radon
A radioactive gas found in some homes that in sufficient
concentrations can cause health problems.
rate-improvement mortgage
A fixed-rate mortgage that includes a provision that gives the
borrower a one-time option to reduce the interest rate (without
refinancing) during the early years of the mortgage term.
rate lock
A commitment issued by a lender to a borrower or other mortgage
originator guaranteeing a specified interest rate for a specified
period of time. See lock-in.
real estate agent
A person licensed to negotiate and transact the sale of real estate on
behalf of the property owner.
Real Estate
Settlement Procedures Act (RESPA)
A consumer protection law that requires lenders to give borrowers
advance notice of closing costs.
real property
Land and appurtenances, including anything of a permanent nature such
as structures, trees, minerals, and the interest, benefits, and
inherent rights thereof.
Realtor®
A real estate broker or an associate who holds active membership in a
local real estate board that is affiliated with the National
Association of Realtors.
recission
The cancellation or annulment of a transaction or contract by the
operation of a law or by mutual consent. Borrowers usually have the
option to cancel a refinance transaction within three business days
after it has closed.
recorder
The public official who keeps records of transactions that affect real
property in the area. Sometimes known as a "Registrar of Deeds" or
"County Clerk."
recording
The noting in the registrar’s office of the details of a properly
executed legal document, such as a deed, a mortgage note, a
satisfaction of mortgage, or an extension of mortgage, thereby making
it a part of the public record.
refinance transaction
The process of paying off one loan with the proceeds from a new loan
using the same property as security.
rehabilitation mortgage
A mortgage created to cover the costs of repairing, improving, and
sometimes acquiring an existing property.
remaining balance
The amount of principal that has not yet been repaid. See principal
balance.
remaining term
The original amortization term minus the number of payments that have
been applied.
rent loss insurance
Insurance that protects a landlord against loss of rent or rental
value due to fire or other casualty that renders the leased premises
unavailable for use and as a result of which the tenant is excused
from paying rent.
rent with option to buy
See lease-purchase mortgage loan.
repayment plan
An arrangement made to repay delinquent installments or advances.
Lenders' formal repayment plans are called "relief provisions."
replacement reserve fund
A fund set aside for replacement of common property in a condominium,
PUD, or cooperative project -- particularly that which has a short
life expectancy, such as carpeting, furniture, etc.
revolving liability
A credit arrangement, such as a credit card, that allows a customer to
borrow against a preapproved line of credit when purchasing goods and
services. The borrower is billed for the amount that is actually
borrowed plus any interest due.
right of first refusal
A provision in an agreement that requires the owner of a property to
give another party the first opportunity to purchase or lease the
property before he or she offers it for sale or lease to others.
right of ingress or egress
The right to enter or leave designated premises.
right of survivorship
In joint tenancy, the right of survivors to acquire the interest of a
deceased joint tenant.
Rural Housing Service (RHS)
An agency within the Department of Agriculture, which operates
principally under the Consolidated Farm and Rural Development Act of
1921 and Title V of the Housing Act of 1949. This agency provides
financing to farmers and other qualified borrowers buying property in
rural areas who are unable to obtain loans elsewhere. Funds are
borrowed from the U.S. Treasury.
