Glossary of Mortgage Terms

Fannie Mae HomePath is a website where you can look for and buy homes that Fannie Mae took back through foreclosure. These homes are often sold for less than their market value and come with special financing options.

Fee simple is the highest level of property ownership in the US. It gives owners full rights to use, sell, or pass on their land and any buildings on it.

The Federal Housing Administration backs the FHA 203(b) loan, which is the most common type of government-backed mortgage. You can buy a home with as little as 3.5% down.

You can buy or refinance a fixer-upper with an FHA 203(k) loan, which is a government-backed mortgage that lets you combine the costs of repairs and renovations into one loan.

A government-backed home loan from the Federal Housing Administration (FHA) is an adjustable-rate mortgage (ARM) that starts with a fixed interest rate and then changes every so often based on market indexes.

Before a lender will approve a loan, the Federal Housing Administration (FHA) requires an appraisal of the property. This appraisal finds out the home's market value and makes sure it meets minimum health, safety, and structural standards.

When you apply for an FHA loan, FHA compensating factors are good things about your finances that can help you qualify even if other parts of your application don't meet the minimum requirements.

An FHA loan is a government-backed mortgage that lets people with less-than-ideal credit buy a home with as little as 3.5% down.

An FHA refinance replaces your current mortgage with a new loan that is backed by the Federal Housing Administration. This gives homeowners a way to lower their monthly payments, change the terms of their loan, or get access to their home equity.

An FHA streamline refinance is a simple way for homeowners with an existing FHA loan to get a new mortgage with a lower interest rate. This can often be done without an appraisal or proof of income.