Real Estate Glossary

• Abstract of title

  Abstract of title is a condensed history of ownership of real estate. It consists a summary of original grant and a certificate of abstractor that the history is true and complete.

• Additional principal payment

  The payment given by the borrower more than the scheduled principal amount in order to reduce the due payment on his debt

• Adjustable Rate Mortgage

  Adjustable Rate Mortgage is a lone where the rate of interest is periodically adjusted based on a predetermined index.

• Agreement of Sale

  Agreement of Sale is a written document of a deal between the buyer and the seller to seller buy real-estate property. The contract is on installment basis. It is also called Agreement to Convey.

• ALTA

  The full form of ALTA is American Land Title Association. It is an Organization composed of title insurance firms .It sets standards for industry, including title insurance policy forms which are used on a national basis in the United States of America.

• Apartment

  A self-contained housing unit which occupies the the part of building is called an Apartment.It can be owned or rented by the owner. In Britain and other commonwelth contries, the term Flat is used instead of apartment.

• Balloon payment

  Balloon payment is a lone where monthly payment is very low. But the full balance ought to be paid on the maturity date. The final lump sum payment that is made at the maturity date is called Balloon payment.

• Bankrupt

  Someone who has surrendered all his assets to a court-appointed trustee and is declared free from his due payment of his debts by the court is called Bankrupt.