Upfront
Mortgage
Brokers
Fixed-Markup
Lender
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Last revised
December 27, 2008
A-Credit
A
consumer with the best credit rating, deserving of the lowest prices that
lenders offer. Most lenders require
a FICO score above 720 (see Credit
Issues).
There is seldom any payoff for being above the A-credit threshold (see
Does the Mortgage Market Reward Virtue?), but
you pay a penalty for being below it.
Acceleration clauseA contractual provision that gives the lender the right to demand repayment of the entire loan balance in the event that the borrower violates one or more clauses in the note. See Should I Lie About My Income?
Accrued interest
Interest that is earned but not paid, adding to the amount owed. Same as Negative amortization. Adjustable rate mortgage (ARM)A mortgage on which the interest rate, after an initial period, can be changed by the lender. While ARMs in many countries abroad allow rate changes at the lender's discretion ("discretionary ARMs"), in the US most ARMs base rate changes on a pre-selected interest rate index over which the lender has no control. These are "indexed ARMs". There is no discretion associated with rate changes on indexed ARMs. For articles on ARMs, click on Adjustable Rate Mortgages. Adjustment intervalOn an ARM, the time between changes in the interest rate or monthly payment. The rate adjustment interval is often displayed in x/y format, where "x" is the period until the first adjustment, and "y" is the adjustment period thereafter. For example, a 5/1 ARM is one on which the initial rate holds for 5 years, after which it is adjusted every year. The rate adjustment interval and the payment adjustment interval are the same on a fully amortizing ARM, but may not be on a negative amortization ARM. See Should You Fear Negative Amortization?AffordabilityA consumer's capacity to afford a house. Affordability is usually expressed in terms of the maximum price the consumer could pay for a house, and be approved for the mortgage required to pay that amount. Read How Much House Can You Afford? , How Much House Should You Buy? and Mortgage Affordability: Should Government Require It? AgencyThe legal requirement that one party in a relationship has a fiduciary obligation to the other. See Mortgage Brokers: Agents or Independent Contractors? And Should Mortgage Brokers Be Required To Be Agents?
Agreement
of sale
A contract signed by buyer and seller stating the terms and conditions under which a property will be sold. Alt-AA mortgage risk categorization that falls between prime and sub-prime, but is closer to prime. Also referred to as "A minus". Alternative documentationExpedited and simpler documentation requirements designed to speed up the loan approval process. Instead of verifying employment with the applicant's employer and bank deposits with the applicant's bank, the lender will accept paycheck stubs, W-2s, and the borrower's original bank statements. Alternative documentation remains “full documentation”, as opposed to the other documentation options. See What Are Mortgtage Documentation Requirements? AmortizationThe repayment of principal from scheduled mortgage payments that exceed the interest due. The scheduled payment less the interest equals amortization. The loan balance declines by the amount of the scheduled payment, plus the amount of any extra payment. For a detailed explanation, see Mortgage Amortization: How Does It Work? If the payment is less than the interest due, the balance rises, which is negative amortization. Amortization scheduleA table showing the mortgage payment, broken down by interest and amortization, the loan balance, tax and insurance payments if made by the lender, and the balance of the tax/insurance escrow account. Amount financedOn the Truth in Lending form, the loan amount less "prepaid finance charges", which are lender fees paid at closing. For example, if the loan is for $100,000 and the borrower pays the lender $4,000 in fees, the amount financed is $96,000. A useless number. See Another Truth in Lending Lie. Annual percentage rateSee APR. Application
A request for a loan that includes the
information about the potential borrower, the property and the requested loan
that the solicited lender needs to make a decision. In a narrower sense, the
application refers to a standardized application form called the
"1003" which the borrower is obliged to fill out. Application feeA fee that some lenders charge to accept an application. It may or may not cover other costs such as a property appraisal or credit report, and it may or may not be refundable if the lender declines the loan. AppraisalA written estimate of a property's current market value prepared by an appraiser. Appraiser
A
professional with knowledge of real estate markets and skilled in the practice
of appraisal.
When
a property is appraised in connection with a loan, the appraiser is selected by
the lender, but the appraisal fee is usually paid by the borrower.
