Home / Standards & Resources / Business Glossary / Business Glossary-Term List

Business Glossary-Term List

Welcome to the MISMO Business Glossary - your online source of mortgage industry business terms and data point descriptions. Follow the links provided for Term Type; Focus Area; and Source descriptions; complete terms of authorized usage; and a more detailed description of the MISMO Business Glossary.  Search tip:  Use quotes for an exact search (e.g., "keyword or phrase"). 

Return to full Term List                                                                                           Download Business Glossary
                                                                                                                                                   (MISMO Members)

After-Tax Cash Flow

The cash flow remaining after deduction of an allowance for taxes attributable to that income.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

All-In Cost

The term applied to the total costs of a securitization; usually quoted in basis points to reflect what the costs would have added to yield if they had not been spent on the creation of the security.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Allocated Loan Amount

The portion of the principal amount of a blanket mortgage associated with each individual property. This term is applicable when a number of properties are financed under one blanket mortgage with each property allocated its share of the total mortgage balance.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Allowance For Vacancy And Income Loss

In accounting, an estimated amount reflecting probable vacancy, nonpayment of rent by tenants and any other income loss. These funds are set aside to cover either expected or unanticipated income losses.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

AM Best Rating

An evaluation published by the A.M. Best Company of all life, property and casualty insurers (U.S. domiciled and U.S. branches of foreign property insurer groups) which are active in the United States. These ratings are often used by agents, brokers and commercial insurers to determine the suitability, service record and financial stability of insurance companies.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Amount Realized

The amount of money, or fair market value of other property, received in a sale or exchange.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Amount To Make The Project Operational (AMPO)

An allowance, ordinarily a percentage of the replacement cost, that can be included in the mortgage insured by HUD/FHA to provide a nonprofit sponsor with working capital during the initial period of operation of a project.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Annual Percentage Rate (APR)

A term defined in section 106 of the federal Truth in Lending Act (15 USC 1606), which expresses on an annualized basis the charges imposed on the borrower to obtain a loan (defined in the Act as "finance charges"), including interest, discount and other costs.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary, #MISMOApprovedAcronym

Annuity Starting Date

The first day of the first period for which an amount is due as payment under an annuity contract.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Apartment

A complete and separate living unit in a building containing at least one other like unit.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Apartment Hotel

An apartment complex which provides some hotel services, such as a restaurant or cleaning and linen services. Units are furnished and tenants may stay for extended periods.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Application Fee

Fee charged by a lender at the time of loan application. This fee may include the cost of an appraisal, credit report, lock-in fee or other closing costs which are incurred during the process or the fee may be in addition to other charges.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Appreciation

An increase in value for any reason, except inflation.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Arrears

The situation in which mortgage interest and real estate taxes are paid at or after the end of the period for which they are levied. Late payment is also described as being in arrears.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Ask Or Asking Price

The offering or sales price at which a security would be sold by a securities dealer to an investor.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Assessed Valuation

The value that a taxing authority places upon real property that becomes the base for computing local property taxes. May also refer to a levy against property for a special purpose, such as a sewer assessment.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Assessment

A value factor assigned to real property and used to determine real property taxes. The process of reaching the assessed valuation. Also, an add-on tax to raise money for a special purpose.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Asset

A property or right owned, tangible or intangible, that has monetary value and is capable of providing future benefits to its owner.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Asset Turnover Ratio

The ratio of sales over total assets used as an indicator of how well the total investment in assets is being used to generate sales.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

Assumption Fee

The amount paid a lender for the paperwork and processing of records necessary to approve and document a new debtor.

Term Source: MBA Glossary

Term Type: Data

Focus Area: #MBAGlossary

 

AUTHORIZED USAGE: All usage of this product is dictated by the terms and conditions within the MISMO 2018 Intellectual Property Rights (IPR) Policy For more information, please see complete Authorized Usage / Patent Disclosure Request or contact [email protected].