| Term | Definition |
|---|
| attachment | Method by which a debtor's property is placed in the custody of the law and held as security pending outcome of a creditor's suit. |
| attorney's opinion of title | An instrument written and signed by the attorney who examines the abstracts of title, stating his opinion as to whether a seller may convey good title. |
| attractive nuisance | Something on a piece of property that attracts children but also endangers their safety. For example, unfenced swimming pools, open pits, farm equipment and abandoned refrigerators have all qualified as attractive nuisances. |
| auction | A public sale of property to the highest bidder. |
| balloon mortgage | A mortgage where the final payment is considerably larger than the preceding payments. Contrast with amortized mortgage. |
| balloon payment | A large final payment due at the end of a loan, typically a home or car loan, to pay off the amount your monthly payments didn't cover. Many states prohibit balloon payments in loans for goods or services that are primarily for personal, family or household use, or require the lender to let you refinance the balloon payment before forcing collection. |
| bill of sale | A written instrument given to pass title to personal property. |
| blanket mortgage | One mortgage on a number of parcels of real property. |
| blockbusting | The illegal practice of inducing panic selling in a neighborhood by making representations of the entry, or prospective entry, of members of a minority group; panic peddling. See Fair Housing. |
| bond | (1) A written agreement purchased from a bonding company that guarantees a person will properly carry out a specific act, such as managing funds, showing up in court, providing good title to a piece of real estate or completing a construction project. If the person who purchased the bond fails at his or her task, the bonding company will pay the aggrieved party an amount up to the value of the bond. (2) An interest-bearing document issued by a government or company as evidence of a debt. A bond provides pre-determined payments at a set date to the bond holder. Bonds may be "registered" bonds, which provide payment to the bond holder whose name is recorded with the issuer and appears on the bond certificate, or "bearer" bonds, which provide payments to whomever holds the bond in-hand. Mortgage interest rates are closely related to long term bond interest rates. |