Appraisal
fee
A
fee charged by an appraiser for the appraisal of a particular property. APRThe Annual Percentage Rate, which must be reported by lenders under Truth in Lending regulations. It is a measure of credit cost to the borrower that takes account of the interest rate, points, and flat dollar charges by the lender. The charges covered by the APR also include mortgage insurance premiums, but not other payments to third parties, such as payments to title insurers or appraisers. The APR is adjusted for the time value of money, so that dollars paid by the borrower up-front carry a heavier weight than dollars paid in the future. However, the APR is calculated on the assumption that the loan runs to term, and is therefore potentially deceptive for borrowers with short time horizons. Read Does the Annual Percentage Rate (APR) Help? Other articles about the APR are cited under Mandatory Mortgage Disclosure. For a summary of the differences between the APR and interest cost, see Annual Percentage Rate Versus Interest Cost. ApprovalAcceptance of the borrower's loan application. Approval means that the borrower meets the lender's qualification requirements and also its underwriting requirements. In some cases, especially where approval is provided quickly as with automated underwriting systems, the approval may be conditional on further verification of information provided by the borrower. See Mortgage Concepts Home Buyers Should Know. ARM
Assumption
A method of selling real estate where the buyer of the property agrees to become responsible for the repayment of an existing loan on the property. Unless the lender also agrees, however, the seller remains liable for the mortgage. Assumable mortgageA mortgage contract that allows, or does not prohibit, a creditworthy buyer from assuming the mortgage contract of the seller. Assuming a loan will save the buyer money if the rate on the existing loan is below the current market rate, and closing costs are avoided as well. A loan with a "due-on-sale" clause stipulating that the mortgage must be repaid upon sale of the property, is not assumable. See Are Mortgage Assumptions a Good Deal? Auction siteSee Lead-Generation site. Authorized userSomeone authorized by the original credit card holder to use the holder’s card. The card-holder is responsible for the charges of the authorized user, but the authorized user is not responsible for paying any charges, including his own. But sometimes authorized users are dunned for the unpaid bills of the card holder. See Are Authorized Users At Risk? Automated underwritingA computer-driven process for informing the loan applicant very quickly, sometimes within a few minutes, whether the applicant will be approved, or whether the application will be forwarded to an underwriter. The quick decision is based on information provided by the applicant, which is subject to later verification, and other information retrieved electronically including information about the borrower's credit history and the subject property.
Automated
underwriting system
A particular computerized system for doing automated underwriting. Mortgage insurers and some large lenders have developed such systems, but the most widely used are Fannie Mae’s “Desktop Underwriter” and Freddie Mac’s “Loan Prospector”. Back-end fee or commissionMortgage broker income paid by the lender, same as yield-spread premium and Negative points. "Bad-faith estimate" The practice of low-balling figures for settlement costs on the Good Faith Estimate to make them appear more attractive to mortgage shoppers. See A Bad Faith Estimate: Any Recourse? Bail-Out Government support to a firm in trouble, which may be limited to protecting creditors but sometimes to owners as well. See What Is a Bail-Out"? BalanceThe amount of the original loan remaining to be paid. It is equal to the loan amount less the sum of all prior payments of principal. See Mortgage Amortization: How Does it Work? Balloon mortgageA mortgage which is payable in full after a period that is shorter than the term. In most cases, the balance is refinanced with the current or another lender. On a 7-year balloon loan, for example, the payment is usually calculated over a 30-year period, and the balance at the end of the 7th year must be repaid or refinanced at that time. Balloon mortgages are similar to ARMs in that the borrower trades off a lower rate in the early years against the risk of a higher rate later. They are riskier than ARMs because there is no limit on the extent of a rate increase at the end of the balloon period. See Balloon Mortgages. BalloonThe loan balance remaining at the time the loan contract calls for full repayment. Bimonthly mortgageA mortgage on which the borrower pays half the monthly payment on the first day of the month, and the other half on the 15th. See Alternative Early Payoff Plans. Biweekly mortgageA mortgage on which the borrower pays half the monthly payment every two weeks. Because this results in 26 (rather than 24) payments per year, the biweekly mortgage amortizes before term. See Biweekly Mortgages. Blemished borrower A borrowers have one or more of the following risk factors: they can only make a very small or no down payment; they cannot fully document their income and assets; their property is something other than a single-family home; their loan is intended to raise cash or to purchase an investment property; they have low credit scores; their income is low relative to their expected total obligations; and their mortgage carries an adjustable rate that will result in substantially higher payments in a few years. See HR 3915 Would Stick it to Blemished Borrowers. Bridge loanA short-term loan, usually from a bank, that "bridges" the period between the closing date of a home purchase and the closing date of a home sale. Unsecured bridge loans are available if the borrower has a firm contract to sell the existing house. Secured bridge loans are available without such a contract. Read Buying a New House Before Selling the Old One. Builder-financed constructionHaving the builder finance the construction. Read Should the Builder Finance Construction? Buy-downA permanent buy-down is the payment of points in exchange for a lower interest rate. See Points. A temporary buy-down concentrates the rate reduction in the early years. See Temporary Buy-Down. Buy-upPaying a higher interest rate in exchange for a rebate by the lender which reduces upfront costs. See Negative Points. CapSame as Float-down. Cash Flow Option LoanSame as Flexible Payment ARM. Cash-Out refiRefinancing for an amount in excess of the balance on the old loan plus settlement costs. The borrower takes "cash-out" of the transaction. This way of raising cash is usually an alternative to taking out a home equity loan. For a discussion of the relative merits of the two approaches, read Debt Consolidation With a Cash-Out Refinance.
