Real Estate Investor Glossary
Plain English. Real Definitions.
Definitions for the loan and investment terms that matter to investors. Written by Sean Davoodian, licensed mortgage broker (NMLS #2822806).
DSCR Programs
DSCR Programs
DSCR
The ratio of property income to debt service — qualifies your loan.
No-Ratio DSCR
Qualifies on credit, reserves, and LTV — no rental coverage required.
LTV
How much you're borrowing relative to property value.
BRRRR
Buy, Rehab, Rent, Refinance, Repeat — the investor scaling strategy.
LTC
Coming soon
Sub-1.0 DSCR
Coming soon
Loan Products
Loan Products
Non-QM
Loans that don't meet QM rules — alternative income docs accepted.
Bridge Loan
Coming soon
HELOC
Coming soon
Hard Money
Coming soon
Conventional Loan
Coming soon
FHA Loan
Coming soon
VA Loan
Coming soon
Jumbo Loan
Coming soon
Investment Strategy
Investment Strategy
ARV
After Repair Value — what the property is worth post-rehab.
Cap Rate
Annual NOI divided by property value — yield without leverage.
Cash-on-Cash Return
Annual cash flow divided by cash invested — leveraged yield.
NOI
Net Operating Income — what the property earns after operating costs.
IRR
Coming soon
Cash-Out Refinance
Coming soon
Rate-and-Term Refinance
Coming soon
Financial Terms
Financial Terms
PITIA
All-in monthly housing cost: principal, interest, taxes, insurance, association.
DTI
Coming soon
Reserves
Coming soon
Origination Fee
Coming soon
Discount Points
Coming soon
Closing Costs
Coming soon
Title Insurance
Coming soon
Industry Terms
Industry Terms
1031 Exchange
Coming soon
Cost Segregation
Coming soon
Depreciation
Coming soon
K-1
Coming soon
REI
Coming soon
SFR
Coming soon
Multi-family
Coming soon
Owner-Occupied
Coming soon
Don't see the term you're looking for?
Talk to us — we'll explain anything in plain English.
Get a Quote →Or call: (747) 308-1635