You've probably heard some real estate terms and are wondering what in the world they mean. Use this glossary to look them up! If you are wondering what a word or phrase means and I don't have it in the glossary, please send me an email asking!

Impact Fees
Fees collected from developers of new homes to pay for schools, parks, and other facilities.

Income Property
Property that is not occupied by the owner but is used to generate income.

Incurable Defect
A defect in a property that cannot be fixed, such as an adjacent hazardous waste site, or one that would cost too much to repair relative to the value of the property.

Infrastructure
The roads, schools, parks, utilities, bridges, and communications systems in a community.

Inspection
An examination of a home's construction, condition, and internal systems by an inspector or contractor prior to purchase.

Inspection Fee
A fee paid to determine the present physical condition of the home, required by the lender in order to supplement the information contained in the appraisal report.

Inspection Report
An examination of a home including such items as exterior, foundation, framing, plumbing, electrical system, heating, air conditioning, fireplace, kitchen, bathroom, roof, and interior.

Insulation
Materials that slow heat loss, such as cellulose, glass fiber, rock wool, polystyrene, urethane foam, and vermiculite.

Insurance
Owners and buyers can purchase various types of insurance including hazard, private mortgage, and earthquake. The policies guarantee compensation for specific losses.

Insurance Binder
A temporary insurance arrangement usually put in force until a permanent policy can be obtained.

Interest
The fee borrowers pay to obtain a loan. It is calculated based on a percentage of the total loan.

Interest Rate
The fee, expressed as a percentage, charged for a loan. The interest rate also helps determine the monthly payment. For adjustable-rate loans, the interest rate may change from its initial level.

Interest Rate Cap
The maximum interest rate charge allowed on the monthly payment of an adjustable rate mortgage during an adjustment period.

Interest Rate Ceiling
The highest interest a lender can charge for an adjustable rate mortgage.

Interest-only Loan
The borrower pays only the interest that accrues on the loan balance each month. Because each payment goes toward interest, the outstanding balance of the loan does not decline with each payment.

Investment Property
Real estate that generates income, such as an apartment building or a rental house.