Mortgage Glossary – G
This federal government corporation is a part of the Department of Housing and Urban Development. Among other governmental functions, it guarantees securities backed by mortgages that are insured or guaranteed by other government agencies.
Good Faith Estimate
Written estimate of the settlement costs the borrower will likely have to pay at closing based on common local practices. Under the Real Estate Settlement Procedures Act (RESPA), the lender is required to provide this disclosure to the borrower within three days of receiving a loan application.
Time period as stated on the loan terms during which a loan payment may be made after its due date without incurring a late penalty. The grace period is specified as part of the terms of the loan in the Note.
Gross Monthly Income
Total Monthly income before taxes or expenses are deducted.