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The "F's" of Real Estate in Denver and Parker, Colorado

FLIPPING:  The process of selling a home shortly after purchase to turn a profit by making cosmetic updates and upgrades.

FORECLOSURE:  When a homeowner fails to pay the mortgage, the home goes to foreclosure.  The mortgage lender will then resell the property in an attempt to recover their losses.

FHA (FEDERAL HOUSING ADMINISTRATION) LOAN:  A mortgage that is insured by the Federal Housing Administration (FHA) and issued by an FHA approved lender.  FHA loans are designed for low to moderate income borrowers as they require a lower minimum down payment and lower credit scores than many conventional loans.

FIXED-RATE MORTGAGE:  A home loan with an interest rate that stays the same throughout the loan's lifetime.

FAIR MARKET VALUE (FMV):  The benchmark of property value.  It's the price a buyer is willing to pay for the property and what the seller is willing to accept.  This occurs when neither party is desperate to make a sale and both are knowledgeable about the home's good and bad points.

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