Closing
On a home purchase, the process of transferring
ownership from the seller to the buyer, the disbursement of funds from the
buyer and the lender to the seller, and the execution of all the documents
associated with the sale and the loan.
On
a refinance, there is no transfer of ownership, but the closing includes
repayment of the old lender. Closing costsSame as Settlement
costs.
Closing date
The date on which the closing occurs. See Mortgage Closing Date: Does it Matter? CMG plan A technique for repaying a loan early that involves using the mortgage as a substitute for a checking account. See The CMG Plan: Your Mortgage as a Checking Account.
Co-Borrowers
One or more persons who have signed the note, and are equally responsible for repaying the loan. Unmarried co-borrowers who live together are advised to agree beforehand on what happens if they split. See On Buying a House With a Domestic Partner. COFICost of funds index. One of many interest rate indexes used to determine interest rate adjustments on an adjustable rate mortgage. See What Is a Coffee Loan? and Which Adjustable Rate Mortgage Index Is the Best? Conforming mortgageA loan eligible for purchase by the two major Federal agencies that buy mortgages, Fannie Mae and Freddie Mac. See What Do Fannie Mae and Freddie Mac Do? Construction financingThe method of financing used when a borrower contracts to have a house built, as opposed to purchasing a completed house. See Pitfalls in Financing Home Construction . Contract knaveryInserting provisions into a loan contract that severely disadvantage the borrower, without the borrower’s knowledge, and sometimes despite oral assurances to the contrary. Prepayment penalties are perhaps the most frequently cited subject of such abuse. Read What Is Predatory Lending? Conventional mortgageA home mortgage that is neither FHA-insured nor VA-guaranteed. Conversion optionThe option to convert an ARM to an FRM at some point during its life. These loans are likely to carry a higher rate or points than ARMs that do not have the option. See Conversion Option on an Adjustable Rate Mortgage? CorrespondentA lender who delivers loans to a (usually larger) wholesale lender against prior price commitments the wholesaler has made to the correspondent. The commitment protects the correspondent against pipeline risk. See What Is a Correspondent Lender? COSICost of savings index. One of many interest rate indexes used to determine interest rate adjustments on an adjustable rate mortgage. See Which Adjustable Rate Mortgage Index Is the Best? Co-signing a noteAssuming responsibility for someone else's loan in the event that that party defaults. A risk not to be taken lightly. See The Hazards of Co-signing, and Co-Signing a Mortgaage: How Much Help? Credit reportA report from a credit bureau containing detailed information bearing on credit-worthiness, including the individual's credit history. See What Is a Credit Report? and Credit Reports and Credit Scores. Credit scoreA single numerical score, based on an individual's credit history, that measures that individual's credit worthiness. Credit scores are as good as the algorithm used to derive them. The most widely used credit score is called FICO for Fair Issac Co. which developed it. Many of the columns in Mortgage Credit Issues discuss factors that affect the FICO score, including Raise Credit Score by Paying Delinquencies? and Do Credit Inquiries Hurt Your Credit Credit? Cumulative interestThe sum of all interest payments to date or over the life of the loan. This is an incomplete measure of the cost of credit to the borrower because it does not include up-front cash payments, and it is not adjusted for the time value of money. See Interest cost. Current index valueThe most recently published value of the index used to adjust the interest rate on an indexed ARM. DeadbeatA borrower who doesn't pay. See When Good Credit Marries Bad Credit. And Can a Deadbeat Pay Cash? DebtaholicA borrower who cannot handle debt except by complete abstinence. See Are Credit Problems Cured by the Passage of Time? Debt consolidationRolling short-term debt into a home mortgage loan, either at the time of home purchase or later. For columns on the subject, see Debt Consolidation. Debt eliminationScams designed to relieve you of your money by promising to eliminate your mortgage debt. See Debt Elimination - Dupes Apply Here. Deed in lieu of foreclosureDeeding the property over to the lender as an alternative to having the lender foreclose on the property. See Options When Equity in Your Home is Gone and Mortgage Payment Problems: What If You Can't Pay? DefaultFailure of the borrower to honor the terms of the loan agreement. Lenders (and the law) usually view borrowers delinquent 90 days or more as in default. Deferred