Taunya Fagan Real Estate Glossary and Dictionary of Real Estate Terms Beginning With "F" - Mortgage Glossary and Real Estate Terminology - Building and Construction Terms

Facia (Fascia):
The board connecting the top of the siding with the bottom of a soffit. Also, a board nailed across the ends of the rafters at the eaves.

Fair Credit Billing Act:  
Federal law governing charge card billing and credit errors. If a charge card or credit company violates any provision, a consumer can sue to recoup damages.

Fair Credit Reporting Act:
A consumer protection law regulating disclosure of consumer credit reports by consumer or credit reporting agencies; it establishes procedures for correcting mistakes on credit records.

Fair Market Value:
Highest price a buyer, who is willing but not compelled to buy, would pay. AND, the lowest price a seller, who is willing but not compelled to sell, would accept.

Fannie Mae (FNMA) - Federal National Mortgage Association: 
A congressionally chartered, shareholder-owned company that is the nation's largest supplier of home mortgage funds.

Fannie Mae's Community Home Buyer's Program:
Income-based community lending model, under which both mortgage insurers and Fannie Mae offer flexible underwriting guidelines, increasing a low- or moderate-income family's buying power and decreasing the total amount of cash necessary to buy a home. Borrowers who participate in this program are required to attend pre-purchase home-buyer education classes.

Farmer's Home Administration:  
U.S. Department of Agriculture agency providing credit for farmers and rural residents. 

Featured Listings ("Exclusive Properties"):
Featured Listings provide prospective buyers with photos, addresses, virtual tours, maps, home information, etc.

Fee Simple:
The greatest possible interest a person can have in real estate.

Fee Simple Estate:
1 - An unconditional, unlimited, perpetual estate of inheritance representing the greatest estate and most extensive interest in land that can be enjoyed. 2 - In a condominium project, the unit owner is the exclusive owner only of air space within his or her portion of the building (the unit) and is an owner in common with respect to the land and other common portions of the property.

Federal Housing Administration (FHA):  
Government agency operating a variety of home-loan programs. Its most popular is the Sec. 203(b), program, providing low-rate mortgages to buyers making a down payment as low as 3%.

Federal Reserve Board:  
Group of economists and other experts who determine U.S. monetary policy. The power to control interest rates is its chief effort itoward combating inflation.

Federal Trade Commission:  
Government agency responsible to regulate various of industries and companies, ranging from collection agencies and credit bureaus to certain types of creditors and timeshare operators. Its national headquarters is located at Sixth and Pennsylvania Avenue NW, Washington, D.C. 20580. Telephone: 202-326-2222.

FHA Loan:
A mortgage by which a lender is insured against loss by the Federal Housing Administration (FHA).

Fiber Glass Insulation:
An energy-efficient glass fiber product to insulate against heat and noise. 

FICO Score:
Computer-generated score that is based on information from a borrower's credit history; it is used by lenders to predict the likelihood that a borrower will repay a mortgage.

Fiduciary:
A person acting on behalf of others in a legal manner.

Finish-Out Stage:
The final phase of construction at which time final details and installations are completed.

Firm Commitment:
A lender's agreement to make a loan to a specific borrower on a specific property.

First Mortgage:
The mortgage in first place among all loans recorded against a property, usually refering to the date in which a loan is recorded, though exceptions exist.

Fixed-Rate Mortgage (FRM):
A debt instrument in which the interest rate does not change during the entire loan term.

First-Time Home Buyer Tax Credit - American Recovery and Investment Act of 2009

Fixture:
Personal property that becomes real property when permanently attached to real estate.

Flood Insurance:
Insurance compensating for physical property damage resulting from flooding and is required for properties located in federally designated flood areas.

Floor Plan:
Scale diagram of a building or rooms, which is drawn as if seen from above.

Floor Plans:
Drawings or pictures of a home's layout, showing the arrangement of rooms in relation to one another. Online floor plans are provided with your listing when you sell.

Foreclosure:
Legal loss of property because of non-payment or default of a mortgage loan, terminating the borrower's interest in a property.

Forfeiture:  
Relinquishing property rights by a delinquent borrower.

Frame Stage:
Building phase between the time the concrete slab is poured and the drywall installed.

Freddie Mac - Federal Home Loan Mortgage Corporation:
Purchases mortgages from lending institutions, pools them with other loans and then sells shares to investors.

FRM (also "Fixed-Rate Mortgage"):
A debt instrument in which an interest rate does not change during a loan's entire term.

FSBO ("For Sale By Owner"):
A real estate acronym (pronounced "fiz-bow") meaning, "For Sale By Owner." Jargon used to describe someone who chooses not to work with a real estate agent to sell property.

Fully Amortized Adjustable-rate Mortgage:  
A mortgage amortizing, or paying down, a loan's balance.

Full Service Agent:
A real estate office with licensed sales professionals for the purpose of representing buyers in real estate transactions and listing properties for sale.

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