net
cash flow
The income that remains for an investment property after the monthly operating income is
reduced by the monthly housing expense, which includes principal, interest, taxes, and
insurance (PITI) for the mortgage, homeowners' association dues, leasehold payments, and
subordinate financing payments. net
worth
The value of all of a person's assets, including cash, minus all liabilities.
no cash-out refinance
A refinance transaction in which the new mortgage amount is limited to the sum of the
remaining balance of the existing first mortgage, closing costs (including prepaid items),
points, the amount required to satisfy any mortgage liens that are more than one year old
(if the borrower chooses to satisfy them), and other funds for the borrower's use (as long
as the amount does not exceed 1 percent of the principal amount of the new mortgage).
nonliquid asset
An asset that cannot easily be converted into cash.
note
A legal document that obligates a borrower to repay a mortgage loan at a stated interest
rate during a specified period of time.
note rate
The interest rate stated on a mortgage note. |
Equal Housing Lender. © 2005 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.