interestSame as negative amortization. DelinquencyA mortgage payment that is more than 30 days late. For articles on payment problems, see Payment Problems. Don't confuse with Late payment. Demand clauseA clause in the note that allows the lender to demand repayment at any time for any reason. See What Is a Demand Clause? Direct lenderSame as lender. Disaster MyopiaThe tendency of lenders to ignore potential shocks that can cause them major losses if a long period has elapsed since a shock has occurred. See Upheaval in the Sub-Prime Mortgage Market.Discount mortgage brokerA mortgage broker who claims to be compensated entirely by the lender rather than by the borrower. See Are Discount Mortgage Brokers Upfront? Discount pointsSame as points. Discretionary ARMAn adjustable rate mortgage on which the lender has the right to change the interest rate at any time subject only to advance notice. Discretionary ARMs are found abroad, not in the US. See Can You Have Peace of Mind With an ARM? Documentation requirementsThe set of lender requirements that specify how information about a loan applicant's income and assets must be provided, and how it will be used by the lender. See What Are Mortgage Documentation Requirements? Down paymentThe difference between the value of the property and the loan amount, expressed in dollars, or as a percentage of the price. For example, if the house sells for $100,000 and the loan is for $80,000, the down payment is $20,000 or 20%. To read articles about the down payment, see Down Payment. Dual apperA borrower who submits applications through two loan providers, usually mortgage brokers. See Is It OK to Submit Two Mortgage Loan Applications? Dual index mortgageA mortgage on which the interest rate is adjustable based on an interest rate index, and the monthly payment adjusts based on a wage and salary index. See Dual Index Mortgages. Due-on-sale clauseA provision of a loan contract that stipulates that if the property is sold the loan balance must be repaid. This bars the seller from transferring responsibility for an existing loan to the buyer when the interest rate on the old loan is below the current market. A mortgage containing a due-on-sale clause is not an assumable mortgage. Effective rateA term used in two ways. In one context
it refers to a measure of interest cost to the borrower that is identical to the
APR except that it is calculated over the time horizon specified by the
borrower. The APR is calculated on the assumption that the loan runs to term,
which most loans do not. (See EquityIn connection with a home, the difference between the value of the home and the balance of outstanding mortgage loans on the home. Equity grabbingA type of predatory lending where the lender intends for the borrower to default so the lender can grab the borrower's equity. Read What Is Predatory Lending? EscrowAn agreement that money or other objects of value be placed with a third party for safe keeping, pending the performance of some promised act by one of the parties to the agreement. It is common for home mortgage transactions to include an escrow agreement where the borrower adds a specified amount for taxes and hazard insurance to the regular monthly mortgage payment. The money goes into an escrow account out of which the lender pays the taxes and insurance when they come due. For articles on this subject, see Escrows. Escrow abuse The practice of using escrow accounts inappropriately to generate more income from hapless borrowers. See Escrow Abuse and Manufactured Foreclosures. FalloutLoan applications that are withdrawn by borrowers, sometimes because they have found a better deal. See Why Is Locking Unique to Mortgages? Fannie MaeOne of two Federal agencies that purchase home loans from lenders. (The other is Freddie Mac). Both agencies finance their purchases primarily by packaging mortgages into pools, then issuing securities against the pools. The securities are guaranteed by the agencies. They also raise funds by selling notes and other liabilities. See What Do Fannie Mae and Freddie Mac Do? FeesThe sum of all upfront cash payments required by the lender as part of the charge for the loan. Origination fees and points are expressed as a percent of the loan. Junk fees are expressed in dollars. FHA mortgageA mortgage on which the lender is insured against loss by the Federal Housing Administration, with the borrower paying the mortgage insurance premium. The major advantage of an FHA mortgage is that the required down payment is very low, but the maximum loan amount is also low. For articles on FHA, see FHA Mortgages. FICO ScoreSee Credit Score. Final pricesThe prices paid by the borrower, as opposed to posted prices. The distinction is discussed in Why Do Minorities Pay More For Mortgages? Financial