|
Impound, or
Reserves |
The portion of a
borrower's monthly payments held by the lender to pay for
taxes, hazard and mortgage insurance, lease payments, and
other items that will come due |
|
Income
approach |
The method of
estimating the value of a property by calculating its
generated income |
|
Income
property |
Real estate
developed for the purpose of generating
income |
|
Indemnify |
To provide for
compensation in the case of loss or damage to
property |
|
Indemnity |
The statement of
terms under which loss or damage to property will be
compensated |
|
Index |
A published interest
rate used by lenders to compare the interest rate for an
adjustable-rate mortgage (ARM) with that earned by other
investments (e.g., the yield on Treasury bills, interest rate
on loans from savings and loans institution, etc.), as a
result of which the ARM interest rate is
adjusted |
|
Ingress |
The right to enter
on or over a piece of property |
|
Insurable
Title |
A property title
which an insurance company is willing to insure against
possible claim |
|
Installment
contract, or Contract for deed |
A contract for the
sale of real estate whereby the buyer is in possession of the
property while paying off the purchase price in periodic
installments, despite the title being retained by the seller
until the future date of final payment |
|
Insured closing
letter |
An indemnity
provided by a title insurance company to a lender, whereby the
title insurance company assumes responsibility in the case
that the closing agent does not fulfill the terms of the loan,
or misappropriates the loan proceeds |
|
Insured
mortgage |
A mortgage that is
protected by the Federal Housing Administration (FHA) or by
private mortgage insurance (MI) so that if the borrower
defaults on the loan, the insurer compensates the lender the
lesser of the loss incurred or the actual insured
amount |
|
Interest rate
buydown plan |
An arrangement made
for the initial years of a mortgage whereby the seller (or any
other party) deposits money into an account that is then
released toward the monthly payments on the mortgage, thereby
bringing the mortgagor's interest rate down below the actual
interest rate |
|
Interest rate
ceiling |
The maximum interest
rate for an adjustable-rate mortgage (ARM), as specified in
the mortgage note |
|
Interest rate
floor |
The minimum interest
rate for an adjustable-rate mortgage (ARM), as specified in
the mortgage note |
|
Interim
financing |
A temporary or
short-term loan, often made during the construction phase of a
building project, and usually replaced by a permanent
long-term mortgage |
|
In
testate |
The condition of
dying without leaving a will. The description of an estate
without a will |
|
Involuntary
lien |
A claim or charge
against property placed without the consent of the property's
owner |
