Oconee County Real Estate
Real Estate Terms | M
Marketable Title
A title that is free and clear of objectionable liens,
clouds, or other title defects. A title which enables
an owner to sell his property freely to others and which
others will accept without objection.
Mechanic's Lien
A lien created by statute on a specific property for
labor or materials contributed to an improvement on
that property.
Mortgage
A lien or claim against real property given by the buyer
to the lender as security for money borrowed. Under
government-insured or loan-guarantee provisions, the
payments may include escrow amounts covering taxes,
hazard insurance, water charges, and special assessments.
Mortgages generally run from 10 to 30 years, during
which the loan is to be paid off.
Mortgage Commitment
A written notice from the bank or other lending institution
saying it will advance mortgage funds in a specified
amount to enable a buyer to purchase a house.
Mortgage Insurance Premium
The payment made by a borrower to the lender for transmittal
to HUD to help defray the cost of the FHA mortgage insurance
program and to provide a reserve fund to protect lenders
against loss in insured mortgage transactions. In FHA
insured mortgages this represents an annual rate of
one- half of one percent paid by the mortgagor on a
monthly basis.
Mortgage Note
A written agreement to repay a loan. The agreement is
secured by a mortgage, serves as proof of an indebtedness,
and states the manner in which it shall be paid. The
note states the actual amount of the debt that the mortgage
secures and renders the mortgagor personally responsible
for repayment.
Mortgage (Open-End)
A mortgage with a provision that permits borrowing additional
money in the future without refinancing the loan or
paying additional financing charges. Open-end provisions
often limit such borrowing to no more than would raise
the balance to the original loan figure.
Mortgagee
The lender in a mortgage agreement.
Mortgagor
The borrower in a mortgage agreement.
Multiple Listing
A listing taken by a member of an organization of brokers,
whereby all members have an opportunity to find a buyer.
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