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Reference

Definitions F

FHA Loan

An FHA loan is a federal assistance mortgage loan insured by the US Federal Housing Administration.

From the SecureYourDebt.com glossary:

It is “a loan insured by the Federal Housing Administration open to all qualified home purchasers. While there are limits to the size of FHA loans, they are generous enough to handle moderate-priced homes almost anywhere in the country.”

Foreclosure

Borrower default on a mortgage may result in foreclosure, in which the lender forces the borrower to sell the property at auction, and takes some or all of the proceeds in (partial) satisfaction of the debt. Note that foreclosure is not repossession – the lender only ends up owning the property if theirs is the winning auction bid.

There is a clear overview of all steps of the process at FreeAdvice.com.

Foreclosure inventory

Foreclosure inventory refers to loans in the process of foreclosure.

From the US Government Accountability Office:

“Two measures of foreclosure are foreclosure starts (loans that enter the foreclosure process during a particular time period) and foreclosure inventory (loans that are in, but have not exited, the foreclosure process during a particular time period).”