Glossary of Reverse Mortgage Terms
Set Aside - amounts taken from loan amount and set aside for future costs of servicing, paying taxes or insurances.
Start Rate - one year U.S. Treasury Security weekly index plus mortgage rate margin (determined by lender/Fannie Mae).
Secondary Mortgage Market - where existing mortgages are bought and sold.
Servicing - administering a loan after closing, such as maintaining loan records and sending statements.
Shared equity - shared equity programs are no longer available (Aug 03).
Supplemental Security Income (SSI) - a federal monthly income program for low-income persons who are aged 65+, blind, or disabled.
