and the secret to what REAL business credit is - How to optimize for business credit approvals - How to avoid approval-killing red flag words And much, much more!   After you attend this ...
Down Payment

Down Payment

| Think Realty | Glossary | Funding
The initial payment made when a property is purchased on credit. Down payments usually range in size from 5% to 25% of the value of the loan and may affect a lender’s decision to require mortgage insurance ...
Delinquent

Delinquent

| Think Realty | Glossary | Funding
Late. When a mortgage is delinquent, the borrower is late in making payments ...
Deed-in-Lieu of Foreclosure

Deed-in-Lieu of Foreclosure

| Think Realty | Glossary | Funding
When the borrower conveys all interest in their mortgaged property to the lender in order to satisfy a loan and avoid foreclosure ...
Deed-in-Lieu

Deed-in-Lieu

| Think Realty | Glossary | Funding
When the borrower conveys all interest in their mortgaged property to the lender in order to satisfy a loan and avoid foreclosure ...