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MARGIN A specified percentage that is added to your chosen financial index to determine your new interest rate at the time of adjustment for ARM loans. ORIGINATION FEE The finance fee charged by a lender for placing a mortgage, which covers initial costs such as preparation of documents and credit, inspection and appraisal fees. ERRORS AND OMISSIONS INSURANCE A form of insurance which covers liabilities for errors, mistakes and negligence in the usual listing and selling activities of a real estate office or escrow company. COMMERCIAL PROPERTY A classification of real estate which includes income producing property such as office buildings, gasoline stations, restaurants, shopping centers, hotels and motels, parking lots and stores, and other similar uses. ESCROW A transaction in which a third party acts as the agent for seller and buyer, or for borrower and lender, in handling legal documents and disbursement of funds. WAIVER To voluntarily give up or surrender a right. JOINT VENTURE The joining of two or more people in a specific business enterprise such as the development of a condominium project or a shopping center. |
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