Glossary of Mortgage Terms

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.

A cap rate, which stands for capitalization rate, is a percentage that shows how much money a real estate investment property can make each year compared to what it is worth on the market right now.

A cash-out refinance gives you a new, bigger loan instead of your current mortgage and gives you the difference in cash. This allows you take out and use the equity you've built up in your home over time.

A chain of title is a complete record of who has owned a piece of property over time, showing how it has changed hands from the original owner to the current one.

A chattel mortgage is a loan that lets you buy movable personal property, like a manufactured or mobile home. The property itself serves as collateral instead of land or real estate.