| Unconditional Lien Release |
Signed by a contractor, subcontractor or
material supplier, this form waives the right to file a mechanic’s lien.
This type or release in not dependent on their receiving payment for
work released. This release may be submitted throughout the construction
phase or at completion of the project for an OTC loan.
|
| Underwriting |
Analysis of risk and the matching of it to an appropriate
rate and term. Underwriting involves an analysis of the property, as
revealed in the appraisal report, as acceptable and adequate security
for the loan and of the borrower's ability and probable willingness to
repay the loan. Risk may also be affected by other factors, such as LTV
ratios, the presence or absence of mortgage insurance, etc.
|
| Unearned or Passive Income
|
Includes dividend/interest, trust income,
child support, alimony or separate maintenance, foster care,
unemployment, disability, social security and other retirement income,
rental income, installment sales or land contract income, and any other
income that is not readily verifiable by an outside, independent third
party source. All unearned or passive income that is used to qualify the
Borrower must be verified.
|
| UNEMPLOYMENT COMPENSATION AWARD LETTER |
A letter issued to employees who are awarded unemployment benefits when
their employment is terminated through no fault of their own. The
benefits they receive are called unemployment compensation.
|
| UNIFORM RESIDENTIAL APPRAISAL REPORT (URAR)
|
The most common appraisal form in use. The URAR is used to document the
methods used to determine the market value of single-family residences
and planned unit developments.
|
| UPDATE ADDENDUM |
An update to the Preliminary Title Report/Title Commitment that reflects
any changes to title since the original title report was prepared. Same
as DATEDOWN ADDENDUM.
|
| URBAN |
A term used to describe a property’s location. Urban properties have
paved access roads and streets, they are close to neighboring properties
and have support services less than 10 miles away. Urban is also a term
used to describe a property located in a city or town.
|
| USAGE RESTRICTION |
Claims listed on a title report that are for usage rights on the
property. Easements for public utilities, property improvement
encroachments are examples of usage restrictions found on a title
report.
|
| Usury |
Taking or contracting for a rate of interest greater than
permitted by law for a loan.
|
| Utilities |
| Basic services associated with developed areas, including
electricity, telephone, fuel, water, and garbage collection. |
