Below is a mortgage glossary of terms. There may be words listed that no longer apply in todays market. Please call us if you have any questions.

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Debt-to-Income Ratio (DTI) -
The ratio of aggregate monthly debt to aggregate monthly income.

Deed -
A legal document which affects the transfer of ownership of real estate from the seller to the buyer.

Deed of Trust -
Synonymous to a mortgage. A deed of trust or mortgage is obtained, depending on the state in which the borrower will reside.

Default -
The failure to make payments on a loan.

Delinquency -
Late- or non-payments of principal, interest, taxes, or insurance.

Deposit -
A lump sum given in advance as security. A deposit is always paid of a larger amount to be paid in the future. In mortgage and real estate terms, this is called the "earnest money deposit."

Depreciation -
In real estate and mortgage terms, the decline in the property value.

Discount -
Difference between the face amount of a note or mortgage and the price at which the instrument is sold in the secondary market.

Discount Points -
A term used in government subsidized loans, such as FHA and VA loans. Refers to any "points" (one percent of the loan amount) paid in addition to the one percent loan origination fee.

Down Payment -
Money paid by a buyer from his own funds, as opposed to that portion of the purchase price which is financed.