We hope this Glossary of Mortgage and Real Estate Terms helps you understand the home buying and financing process. Should you have any further questions, please do not hesitate to contact your Loan Officer for answers.

# A B C D E F G H I J K L M N O P Q R S T U V W XYZ

W Terms

Waive (Waiver): To knowingly abandon, relinquish or surrender a right, benefit or claim.

 

Waiver of Lien: One who supplies labor or materials, such as a contractor, who holds legal claim to the value of those materials until paid in full.  If such person executes a waiver of lien, the claim is surrendered against the property and the right to enforce payment through it.

 

Warehousing (Loan): The borrowing of funds by a mortgage banker on a short-term basis at a commercial bank using permanent mortgage loans as collateral. This form of interim financing is used until the mortgages are sold to a permanent investor.

 

Warranty: A legal, binding statement in which one party gives another party certain assurances regarding the property being sold.  A promise in a contract.

 

Warranty Deed: A deed that contains a covenant that the grantor will protect the grantee against any and all claims. Usually contains covenants assuring good title, freedom from encumbrances, and quiet enjoyment.

 

Warranty of Habitability: An implied assurance given by a landlord that an apartment offered for rent, or a builder/seller of a dwelling, is free from safety and health hazards.

 

Waste: The unauthorized use or neglect of property by a party with the right to possession, when another party owns an interest in the property.

 

Wasting Asset: Something of value that deteriorates over time.

 

Water Table: The upper level (lowest depth) at which underground water is normally found in a particular area.

 

Wear and Tear: The physical deterioration of property as the result of use, weathering, and age.

 

Weighted Average Yield: The average of the coupon rates of the loans in a package of loans, in which each rate is "weighted" according to the balance of that corresponding mortgage to the whole package

 

Wetlands:  Land, such as a marsh or swamp, that normally saturated with water.  Most wetlands fall under federal and state protection.

 

Whole Loan: A loan in which a seller retains no interest in that loan upon sale, but normally continues to service it for a fee.

 

Will:  The disposition of one's property, to take effect after one's death. Same as testament or last will and testament.

 

Without Recourse:  Terminology in a note or bill that the holder is not to look to the debtor personally in the event of nonpayment; therefore the creditor has recourse only to the property.  The borrower is not personally liable for the debt. Same as non-recourse.

 

Women's Council of Realtors® (WCR):  An organization, affiliated with the National Association of Realtors®, devoted to women in real estate and encouraging a productive career in real estate.

 

Wood Destroying Insect:  A term often used in Offer contingencies and home inspections as a condition for purchase, that the property must be free of these insects.  These insects include: subterranean termites; dry wood termites; powder post beetles; carpenter ants; and wood bees.

 

Work Equity: Work to be completed by a borrower on a home under construction that may be applied as part of a down payment.

 

Working Capital:  The difference between current liquid assets and current liabilities.

 

Workout:  A mutual effort by a property owner and lender to avoid foreclosure or bankruptcy following a default.  It generally involves substantial reduction in the debt burden and is an option during an economic depression.  Also see distressed property. 

 

WRAP: See Wrap-Around Mortgage.

 

Wrap-Around Mortgage: A form of refinancing. (See Refinance.) When the borrower already owns a property and borrows more money, the lender combines the amount still owed on the home's original loan (see First Mortgage) with the new amount to form one wrap­around mortgage.

 

Write Down:  To diminish an amount of the assets generally to reflect a market loss in value.

 

Writ of Ejectment :  An action to regain possession of real property, when there is no lease.