Mortgage A mortgage is the use of collateral to secure a debt and become a homeowner. It is always in writing and includes the terms of debt repayment.
Mortgage Broker Represents banks who are looking to issue mortgages. They assist buyers with the mortgage application and help facilitate the process to closing.
Multiple Listing Service (MLS) The MLS is a large database that shows real estate agents and brokers complete details of homes that are currently listed for sale on the local real estate market, but it also goes a step further by providing information on cooperative brokers who can work with buyers in order to help sell their homes more effectively. This particular service has essentially allowed the smaller brokers in the real estate industry to be able to compete with the bigger brokers, as they have access to a complete list of properties at their fingertips.
The MLS also has another big advantage for home buyers as they are given the opportunity to browse multiple houses using search criteria such as desired area, size of property, and age of property. Membership is not available directly to consumers although MLS information is often made available to national real estate sites where consumers can find the information.
National Association of REALTORS® (NAR) The NAR is the largest trade organization in the U.S. for real estate brokers and agents.
Nonconforming Use An exception to zoning ordinances for the utilization of land based on improvements made by a previous owner or in-place before the ordinance was enacted.
Notice of Lis Pendens Latin for “suit pending”. It is a public notice of pending litigation.
Offer The intent of a buyer to purchase a property by putting in writing their intent, to include sales price and any conditions they want the seller to meet. Once accepted by the seller, the home is under contract.
Origination The completion of the loan application, constituting the first step in the mortgage loan process.
Origination Fee A fee charged by lenders to process a loan application. Rates vary.