Glossary A to Z

PreAppraise Glossary

The home appraisal glossary of terms used on PreAppraise.com

  • comparative market analysis

    (abbrv. – CMA) an analysis of recent sales of similar properties within a close geographic area compared to the subject property

  • Fannie Mae

    Federal National Mortgage Association – FNMA

    a government sponsored enterprise (GSE) chartered by congress to promote the availability of mortgages to all Americans by purchasing mortgages and offering them to a secondary market.

  • FHA Loan

    A mortgage intended for low to middle income borrowers who do not have funds for a large downpayment. These loans provided by federally qualified lenders that are insured by the Federal Housing Administration (FHA).

  • flipping

    the purchase of real estate at a price below market value with the intention to resell quickly for a profit. Flipping is often associated with distressed properties (foreclosures, short sales, estates, etc) that are purchased by an investor, renovated and placed on the market for a profit.

  • Freddie Mac

    Freddie Mac – Federal Home Loan Mortgage Corp – FHLMC

    a government sponsored enterprise (GSE), similar to Fannie Mae, chartered by Congress to promote the flow of money to mortgage lenders in support of homeownership in middle income americans.

  • Home Appraisal

    an objective opinion of value for a home

  • PMI

    Private Mortgage Insurance

    Insurance policies obtained by homeowners / borrowers to protect lenders against loss if a borrower defaults. Generally, lenders require PMI for loans where a homeowner’s equity is less than 20%

  • pre listing appraisal

    a home appraisal performed prior to listing a home for sale. used to determine the fair market value and sometimes the listing price.

  • PreAppraise

    to appraise your home prior to listing, refinancing or reverse mortgage

  • Refinance

    to modify an existing loan to more favorable terms such as lower interest, later loan maturity and or lower monthly payments.

  • Reverse Mortgage

    a financial too for senior home owners over 62 years of age which allows them to draw equity from their home with qualifying credit or income.

  • USPAP

    Uniform Standards of Professional Appraisal Practice – the generally accepted standard of appraisal in the United States. Provides a minimum set of quality control standards used in the development of real estate appraisals