Glossary of Common Terms

After Repair Value or ARV
The After Repair Value is the projected value of the property after repairs.

Appreciation
When a property appreciates it means it has increased in value. There are a variety of factors that can cause a property to appreciate.

Blockbusting
Real estate agents and property developers can engage in the illegal practice of blockbusting to try and buy properties at lower prices.

Eviction
An eviction is the legal removal of a tenant from a rental property.

Fair Market Rent
Fair market rent is the estimated amount a property will rent for in a specific area. HUD calculates this number for over 2,500 counties in the United States.

FICO Score
The credit bureaus will determine your riskiness as a borrower by assigning you with a FICO score. Learn how this score is calculated and how it can impact your ability to get financing.

Owner Occupant
When the person who owns a home also lives in the home, they are considered an owner occupant.

Partial Claim
If you are a homeowner who is delinquent on an FHA loan, you can file a partial claim. However, there are certain qualifications you must meet.

Primary Residence
A primary residence is a property where an individual spends most of his or her time.

Public Housing Authority
HUD grants Public Housing Agencies the authority to administer housing programs such as Section 8. Learn what these agencies are responsible for.

Section 8
Section 8 is also called the Housing Choice Voucher Program. It allows individuals to rent out homes using vouchers that are subsidized by the government.

Security Deposit
A security deposit is a sum of money a tenant agrees to pay the landlord prior to move-in.

Short Sale
A Short Sale is an agreement between a lender and a borrower to settle mortgage debt for less than the full amount owed.

Tenant
A tenant is a person who has the right to reside in a rental property according to an oral agreement, signed lease, or rental agreement.