Binder:
A preliminary agreement, frequently secured by the payment of earnest money, between a buyer and seller that serves as an offer to purchase real estate. The agreement secures the right to purchase real estate upon agreed terms for a specific period of time. The earnest money is usually forfeited if the buyer's situation changes or is unable to purchase, unless the agreement specifically provides that the money is to be refunded. Also known as an Offer to Purchase.

Board-and-batten Siding:  
Siding is composed of 8- to 12-inch wide wooden boards nailed vertically to create a barn-like exterior.

Bond Market:
Usually refers to the daily buying and selling of thirty year treasury bonds. Lenders follow this market intensely because as the yields of bonds go up and down, fixed rate mortgages do approximately the same thing. The same factors that affect the Treasury Bond market also affect mortgage rates at the same time. That is why rates change daily, and in a volatile market can and do change during the day as well.

Bottom Plate (also "Sole Plate"):
The lowest horizontal member of a wall resting on the rough floor to which studs are nailed.

Bridge Loan:
Not used much anymore, bridge loans are obtained by those who have not yet sold their previous property, but must close on a purchase property. The bridge loan becomes the source of their funds for the down payment. One reason for their fall from favor is that there are more and more second mortgage lenders now that will lend at a high loan to value. In addition, sellers often prefer to accept offers from buyers who have already sold their property.

Broker:
An individual who, for a fee or commission, brings together parties and facilitates business negotiation between them. See also Mortgage Broker and Real Estate Broker.

Builder Registration:
Builder requirement that buyers and their sales professional register with the builder before or in the early stage of the new home selection process.

Building Code:  
A comprehensive set of laws that controls the construction or remodeling of a home or other structure.

Bungalow:  
A small one-story house or cottage.

Buydown:
Usually refers to a fixed rate mortgage where the interest rate is "bought down" for a temporary period, usually one to three years. After that time and for the remainder of the term, the borrower's payment is calculated at the note rate. In order to buy down the initial rate for the temporary payment, a lump sum is paid and held in an account used to supplement the borrower's monthly payment. These funds usually come from the seller (or some other source) as a financial incentive to induce someone to buy their property. A "lender funded buydown" is when the lender pays the initial lump sum. They can accomplish this because the note rate on the loan (after the buydown adjustments) will be higher than the current market rate. The borrower may get to "qualify" at the start rate and can qualify for a higher loan amount. The borrower may expect his earnings to go up substantially in the near future, but wants a lower payment right now.

Buydown Your Mortgage:
Paying additional points to your lender at closing in exchange for a reduced rate of interest. The reduced rate may last for the entire or a portion of the loan life.

Buyer Broker:  
A real estate broker who exclusively represents the buyer's interests in a transaction and whose commission is paid by the buyer rather than the seller. 

Buyer Representation:
Describes the relationship between the sales professional performing real estate services for a buyer. The sales professional places the interests of the buyer above all others in the transaction.

Buyer Representation Agreement:
Formal contract signed by the buyer and sales professional which details the sales professional agreement to represent the buyer.

Buyer's Market:
Market economy to the buyer's advantage. There is a greater supply of homes than there are buyers to purchase them.

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