Mortgage Glossary

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Tacking: Adding on to a certain period of time.
Takeout Financing: A firm commitment to provide permanent long-term financing after a construction project is completed.
Taking: The acquisition of a piece of land, usually through condemnation.
Tangible Property: Real estate and other property of value which can be seen and touched.
Tax Base: The total value of property, income, or other taxable assets subject to taxation.
Tax Certificate: A tax charged by some state or local governments at the time of transfer of real estate title from one owner to another. For our comparison purposes, these fees are considered to be a tax or other unavoidable fee.
Tax Service Fee
Taxes and Other Unavoidable Fees
Tenancy by the Entirety: Type of joint tenancy that provides the right of survivorship and is available only to a husband and wife. Compare with tenancy in common.
Tenancy in Common: Type of joint tenancy without the right of survivorship. Compare with tenancy by the entirety and with joint tenancy.
Term: "The loan term is the number of months that you will make monthly payments. If the loan term is the same as the payment calculation term, you will pay the loan in full during the loan term and no balance will be due. If the payment calculation term is greater than the loan term, a balance or "balloon payment" may be due at the end of the loan term."
Third Party Fees
Title: A legal written instrument evidencing a person's lawful possession of a property.
Title Company: A company that specializes in examining titles to real estate and issuing title insurance.
Title Examination
Title Insurance
Title Opinion
Title Search: An examination of the public title records to determine the legal ownership of a property, and to ensure that there are no liens, encumbrances or other claims outstanding.
Total Closing Costs: This is the total of all the items that must be paid at closing related to your new mortgage. Since the exact charges for some of these items cannot be obtained until the time of closing, the figure may only be an estimate.
Total Debt Ratio
Trade Equity: Equity that results from a buyer giving an existing property as trade for all, or part of, the down payment on the subject property.
Transfer of Ownership: Any legal method by which the ownership of property changes hands.
Transfer Tax: A tax charged by some state or local governments at the time of transfer of real estate title from one owner to another. For our comparison purposes, these fees are considered to be a tax or other unavoidable fee. May also be referred to as an Intangible Tax.
Treasury Bills: An index used to establish interest rates for adjustable rate mortgages. It is based on the interest rate paid to private investors by the US Government to obtain funding for the national debt and other expenses. Sometimes called T-bills, they are available in denominations of 3-months, 6-months and 1-year. The 3-month and 6-month Treasury bills are auctioned every Monday, and the 1-year Treasury bills are auctioned on Tuesday. The resulting figures are released to the public the next day. This index can have either a weekly or a monthly value.
Treasury Bond: Negotiable, long-term U.S. Government debt obligation with a maturity of ten years or longer, issued in minimum denominations of $1,000.
Treasury Index: An index that is used to determine interest rate changes for some adjustable-rate mortgage (ARM) programs. It is often based on the U.S. Treasury's daily yield curve.
Treasury Note: An intermediate U.S. Government security with a maturity of 1 to 10 years. Denominations range from $1,000 to $1 million or more. The notes are sold by cash subscription, in exchange for outstanding or maturing government issues, or at auction.
Treasury Securities: An index used to establish interest rates for adjustable rate mortgages. It is based on the yields of actively traded 1-year, 3-year, or 5-year Treasury Securities adjusted to constant maturities. The Treasury Security indices are calculated by the U.S. Treasury and reported by the Federal Reserve Board. These indices have either a weekly or a monthly value. The weekly indices are released on Monday afternoon for the previous week. Monthly values for these indices are generally available on the first Monday of the following month.
Trustee: A fiduciary who holds property in trust for another to secure performance of an obligation or act
Truth in Lending Act
Two-step Mortgage: A type of adjustable-rate mortgage (ARM) that has one interest rate for the first few years (typically 5 or 7), and a different rate for the remainder of the amortization term.