Services Authority (FSA)In the UK, a series of sweeping changes beginning in 1997 placed most financial regulation under a new Financial Services Authority (FSA). FSA is an independent non-governmental body but it is answerable to the Treasury and ultimately to the Parliament. In 2004, the FSA took over regulation of the mortgage sector, including mortgage brokers. Financing pointsIncluding points in the loan amount. Read Can Mortgage Points Be Financed? First mortgageA mortgage that has a first-priority claim against the property in the event the borrower defaults on the loan. For example, a borrower defaults on a loan secured by a property worth $100,000 net of sale costs. The property has a first mortgage with a balance of $90,000 and a second mortgage with a balance of $15,000. The first mortgage lender can collect $90,000 plus any unpaid interest and foreclosure costs. The second mortgage lender can collect only what is left of the $100,000. Fixed rate mortgage (FRM)A mortgage on which the interest rate and monthly mortgage payment remain unchanged throughout the term of the mortgage. See Fixed Rate Mortgages. Fixed-Markup UMLAn Upfront Mortgage Lender who discloses his wholesale price and markup. See A New Approach to Selecting a Loan Provider.Flexible payment ARM.Same as Option ARM. FloatAllowing the rate and points to vary with changes in market conditions. The borrower may elect to lock the rate and points at any time but must do so a few days before the closing. Allowing the rate to float exposes the borrower to market risk, and also to the risk of being taken advantage of by the loan provider. See Is it Wise to Float? Float-downA rate lock, plus an option to reduce the rate if market interest rates decline during the lock period. Also called a cap. A float-down costs the borrower more than a lock because it is more costly to the lender. Float-downs vary widely in terms of how often the borrower can exercise (usually only once), and exactly when the borrower can exercise. See What Is a Float-Down? Do not confuse with interest rate increase caps and payment increase caps. ForeclosureThe legal process by which a lender acquires possession of the property securing a mortgage loan when the borrower defaults. See Can a Mortgage Lender Profit From Foreclosure?
Forbearance agreement
Freddie MacOne of two Federal agencies that purchase home loans from lenders. The other is Fannie Mae. Front-end feeMortgage broker income paid by the borrower, as distinguished from the fee paid by the lender, which is "back-end". Fully amortizing paymentThe monthly mortgage payment which, if maintained unchanged through the remaining life of the loan at the then-existing interest rate, will pay off the loan over the remaining life. See Mortgage Amortization: How Does It Work? On FRMs the payment is always fully amortizing, provided the borrower has made no prepayments. (If the borrower makes prepayments, the monthly payment is more than fully amortizing). On GPMs, the payment in the early years is always less than fully amortizing. On ARMs, the payment may or may not be fully amortizing, depending on the type of ARM. See How Does Negative Amortization on a Mortgage Work? Fully indexed interest rateThe current index value plus the margin on an ARM. Usually, initial interest rates on ARMs are below the fully indexed rate. If the index does not change from its initial level, after the initial rate period ends the interest rate will rise to the fully indexed rate after a period determined by the interest rate increase cap. For example, if the initial rate is 4% for 1 year, the fully indexed rate 7%, and the rate adjusts every year subject to a 1% rate increase cap, the 7% rate will be reached at the end of the third year. See What Is an Adjustable Rate Mortgage? and What Is the Real Price of an Adjustable Rate Mortgage? Generic pricesPrices that assume a more or less standardized set of transaction characteristics that generally command the lowest prices. Generic prices are distinguished from transaction specific prices, which pertain to the characteristics of a specific transaction. See What Mortgage Market Niche Are You In? Gift of equityA sale price below market value, where the difference is a gift from the sellers to the buyers. Such gifts are usually between family members. Lenders will usually allow the gift to count as down payment. See Avoiding Taxes on a Gift of Equity. Good fairy syndromeA belief that somewhere out there is a good fairy who will solve all our financial (and other) problems. See Mortgage Fraud and Belief in a Good Fairy. Good faith estimateThe
form that lists the settlement charges the borrower must pay at closing, which
the lender is obliged to provide the borrower within three business days of
receiving the loan application.
