The amount that is added to the index in order to calculate the interest rate for an adjustable-rate mortgage.
When a loan becomes due and payable.
Late-stage, venture capital financing.
Short-term, permanent financing, usually 3 to 5 years.
An entity that makes loans with its own money and then sells the loan to other lenders.
An entity that arranges loans for borrowers.
A type of insurance changed by most lenders to offset the risk of a loan when the down payment is less than 20% of the value of the property.
A type of accelerated payment program whereby payments are made more frequently usually bi-weekly or weekly rather than the traditional monthly payment. Making more frequent and accelerated payments reduces the amount of principal faster, thereby reducing the accumulated interest. The net effect can be a savings on the total interest paid
Properties are above average in terms of design, construction and finish; command the highest rental rates; have a superior location, in terms of desirability and/or accessibility; generally are professionally managed by national or large regional management companies.
Properties frequently do not possess design and finish reflective of current standards and preferences; construction is adequate; command average rental rates; generally are well maintained by national or regional management companies; unit sizes are usually larger than current standards.
Properties provide functional housing; exhibit some level of deferred maintenance; command below average rental rates; usually located in less desirable areas; generally managed by smaller, local property management companies; tenants provide a less stable income stream to property owners than Class A and B tenants.