A mortgage that has a lien position subordinate to the first mortgage.

The market in which mortgage loan and mortgage-backed securities are bought and sold.

A loan that is backed by property such as a house, car, jewelry, etc.

The property that will be given or pledged as collateral for a loan.

An agreement in which the seller of a property provides financing to the buyer for the home purchase.

• See also "Owner Financing"

A firm that performs servicing functions, including collecting mortgage payments, paying the borrower's taxes and insurance and generally managing borrower escrow accounts.

The tasks a lender performs to protect the mortgage investment, including the collection of mortgage payments, escrow administration, and delinquency management.

The process of completing a loan transaction at which time the mortgage documents are signed and then recorded, funds are disbursed, and the property is transferred to the buyer (if applicable). Also called closing or escrow in different jurisdictions.

• See also "Closing"

A document that lists all closing costs on a real estate purchase or refinance transaction.

One- to four-unit properties including detached homes, townhouses, condominiums, and cooperatives, and manufactured homes attached to a permanent foundation and classified as real property under applicable state law.

A second mortgage whose payment is forgiven or is deferred until resale of the property.

A federal law that restricts the enforcement of civilian debts against military personnel who may not be able to pay because of active military service.

Any mortgage or other lien with lower priority than the first mortgage.

A precise measurement of a property by a licensed surveyor, showing legal boundaries of a property and the dimensions and location of improvements.

A borrower's contribution to the down payment for the purchase of a property in the form of labor or services rather than cash.