Jargon Reference Guide



 

Re-mortgage


Refinancing a property by either switching a mortgage from one lender to another or by taking out a second mortgage to draw upon any equity gained by a rise in value.

Redemption


Occurs when a mortgage is fully repaid.

Repayment Mortgage


Monthly payments which cover both interest and capital (as opposed to an interest-only mortgage) so that the amount outstanding gradually decreases until the mortgage is fully repaid.

Repossession


Occurs when the mortgage lender takes possession of a property due to non-payment of the mortgage.

Retention


The holding back of part of a mortgage loan until repairs or specified works to the property are satisfactorily completed.