Indianapolis Area Real Estate Blog

Real Estate Terms

Simple Real Estate Definitions : Short Sale

A 'Short Sale' is when a home seller sells his home for a lesser amount than what is owed on his mortgage, and the mortgage lender agrees to accept the lesser amount in lieu of a full payoff. By way of example, a Short Sale may be appropriate for ...

Read More

Simple Real Estate Definitions : APR

APR is an acronym for Annual Percentage Rate.  It's a government-mandated calculation meant to simplify the comparison of mortgage options. A loan's APR can always be found in the top-left corner of the Federal Truth-In-Lending ...

Read More

Real Estate Terms : Escrow Account

An escrow account is a designated savings account into which funds get deposited for a specific purpose. With respect to real estate and home loans, escrow accounts are used to pay real estate tax bills and homeowners insurance payments. Escrow ...

Read More

Real Estate Terms - FICO

The basis of most mortgage lending is credit scoring.  In general, the higher a person's credit score, the lower his offered mortgage interest rate. Despite the many credit scoring models in use today, however, just 3 are relevant to ...

Read More

Simple Real Estate Definitions : Refinance

A mortgage is a contract between a lender and borrower, defining the terms by which a home loan must be repaid.  The paperwork, signed by both parties, includes provisions for things like: The interest rate The length of the loan The amount ...

Read More

Real Estate Terms - Distressed Properties

Distressed homes for sale tend to get lumped tgether, but there are some distinct diefferences between these type of sales. Most are simply called foreclosed homes. These are the terms used by our local Board of Realtor listing service to describe ...

Read More

Real Estate Terms - BPO

BPO is short for Broker Price Opinion. A BPO is most commonly used by banks and investors when determining the property value of a home which is in the pre-foreclosure process. In place of a full appraisal, the bank or investor will hire a broker or ...

Read More

Simple Real Estate Definitions : PITI

Most homeowners make four housing-related payments each month: Principal on a mortgage Interest on a mortgage Taxes on the real estate owned Insurance for the real estate owned Collectively, these payments are known by the acronym PITI but ...

Read More

Simple Real Estate Definitions: Discount Points

  More commonly called 'points', discount points are up-front fees charged by mortgage lenders in exchange for lower mortgage rates.  The cost of one point is one percent on the loan size and discount points appear on Line 802 of the HUD-1 ...

Read More

Simple Real Estate Definitions : Loan-to-Value

Loan-to-value is a math formula that represents the relationship between how much a home is 'worth' and how much money is borrowed against it. Loan-to-value is often abbreviated as 'LTV' and is one of the many factors that lenders consider when ...

Read More

Real Estate Term: Earnest Money

  When a buyer and seller reach agreement on a home sale, the buyer typically puts a small amount of money into a trust account.  This up-front deposit is more commonly known as 'earnest money'. A sales contract's earnest money requirement ...

Read More

Do You Know Your Absorption Rate?

Absorption rate isn't a topic of interest to most people, as it relates to Indianapolis Real Estate. Unless, of course, you are buying or selling a home or are a Realtor who studies the market. Then, it becomes a very interesting topic. While it may ...

Read More
Blog Archives

Posts By Category

All Categories Buyer Resources (59) Community News (37) Home and Family (36) Home Maintenance Tips (14) Homeowners (34) Homes for Sale | Listings (25) Indianapolis Things to Do (62) Indy Photo Spot (5) Lifestyle Communities (4) Local Indy (42) Market Statistics (87) Mortgage News and Info (49) Parks and Recreation (12) Random Thoughts (19) Real Estate News (73) Real Estate Terms (15) Relocation Tips (8) Seller Information (41) Upcoming Events (3)

Posts By Month

Blog Roll

Homes in Hendricks County
Grab Our RSS Feed
New Listing Alerts

Be one of the first to know when new listings matching your criteria hit the market.

Get New Listings
Relocation Guide

Find your next home and learn about neighborhoods, current market statistics, and local schools.

Free Relocation Guide
Free Market Analysis

Our free service provides you with a detailed estimate of your home's current market value.

Get a Free Market Analysis