Glossary

NATIONAL SOCIETY OF REAL ESTATE APPRAISERS:   This is an organization founded in 1956 which promotes standards of the professionalism of real estate appraisers in.

NATURAL VACANCY RATE: This is the analysis of the percentage of vacant properties in a given area that is the result of natural turnover and market forces.

NEGATIVE AMORTIZATION: Usually due to a borrower making a minimum payment on an Adjustable Rate Mortgage during a period when the rate fluctuates to a high enough point that the minimum payment does not cover all of the interest, which makes the balance of a loan increase instead of decrease.

NEIGHBORHOOD LIFE-CYCLE: The Economic fluctuations, municipal zoning changes and population shifts that can affect the evolution of neighborhood use and demographics over time.

NEIGHBORHOOD: This is where a subsection of a municipality has been designated by a developer, economic forces or physical formations.

NET LEASABLE AREA: This is the space in a development, outside of the common areas, that can be rented to tenants.

NEW ENGLAND COLONIAL: This is typified by an architectural style dating from early American history of a two-story building with clapboard siding.

NO-COST LOAN: There are many lenders who offer loans that you can obtain at "no cost." You should carefully inquire about means as to whether there are no "lender" costs associated with the loan, or if it also covers the other costs you would normally have in a purchase or refinance transactions, such as title insurance, escrow fees, settlement fees, appraisal, recording fees, notary fees, and other costs. These are fees and costs which may be associated with buying a home or obtaining a loan, but not charged directly by the lender. Know that, like a "no-point" loan, the interest rate will be higher than if you obtain a loan that has costs associated with it.

NO-POINT LOAN: This is loan with no "points". The interest rate on such a loan will be higher than a loan with points paid. This can sometime refer to a refinance loan where closing costs are included in the loan.

NON-CONFORMING USE: It is the use of land for purposes contrary to the applicable municipal zoning specifications. Often, this occurs when zoning changes after a property is in use.

NONLIQUID ASSET: This is any asset which can not be quickly converted into cash at little or no cost.

NOTE: A legal document that obligates a borrower to repay a mortgage loan at a stated interest rate during a specified period of time.

NOTE RATE: This is the amount of interest rate stated on a mortgage note.

NOTICE OF DEFAULT: This is a formal written notice from a lender to a borrower that they are in default.