Glossary of Mortgage Terms

A balloon mortgage is a home loan with low monthly payments for a set period of time, typically five to seven years. After that, the entire balance is due in one payment.

A biweekly mortgage payment is a way for borrowers to pay back their loans by making half of their monthly mortgage payment every two weeks. This adds up to 26 half-payments a year, which is the same as one extra full payment.

A blanket mortgage is a single loan that covers two or more properties at once. This lets investors and developers manage more than one property with one loan.

A bridge loan is a type of short-term financing that lets homeowners borrow against the equity in their current home to buy a new one before they sell the old one.

Builder's risk insurance is a type of property insurance that protects buildings, materials, and tools from damage or loss during construction or major renovations.

A bungalow is a small, one- or one-and-a-half-story house with a low-pitched roof, an open floor plan, and a wide front porch. It is a popular choice for both first-time home buyers and retirees.

A buyer agency agreement is a written agreement between a home buyer and a real estate agent that lists the services the agent will provide, how long the relationship will last, and how the agent will be paid.

A buyer’s agent is a licensed real estate professional who represents the home buyer’s interests throughout the entire purchase process, from the initial property search through closing day.