PMAC

Glossary of terms used on this site

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F

Term Definition
Fannie Mae (FNMA)

The Federal National Mortgage Association, a major purchaser of loans in the secondary mortgage market.

Federal Housing Administration (FHA)

An agency within the U.S. Department of Housing and Urban Development that administers many loan programs, loan guarantee programs, and loan insurance programs designed to make more housing available.

FICO

The Fair Isaac Company Credit Score that is a measure of borrower credit risk.

First Mortgage

A mortgage that has priority as a lien over all other mortgages.

First-Time Homebuyer

A buyer who has not had a mortgage interest deduction on their federal tax return for the past three years.

Fixed Rate Mortgage

A loan that will require the borrower to pay the same interest rate for the entire term of the loan.

Fixer Upper

A property requiring repair or remodeling to bring it to what is considered standard condition.

FNMA

See FANNIE MAE.

Foreclosure

The legal process in which mortgaged property is sold to pay a defaulting borrower's debt.

Freddie Mac (FHLMC)

A counterpart to Fannie Mae as a major purchaser of residential mortgage loans in the secondary market.

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