| Margin | The number of percentage points the lender adds to the index rate to calculate the adjustable rate mortgage (ARM) interest rate at each adjustment. |
| Market Price | The price paid for a property; the amount of money that must be given or which can be obtained at the market in exchange under the immediate conditions existing at a certain date. To be distinguished from market value. |
| Market Value | The highest price estimated in terms of money which a buyer would be warranted in paying and a seller justified in accepting, provided both parties were fully informed, acted intelligently and voluntarily and, further, that all the rights and benefits inherent in or attributable to the property were included in the transfer. |
| Market Value | The most likely price a given property will bring if widely exposed on the market, assuming fully informed buyer and seller. |
| Marketable Title | A title that is free and clear of objectionable liens, clouds or other title defects. A title which enables an owner to sell his property freely to others and which others will accept without objection. |
| Marketing | The management process through which efforts to conceive, develop and deliver goods and services are integrated to satisfy the needs and wants of selected customers as a means of achieving company objectives. |
| Maturity | The date on which the principal balance of a loan, bond, or other financial instrument becomes due and payable. |
| Mechanics Lien | A lien created by statute for the purpose of securing priority of payment for the price or value of work performed and materials furnished in construction or repair of improvements to land. |
| Merged Credit Report | A credit report that contains information from three credit repositories. When the report is created, the information is compared for duplicate entries. Any duplicates are combined to provide a summary of a your credit. |
| Misrepresentation | False statement made to or concealment of knowledge from another party with the intent to provoke action from that party. |
| Money Market Account | A savings account that provides bank depositors with many of the advantages of a money market fund. Certain regulatory restrictions apply to the withdrawal of funds from a money market account. |
| Money Market Fund | A mutual fund that allows individuals to participate in managed investments in short-term debt securities, such as certificates of deposit and Treasury bills. |
| Monthly Housing Expense | Total principal, interest, taxes, and insurance paid by the borrower on a monthly basis. Used with gross income to determine affordability. |
| Monthly Payment Mortgage | A mortgage that requires payments to reduce the debt once a month. |
| Mortgage | A lien or claim against real property given as security for a loan. It is a two party agreement as apposed to the three-party agreement of a deed of trust. |
| Mortgage Banker | A company that originates mortgages exclusively for resale in the secondary market. |
| Mortgage Banker | Financial intermediaries that originate mortgage loans through loan officers or independent mortgage brokers and sell the mortgages into the secondary mortgage market. |
| Mortgage Broker | A professional that helps consumers through the loan selection, processing and closing of a mortgage loan. Most mortgage brokers have access to a wide range of mortgage products through many mortgage lenders. Mortgage brokers are paid a fee by the borrower when a suitable mortgage is found and closed. |
| Mortgage Commitment | A written notice from the bank or other lending institution saying it will advance mortgage funds in a specified amount to enable a buyer to purchase a house. |
| Mortgage Commitment | A written notice from the bank or other lending institution saying it will advance mortgage funds in a specified amount to enable a buyer to purchase a house. |
| Mortgage Insurance | Insurance required for a loan-to-value ratio above 80.01%. |
| Mortgage Insurance Premium | The payment made by a borrower to the lender for transmittal to HUD to help defray the cost of the FHA mortgage insurance program and to provide a reserve fund to protect lenders against loss in insured mortgage transactions. In FHA insured mortgages this represents an annual rate of one-half of one percent paid by the mortgagor on a monthly basis. |
| Mortgage Life Insurance | A type of term life insurance often bought by mortgagors. The amount of coverage decreases as the principal balance declines. In the event that the borrower dies while the policy is in force, the debt is automatically satisfied by insurance proceeds. |
| Mortgage Note | A written agreement to repay a loan. The agreement is secured by a mortgage, serves as proof of indebtedness, and states the manner in which it shall be paid. The note states the actual amount of the debt that the mortgage secures and renders the mortgagor personally responsible for repayment. |
| Mortgage Warehousing | A funding facility, such as a commercial bank, that is used by mortgage companies to fund loans which are sold to an investor shortly thereafter. The mortgage notes are used as collateral for this interim financing. |
| Mortgagee | The lender of money or the receiver of the mortgage document. |
| Mortgagor | The borrower of money or the giver of the mortgage document. |
| Multi Family Mortgage | A residential mortgage on a dwelling that is designed to house more than four families, such as a high-rise apartment complex. |
| Multidwelling Units | Properties that provide separate housing units for more than one family, although they secure only a single mortgage. |
| Multiple Listing Service | A means of making possible the orderly dissemination and correlations of listing information to its members so that REALTORS may better serve the buying and selling public. |
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