Glossary of Real Estate terms used by Baja Real Estate Group's website.There are 367 Real Estate entries in this glossary. Complete with definitions.
- Back End Ratio (debt ratio)
A ratio that compares the total of all monthly debt payments (mortgage, real estate taxes and insurance, car loans, and other consumer loans) to gross monthly income.
- Back to Back Escrow
Arrangements that an owner makes to oversee the sale of one property and the purchase of another at the same time.
- Baja Real Estate
Land and all physical property on, below or attached to the land in the state of Baja California, Mexico. Houses, sewers, trees and fences are all real estate.
- Balance Sheet
A financial statement that shows the assets, liabilities and net worth of an individual or company.
- Balloon Loan or Mortgage
A mortgage that typically offers low rates for an initial period of time (usually 5, 7, or 10) years; after that time period elapses, the balance is due or is refinanced by the borrower.
- Balloon Payment
The final lump sum payment due at the end of a balloon mortgage.
A federal law whereby a person's assets are turned over to a trustee and used to pay off outstanding debts; this usually occurs when someone owes more than they have the ability to repay.
- Biweekly Payment Mortgage
A mortgage paid twice a month instead of once a month, reducing the amount of interest to be paid on the loan.
A person who has been approved to receive a loan and is then obligated to repay it and any additional fees according to the loan terms.
- Bridge Loan
A short-term loan paid back relatively fast. Normally used until a long-term loan can be processed.
A licensed individual or firm that charges a fee to serve as the mediator between the buyer and seller. Mortgage brokers are individuals in the business of arranging funding or negotiating contracts for a client, but who does not loan the money. A real estate broker is someone who helps find a house.
A detailed record of all income earned and spent during a specific period of time.
- Building Code
Based on agreed upon safety standards within a specific area, a building code is a regulation that determines the design, construction, and materials used in building.
- Buy Down
The seller pays an amount to the lender so the lender provides a lower rate and lower payments many times for an ARM. The seller may increase the sales price to cover the cost of the buy down.