Real Estate Glossary: A’s and B’s

|November 13, 2017

My own tongue-in-cheek definitions of real estate terms, starting with the A’s and B’s.

Acceleration Clause:
A clause in a loan contract where—if you do certain things—instead of having to repay your loan 27 years from now you have to repay it next Monday.

Adjustable Rate Mortgage:
Not necessarily a bad thing. Ask me why.

Agent:
Loves you like your mother (if you have the right agent).

Annual Percentage Rate:
What your rate of interest would be if you factored in all the costs associated with your loan. Better not to dwell on the APR.

Application:
Fill in a loan application once and you’ll understand why you should make a copy so you never have to fill one in again.

Appreciation:
Something you can count on to be robust in San Francisco.

Assessed Value:
Predicated on purchase price and, in San Francisco and California, subject to expected, minimal increases over time. No surprises, unlike in other parts of the country.

Balloon Payment:
Neither fun nor festive. See “Acceleration clause” above.

Bridge Loan:
Allows you to buy a new house before you’ve sold your old one. Not a great idea unless you can afford to own two houses—in case something goes awry with your plan.

Category Real Estate

Cynthia Cummins

Cynthia Cummins

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