Archives: Glossary Terms

The responsibility that an individual has for a debt. Most mortgage loans on real estate are recourse (i.e., the lender can look to the property and the borrower for repayment). Contrast Nonrecourse, Exculpatory clause.

Any property which is not real property.

An executor, guardian or administrator who represents another party under contract or judicial appointment.

(PUD) An area which is designed and provides for intensive use of land often through a combination of private and common areas with arrangements for sharing responsibilities for the common areas. Typically, zoning boards consider the entire development as a residential cluster and allow its design to be substituted for a traditional subdivision.

The depositing of personal property by a debtor with a creditor as security for a debt or engagement.

A party who is given a pledge or a security. See Secured party.

A party who is given a pledge or a security. See Secured party.

A party who offers a pledge or gives security. See Debtor.

A loan payment plan that calls for straight (or equal) principal reduction payments plus the accrued interest.

A charge assessed by a lending institution to increase the yield of a mortgage loan above the contract rate to the market rate so that it is competitive with other investments and is equal to the difference between the stated principal amount on the note and the lesser amount loaned. One point equals 1 percent of the loan amount. See Discount points.