| Impact fees |
| Fees collected from
developers of new homes to pay for schools, parks and other
facilities. |
| Implied warranty of habitability |
| Court cases which
determined that all new homes are assumed to be fit for human
habitation and meet all building codes. |
| Impounds |
| A portion of the
monthly mortgage payment that is placed in an account and used
to pay for hazard insurance, property taxes and private mortgage
insurance. |
| Income property |
| Property that is
not occupied by the owner but is used to generate income. |
| Incurable defect |
| A defect in a property
that cannot be fixed, such as an adjacent hazardous waste site,
or would cost too much to repair relative to the value of the
property. |
| Index |
| Financial tables
used by lenders to calculate interest rates on adjustable mortgages,
including the yield on Treasury bills. |
| Individual Retirement Account |
| Tax-deferred savings
accounts that allow people to accrue retirement funds. |
| In-file credit report |
| Computer-generated
reports drawn from credit repositories that are generally regarded
as objective histories. |
| Infill development |
| Any significant new
construction in an established area. |
| Infill housing |
| Home construction
in established areas. |
| Inflation |
| This event occurs
when there is more money available than there are goods and
services to be purchased. Mortgage rates, which are determined
by the marketplace and the actions of the Federal Reserve Board
and Wall Street, are sensitive to inflation fears. |
| Infrastructure |
| The roads, schools,
parks, utilities, bridges and communications systems in a community.
|
| Initial interest rate |
| The original interest
rate on an adjustable mortgage. |
| Inspection report |
| An examination of
a home's exterior, foundation, framingplumbing, electrical system,
heating, air conditioning, fireplace, kitchen, bathroom, roofing
and interior. |
| Installment contract |
| A purchase agreement
in which the buyer does not receive title to the property until
all installments are paid. |
| Insulation |
| Materials including
cellulose, glass fiber, rock wool, polystyrene, urethane foam
and vermiculite that slow heat loss. |
| Insurable title |
| Title to property
that a company agrees to insure against defects and disputes.
|
| Insurance |
| Owners and buyers
can purchase various types of insurance: hazard, private mortgage
and earthquake The policies guarantee compensation for specific
losses. |
| Insurance binder |
| A temporary insurance
arrangement usually put in force until a permanent policy can
be obtained. |
| Interest |
| The fee borrowers
pay to obtain a loan. It is calculated based on a percentage
of the total loan. |
| Interest accrual rate |
| The rate at which
interest accrues on a mortgage. |
| Interest rate |
| The sum, expressed
as a percentage, charged for a loan. Interest payments on most
home loans are tax- deductible. |
| Interest rate buy-down plans |
| For cash-short buyers,
some sellers are willing to advance funds from the sale of the
home to buy down the interest rate and reduce the buyer's monthly
obligation. |
| Interest rate caps |
| A limit on the amount
that can be charged to the monthly payment of an adjustable
rate mortgage during an adjustment period. |
| Interest rate ceiling |
| The highest interest
a lender can charge for an adjustable rate mortgage. |
| Interest-only loan |
| The pays only the
interest that accrues on the loan balance each month. Because
each payment goes toward interest, the outstanding balance of
the loan does not decline with each payment . |
| Investment property |
| Real estate that
generates income, such as an apartment building or a rental
house. |