Government
National Mortgage Association (GNMA)
A Federal
agency that guarantees mortgage securities that are issued against pools of FHA
and VA mortgages. Grace periodThe period after the payment due date
during which the borrower can pay without being hit for late fees.
Grace periods
apply only to mortgages on which interest is calculated monthly. Simple interest
mortgages do not have a grace period because interest accrues daily.
See What
Are Simple Interest Mortgages? Graduated payment mortgage (GPM)A mortgage on which the payment rises by a constant percent for a specified number of periods, after which it levels out over the remaining term and amortizes fully. For example, the payment might increase by 7.5% every 12 months for 60 months, after which it is constant for the remaining term at a fully amortizing level. See What is a Graduated Payment Mortgage (GPM)? Graduation periodThe interval at which the payment rises on a GPM. Graduation rateThe percentage increase in the payment on a GPM. Guaranteed Mortgage Price AgreementA proposal by HUD in 2002 to allow lenders and others to offer packages of loans and settlement services at a single price. See HUD's Proposals For Reform. Hazard insuranceInsurance purchased by the borrower, and required by the lender, to protect the property against loss from fire and other hazards. Also known as "homeowner insurance", it is the second "I" in PITI. See Questions About Home Owners Insurance. Historical scenarioThe assumption that the index value to
which the rate on an ARM is tied follows the same pattern as in some prior
historical period.
In
meeting their disclosure obligations in connection with ARMs, some lenders show
how the mortgage payment would have changed on a mortgage originated some time
in the past. That is not very
useful. Showing how a mortgage
originated now would change if the index followed a historical pattern
would be useful, but nobody does it. Homebuyer protection planA plan purporting to protect FHA homebuyers against property defects. See Is FHA Responsible For the Leaky Roof? Homeowner's equitySee Equity. Homeowners insuranceInsurance purchased by the borrower, and required by the lender, to protect the property against loss from fire and other hazards. It is the second "I" in PITI. See Questions About Home Owners Insurance.
Home equity
line of credit (HELOC)
A mortgage
set up as a line of credit against which a borrower can draw up to a maximum
amount, as opposed to a loan
for
a fixed dollar amount. For
example, using a standard mortgage you might borrow $150,000, which would be
paid out in its entirety at closing. Using
a HELOC instead, you receive the lender’s promise to advance you up
to $150,000, in an amount and at a time of your choosing.
You can draw on the line by writing a check, using a special credit card,
or in other ways. See What
Is a HELOC and How
Do You Shop For a HELOC? Home Equity Conversion Mortgage (HECM)A reverse mortgage program administered by FHA. See Reverse Mortgages. Home equity lineSame as HELOC. Home equity loanSame as second mortgage. Home KeeperA reverse mortgage program administered by Fannie Mae. See Reverse Mortgages. Home Owners Loan CorporationA Federal Government agency established by Congress in 1933 to help families avoid having their homes foreclosed. See Home Owners Loan Corporation II - a Fable. Housing bankA government-owned or affiliated housing lender. With minor exceptions, government in the US has never loaned directly to consumers, but housing banks are widespread in many developing countries. Read Government as Mortgage Lender. Housing bubble A marked increase in house prices fueled partly by expectations that prices will continue to rise. See A Look at Housing Bubbles. Housing expenseThe sum of mortgage payment, hazard insurance, property taxes, and homeowner association fees. Same as PITI and "monthly housing expense." Housing expense ratioThe ratio of housing expense to borrower income, which is used (along with the total expense ratio and other factors) in qualifying borrowers. See Qualifying for a Mortgage.
Housing investment
The amount
invested in a house, equal to the sale price less the loan amount. See How
Much House Should You Buy? HUD1 formThe form a borrower receives at closing that details all the payments and receipts among the parties in a real estate transaction, including borrower, lender, home seller, mortgage broker and various other service providers.
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