> States > F
Real Estate Dictionary
|FACE VALUE - The value of notes,
mortgages, etc., as stated on the face of the instrument, without
considering any discount.
|FAIR CREDIT REPORTING ACT -
Federal law protecting consumers by establishing procedures to correct
errors on credit reports. Gives consumers specific rights in dealing with
credit reporting agencies.
|FAIR MARKET VALUE - Price that
probably would be negotiated between a willing seller and a willing buyer
in a reasonable time. Typically arrived at by comparable sales in the
|FANNIE MAE (FNMA) - The Federal
National Mortgage Association. It purchases, sells and guarantees
conventional, VA or FHA mortgages.
|FEASIBILITY SURVEY - A study of an area
before construction of a project to determine the probable financial
success of the project.
|FEDERAL FAIR HOUSING LAW - Title VIII of
the Civil Rights Act which forbids discrimination in the sale or rental of
residential property because of race, color, sex, religion or national
|FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC)
- Known as Freddie Mac. Purchases conventional mortgages
loans in the secondary mortgage market.
|FEDERAL REVENUE STAMPS - Also called IRS
stamps. A transfer tax on the sale of real estate that has ended at the
Federal level and has been taken up by most states. Most commonly known as
a transfer tax.
|FEDERAL SAVINGS AND LOAN INSURANCE
CORPORATION (FSLIC) - A federally charted institution for savings and
home mortgag4es, under the regulation of the Federal Home Loan Bank.
|FEDERAL TRUTH IN LENDING ACT -
Requires disclosures about terms and costs intended to give consumers cost
vs. credit comparisons.
|FEE SIMPLE - An estate under which the
owner is entitled to unrestricted powers to dispose of the property, and
which can be left by will or inherited. Commonly, a synonym for
|FEDERAL HOUSING ADMINISTRATION (FHA) - A
federal agency that purchases first mortgages, both conventional and
federally insured, from members of the Federal Reserve System, and the
Federal Home Loan Bank system.
|FICO SCORE - Enables a credit grantor to
score borrowers using a system that measures ones historic credit history.
|FICTITIOUS DOCUMENT - A document
containing general provisions but not regarding a specific property. The
fictitious document is recorded in all counties of a state. Whenever the
same type of document is recorded regarding a specific property, the
provisions of the fictitious document are incorporated by reference,
saving the cost of printing and recording extra pages.
|FIDUCIARY - One acting in a relationship
of trust, regarding financial transactions.
|FINAL DECREE - A decree completely
deciding all pending matters before a court thus eliminating the need for
|FINANCING COSTS - The cost of interest
and other charges involved in borrowing money to build or purchase real
|FIRST MORTGAGE - A mortgage having
priority over all other voluntary liens against certain property.
|FIXTURES - Personal property which is
attached to real property, and is legally treated as real property while
it is so attached. Fixtures, not specifically exempted from an accepted
offer to purchase, pass with the real estate.
|FLOOD INSURANCE - Insurance indemnifying
against loss by flood damages. Required by lenders (usually banks) in
areas designated (federally) as potential flood areas. The insurance is
written by private insurance companies, but is federally subsidized.
|FLOOR PLAN - The layout of a
building or portion of a building showing the size of the rooms and the
purpose of each.
|FORCED-AIR FURNACE - A furnace with a
fan or blower which forces hot air through the ducts.
|FORCED SALE - A sale which is not
voluntary on the part of the owner, such as to satisfy a debt. The selling
price under such a sale would not be considered market value.
|FORECLOSURE - A proceeding in or out of
court, to extinguish all rights, title, and interest, of the owner(s) of
the property in order to sell the property to satisfy a lien against
|FORECLOSURE SALE - A sale of property
used as security for a debt, to satisfy the debt.
|FORFEITURE - The taking of an
individual's property by a government because the individual has committed
a crime. In the United States, private property cannot be taken, except by
eminent domain upon payment of just compensation, or for nonpayment of
|FREE AND CLEAN - Real property against
which there are no liens, especially voluntary liens such as
|FREEHOLD - An estate, at least of
duration of a lifetime, or of fee.
| FROST LINE - The depth to which the
| FULL DISCLOSURE - In real estate,
revealing all the known facts which may affect the decision of a buyer or
tenant. A broker must disclose known defects in the property for sale or
lease. A builder must give to a potential buyer the facts of his new
development. A broker cannot charge a fee to buyer and seller unless both
know and agree.
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