Market Value
The highest price that a buyer would pay and the lowest price a seller would accept on a property. Market value may be different from the price a property could actually be sold for at a given time.

Marketable Title
A title that is free and clear of objectionable liens, clouds, or other title defects. A title which enables an owner to sell his property freely to others and which others will accept without objection.

Mechanic's Lien
A lien given by statute to those who perform labor or furnish material for the improvement of real property.

Metes and Bounds
A description of real property by courses and distances, giving the lengths and direction of the boundaries of a tract of land, usually irregular in shape.

Mortgage
A legal document used to secure the performance of an obligation. The purpose of the mortgage is to create a lien on the mortgaged property as security for repayment of a debt.

Mortgage Commitment
A written notice from the bank or other lending institution saying it will advance mortgage funds in a specified amount to enable a buyer to purchase a house.

Mortgage Insurance
Insurance written by an independent mortgage insurance company (referred to as an "MIC") protecting the mortgage lender against loss incurred by a mortgage default, thus enabling the lender to lend a higher percentage of the sale price. The Federal Government writes this form of insurance through the FHA and the VA.

Mortgage Note
An instrument used to encumber land as security for a debt. This document gives the mortgage company "in rem" jurisdiction over the mortgagor.

Mortgagee
The source of funds for a mortgage loan; one who receives and holds a mortgage as security for repayment of a debt.

Mortgagee Policy
A title insurance policy used to insure the mortgage lien that a lender is acquiring.

Mortgagor
The owner of property who borrows money and mortgages property as security for the loan.