adjustable rate mortgage (ARM) Mortgage with an interest rate that may change, usually in response to changes in the Treasury Bill rate or the prime rate.
adjustment period Period during the life of an ARM between one rate change and the next.
amortization Gradual elimination of a debt, like a mortgage, with regular fixed payments over a specified period of time.
annual percentage rate (APR) Cost of the loan as an annual rate. It includes points paid to secure the loan, mortgage insurance, and other fees.
appraisal Third-party estimate of the value of the property at a specific point in time
asset Item of value.
back end ratio Applicant’s total housing expense plus all other monthly debt divided by total monthly pretax income. ...