Rate Lock
A lender will often provide a prospective borrower with an incentive called a "rate lock", which is in effect a commitment that guarantees a specific interest rate at a definitive cost for an explicit time period. |
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Realtor
Only a real estate broker or associate who holds active membership in a local real estate board that is officially affiliated with the National Association of Realtors may legally refer to himself or herself as a "Realtor". The term "Realtor" is trademarked by the NAR, which actively regulates how and by whom the term may be used. |
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Recission
"Rescission" simply referrers to the process of cancelling or nullifying a legal contract with the mutual consent of all parties involved. |
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Reconveyance
In situations where the title to a property is held as collateral on a loan, that title is transferred back to the borrower when the performance of debt is satisfied under the terms of a deed of trust. |
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Redemption Period
When a mortgage is defaulted on and foreclosure proceedings have begun, the foreclosed mortgagor is normally allowed to reclaim the title and possession of the property by paying off both the principal and interest of the debt in question, plus any associated penalty fees and charges. The legal time frame of redemption periods varies by state and location. |
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Refinancing
Because interest rates and borrowing conditions vary over time, it is often advantageous to pay off an existing loan agreement by replacing it with a new one with more favorable terms. |
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Registrar of Deeds
Synonymous with the term "County Clerk", the "Registrar of Deeds" is the local public official who records and archives the official documentation of real estate transactions within the jurisdiction. |
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Regulation Z
The Board of Governors of the Federal Reserve System issues a set of rules and guidelines regulating consumer lending practices. Regulation Z, also known as the "Truth in Lending Act", requires lending institutions to fully disclose all costs and expenses associated with obtaining credit. |
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Rent Control
Local governments sometimes place limitations as to the maximum rental fees that may be charged for the use of certain properties. |
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Restrictive Covenant
A real property deed may contain a clause which defines usage restrictions, and which is normally binding on all subsequent purchasers of the property. Examples include limitations on the sizes, styles and purposes of structures to be erected on the property. |
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Return On Investment, ROI
Also referred to as rate of return (ROR), the ROI is a simple formula that expresses the degree of success or potential success an investment has or is likely to deliver. It is expressed as a percentage, and is arrived at by dividing the amount of money gained or lost by the amount invested. |
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Reverse Mortgage
A Reverse Annuity Mortgage (RAM) is a loan which provides a property owner with monthly payments based upon his or her accumulated equity. Such loans typically don't have to be repaid in full until the borrower dies or sells the home, and are usually only available for home owners 62 years of age or older. |
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Right Of First Refusal
Similar in concept to a "call option", A Right of First Refusal is simply an agreement which grants the holder the first opportunity (but not the obligation) to purchase or lease a property under the identical terms and conditions that an owner has been offered (and wishes to accept) from another party. |
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Right Of Survivorship
In situations involving joint ownership or joint tenancy, full possession of a deceased party's interest in a property may be passed on to any and all parties specified as holding the right of survivorship. Under such circumstances, survivors are free to sell their newly acquired interest in the property without the consent or permission of the remaining (still living) owners. |
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Right Of Way
Also referred to as an "easement", a property deed may contain a provision explicitly granting another party the formal legal right to travel across the property. |
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Rollover Loan
A mortgage agreement may specify a time period at the conclusion of which the loan terms and conditions may be revised and/or rewritten. |
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