The Real Estate
Encyclopedia: A-E

An easement appurtenant is a legal right attached to a parcel of real property that allows the owner of one property to use or benefit from a neighboring property for a specific purpose. The property benefiting from the easement is known as the dominant estate, while...

An acceleration clause is a provision commonly found in mortgage agreements and promissory notes that gives the lender the right to demand immediate repayment of the entire remaining loan balance if the borrower violates certain terms of the loan. The clause is most...

Equitable title is the legal concept describing a buyer’s beneficial interest in real property after entering into a valid and enforceable purchase agreement, but before the formal transfer of legal title through delivery and recording of the deed. Under the doctrine...

Equitable redemption is a borrower’s legal right to prevent a foreclosure sale by paying the full amount owed on a mortgage loan, including principal, interest, fees, and allowable foreclosure costs, before the foreclosure sale is completed. This right arises from...

Combined Loan-to-Value (“CLTV”) is a mortgage lending ratio used to measure the total amount of debt secured by a property compared to the property’s appraised value or purchase price, whichever is lower. Unlike the standard Loan-to-Value (“LTV”) ratio, which...

The Equal Credit Opportunity Act (“ECOA”) is a federal civil rights law enacted in 1974 that prohibits discrimination in any aspect of a credit transaction. Implemented through Regulation B, ECOA applies to creditors involved in consumer and commercial lending,...

The Consumer Handbook on Adjustable-Rate Mortgages (“CHARM Booklet”) is a consumer disclosure document developed by federal regulatory agencies to help borrowers understand adjustable-rate mortgage (“ARM”) loans and the risks associated with them. Mortgage lenders are...

A blended interest rate is the weighted average rate applied when a borrower has multiple loans or financing components secured by the same property. It reflects the combined cost of borrowing across different interest rates, loan balances, and terms. The calculation...

After-repair value (ARV) is a real estate valuation concept used to estimate the market value of a property after planned renovations, repairs, or improvements have been completed. It is commonly applied in investment contexts, particularly with properties that are...

Cross-collateral loans are primarily used in commercial real estate, but are growing in popularity in residential real estate. Cross-collateral loans in residential real estate are a financing strategy that allows a homeowner to use more than one property as security...