earnest money deposit
A deposit made by the potential home buyer to show that he or she is serious about buying
the house. easement
A right of way giving persons other than the owner access to or over a property.
effective gross
income
Normal annual income including overtime that is regular or guaranteed. The income may be
from more than one source. Salary is generally the principal source, but other income may
qualify if it is significant and stable.
eminent domain
The right of a government to take private property for public use upon payment of its fair
market value. Eminent domain is the basis for condemnation proceedings.
encroachment
An improvement that intrudes illegally on another’s property.
encumbrance
Anything that affects or limits the fee simple title to a property, such as mortgages,
leases, easements, or restrictions.
Equal Credit
Opportunity Act (ECOA)
A federal law that requires lenders and other creditors to make credit equally available
without discrimination based on race, color, religion, national origin, age, sex, marital
status, or receipt of income from public assistance programs.
equity
A homeowner's financial interest in a property. Equity is the difference between the fair
market value of the property and the amount still owed on its mortgage.
escrow
An item of value, money, or documents deposited with a third party to be delivered upon
the fulfillment of a condition. For example, the deposit by a borrower with the lender of
funds to pay taxes and insurance premiums when they become due, or the deposit of funds or
documents with an attorney or escrow agent to be disbursed upon the closing of a sale of
real estate.
escrow account
The account in which a mortgage servicer holds the borrower’s escrow payments prior
to paying property expenses.
escrow analysis
The periodic examination of escrow accounts to determine if current monthly deposits will
provide sufficient funds to pay taxes, insurance, and other bills when due.
escrow disbursements
The use of escrow funds to pay real estate taxes, hazard insurance, mortgage insurance,
and other property expenses as they become due.
escrow payment
The portion of a mortgagor’s monthly payment that is held by the servicer to pay for
taxes, hazard insurance, mortgage insurance, lease payments, and other items as they
become due. Known as "impounds" or "reserves" in some states.
estate
The ownership interest of an individual in real property. The sum total of all the real
property and personal property owned by an individual at time of death.
examination of title
The report on the title of a property from the public records or an abstract of the title.
executor
A person named in a will to administer an estate. The court will appoint an administrator
if no executor is named. "Executrix" is the feminine form. |
Equal Housing Lender. © 2007 Abela Group Home Loans, L.L.C. Trade/service marks are the property of Abela Group Home Loans L.L.C., and/or its
subsidiaries. *Loan Approval is subject to satisfactory appraisal and title review and no change in financial condition. If the rate is
not locked or rate protection expires, any rate increase may lower the loan amount for which the borrower has pre-qualified. **Interest Rates
are subject to change without notice. Refinancing or taking out a home equity loan or line of credit may increase the total number of monthly
payments and the total amount paid when comparing to your current situation.