Mortgage Glossary

Debt - An amount owed to another. See installment loan and revolving liability.

Deed - The legal document conveying title to a property.

Deed-in-Lieu - A deed given by a mortgagor to the mortgagee to satisfy a debt and avoid foreclosure. Also called a "voluntary conveyance."

Deed of Trust - The document used in some states instead of a mortgage; title is conveyed to a trustee.

Default - Failure to make mortgage payments on a timely basis or to comply with other requirements of a mortgage.

Delinquency - Failure to make mortgage payments when mortgage payments are due.

Deposit - A sum of money given to bind the sale of real estate, or a sum of money given to ensure payment or an advance of funds in the processing of a loan. See earnest money deposit.

Depreciation - A decline in the value of property; the opposite of appreciation.

Discount Points -  See point.

Dower - The rights of a widow in the property of her husband at his death.

Down Payment - The part of the purchase price of a property that the buyer pays in cash and does not finance with a mortgage.

Due-on-Sale Provision - A provision in a mortgage that allows the lender to demand repayment in full if the borrower sells the property that serves as security for the mortgage.