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)
Refine Results
Search on:Refers to the risk of the underlying mortgage loans and offered certificates tied to different indices. It is the possibility of the certificate accruing interest at higher interest rates than the underlying mortgage loans. When the aggregate amount of interest on the certificates is greater than the collateral, the amount is known as the basis-risk shortfall.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
A stipulation within the regulatory acts governing the investments of insurance companies, savings and loan associations and mutual savings banks, allowing for a small percentage of total assets to be placed in investments not otherwise permitted by the acts.
Term Source: MBA Glossary
Term Type: Other
Focus Area: #MBAGlossary
A market characterized by falling prices. A bear market in the mortgage industry may be triggered by rising interest rates.
Term Source: MBA Glossary
Term Type: Event
Focus Area: #MBAGlossary
A suburban residential area where most residents commute to neighboring metropolitan areas to work.
Term Source: MBA Glossary
Term Type: Other
Focus Area: #MBAGlossary
Gross income minus all expenses, except income taxes.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
Describes mortgage insurance programs where the interest rates on the mortgages are below that ordinarily charged for similar conventional financing; used to assist low- and moderate-income families to rent or buy dwelling units.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
A person who benefits from a life insurance policy, will, contract or deed of trust. In the latter case, the lender is the beneficiary.
Term Source: MBA Glossary
Term Type: Actor
Focus Area: #MBAGlossary
The lender�s statement under a deed of trust, detailing the remaining principal balance, monthly payment and interest rate on the loan. Also called a "bene statement," "offset statement" or "estoppel certificate."
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
Method of appraising corner lots which takes into consideration the value of the lot portions facing each street. Also called the "Baltimore Rule."
Term Source: MBA Glossary
Term Type: Process
Focus Area: #MBAGlossary
An improvement, replacement or maintenance which results in a higher asset valuation.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
1) The price at which a seller will sell particular securities. In the securities and commodities trade, the highest price offered for a security or commodity at a given time. Also called a quotation or quote. 2) Describes required home repairs or improvements and provides an estimation of cost to complete. AKA: Estimate to Complete Work, Repair Estimate, Alteration Improvement and Repairs.
Term Source: MBA Glossary, LDD Document
Term Type: Data, Document
Focus Area: #LDD, #MBAGlossary, #Origination, #Servicing
The difference between the highest price offered for securities and the lowest price that will prompt a seller to sell.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
A document signed by a seller that certifies a transfer of ownership of personal property.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
A preliminary agreement between a buyer and seller which includes the price and terms of the contract. In commercial real estate, a legal agreement issued by the insurer or its agent to provide evidence of coverage until such time as a full policy(ies) is/are issued.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
A mortgage with payments due every two weeks, totaling 26 payments a year.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
The coverage of more than one piece of property under one instrument, such as a blanket insurance policy, blanket deed of trust, blanket assignment or blanket survey.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
A mortgage that covers more than one parcel of real estate owned by the mortgagor.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
A securities offering of interests in a property or group of properties that have yet to be acquired.
Term Source: MBA Glossary
Term Type: Document
Focus Area: #MBAGlossary
A square or rectangular portion of a city or town enclosed by streets. Often used as part of a subdivision legal description.
Term Source: MBA Glossary
Term Type: Data
Focus Area: #MBAGlossary
State laws covering the registration and sale of new securities.
Term Source: MBA Glossary
Term Type: Other
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].