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Home Loan Glossary
WŚŝůĞ ŽŶ LJŽƵƌ ŚŽŵĞ ůŽĂŶ ũŽƵƌŶĞLJ͕ LJŽƵ ǁŝůů ĐŽŵĞ ĂĐƌŽƐƐ ŵĂŶLJ ŶĞǁ͕ ǁĞŝƌĚ
ĂŶĚ ǁŽŶĚĞƌĨƵů ǁŽƌĚƐ͕ ƚĞƌŵƐ ĂŶĚ ĂĐƌŽŶLJŵƐ͘ ƚ >ŝŵŝƚůĞƐƐ >ŽĂŶƐ͕ ǁĞ ďĞůŝĞǀĞ
ŝŶ ƐŝŵƉůŝĐŝƚLJ ƐŽ ǁĞ ĐŽŵƉŝůĞĚ ƚŚŝƐ ůŝƐƚ ŽĨ ƚŚĞ ŵŽƌĞ ƉƌŽŵŝŶĞŶƚ ǁŽƌĚƐ LJŽƵ ǁŝůů
ĐŽŵĞ ĂĐƌŽƐƐ ǁŚĞŶ ďƵLJŝŶŐ͕ ƉĂLJŝŶŐ Žī ĂŶĚ ŝŶǀĞƐƟŶŐ ŝŶ ƉƌŽƉĞƌƚLJ͘
^ŽŵĞ ŽĨ ƚŚĞƐĞ ǁŽƌĚƐ ĂƉƉĞĂƌ ŝŶ ƚŚŝƐ Ŭ ĂŶĚ LJŽƵ ǁŝůů ĐŽŵĞ ĂĐƌŽƐƐ ŽƚŚĞƌƐ ŝŶ
ŽĸĐŝĂů ĚŽĐƵŵĞŶƚƐ ĨƌŽŵ ƚŚĞ ǀĂƌŝŽƵƐ ŝŶĚƵƐƚƌŝĞƐ LJŽƵ ǁŝůů ďĞ ŝŶƚĞƌĂĐƟŶŐ ǁŝƚŚ
ǁŚŝůĞ ŽŶ LJŽƵƌ ƉƌŽƉĞƌƚLJ ũŽƵƌŶĞLJ͘
A
ĚĚŝƟŽŶĂů ƉĂLJŵĞŶƚƐ͗ The ability to make extra payments on your home loan
ĂĐĐŽƵŶƚ͕ ǁŚŝĐŚ ƌĞĚƵĐĞƐ ƚŚĞ ƚĞƌŵ ŽĨ ƚŚĞ ůŽĂŶ͘
ŐĞŶƚ͗ Someone that has express or implied authority to act for another. For
ůĞĂƐŝŶŐ Žƌ ƐĞůůŝŶŐ Ă ƉƌŽƉĞƌƚLJ͕ Ă ƌĞĂů ĞƐƚĂƚĞ ĂŐĞŶƚ ĂĐƚƐ ŽŶ ďĞŚĂůĨ ŽĨ Ă ůĂŶĚůŽƌĚ
Žƌ ŽǁŶĞƌ͘
Allotment: tŚĞŶ Ă ůĂƌŐĞƌ ĂƌĞĂ ŽĨ ůĂŶĚ ŝƐ ƐƵďĚŝǀŝĚĞĚ ŝŶƚŽ ƐŵĂůůĞƌ ƉŝĞĐĞƐ͕ ƚŚĞ
ƐŵĂůůĞƌ ƉĂƌĐĞůƐ ŽĨ ůĂŶĚ ĂƌĞ ƐŽŵĞƟŵĞƐ ŬŶŽǁŶ ĂƐ ĂůůŽƚŵĞŶƚƐ͘
ŵŽƌƟƐĂƟŽŶ ƉĞƌŝŽĚ͗ dŚĞ ůĞŶŐƚŚ ŽĨ ƟŵĞ Ă ďŽƌƌŽǁĞƌ ŚĂƐ ƚŽ ƌĞƉĂLJ ƚŚĞ ůŽĂŶ
ŝŶ ĂĐĐŽƌĚĂŶĐĞ ǁŝƚŚ ƚŚĞ ĂƌƌĂŶŐĞĚ ƚĞƌŵƐ ;ŽƚŚĞƌǁŝƐĞ ŬŶŽǁŶ ĂƐ ƚŚĞ ůŽĂŶ ƚĞƌŵͿ͘
ƉƉůŝĐĂƟŽŶ ĨĞĞƐ͗ &ĞĞƐ ĐŚĂƌŐĞĚ ƚŽ ĐŽǀĞƌ Ă ůĞŶĚĞƌ͛Ɛ ŝŶƚĞƌŶĂů ĐŽƐƚƐ ŽĨ ƐĞƫŶŐ ƵƉ
a loan.
ƉƉƌĂŝƐĞĚ ǀĂůƵĞ͗ Ŷ ĞƐƟŵĂƚĞ ŽĨ ƚŚĞ ǀĂůƵĞ ŽĨ Ă ƉƌŽƉĞƌƚLJ ďĞŝŶŐ ƵƐĞĚ ĂƐ ƐĞĐƵƌŝƚLJ
for a loan.
ƉƉƌĞĐŝĂƟŽŶ͗ The increase in the value of property caused by economic
ĨĂĐƚŽƌƐ ƐƵĐŚ ĂƐ ŝŶŇĂƟŽŶ͕ ĂŶĚ ŵĂƌŬĞƚ ĐŽŶĚŝƟŽŶƐ͘
Arrears: An overdue amount that has not yet been paid.
Assets: ^ŽŵĞƚŚŝŶŐ ǀĂůƵĂďůĞ ƚŚĂƚ ĂŶ ĞŶƟƚLJ ŽǁŶƐ͕ ďĞŶĞĮƚƐ ĨƌŽŵ͕ Žƌ ŚĂƐ ƵƐĞ ŽĨ͕
ŝŶ ŐĞŶĞƌĂƟŶŐ ŝŶĐŽŵĞ͘
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