Mortgage Dictionary: N

Please view the glossary definitions from our list below. Some terms have a dedicated page with a longer definition. This is available by clicking on the "more about " link.

Negative Equity A situation that occurs when the amount loaned against a property is in excess of the market value of the property. Net Monthly Repayment Monthly repayment made to the creditor. Net Profit The income of a company or self employed business after making full allowance for the expenses of running the business. This should be the amount available to the owners of the business for their own benefit. It is the figure that can be used to calculate their ability to service a mortgage. Net Profit Declining This is where the net profit from a business decreases from one year to the next. Many lenders will not lend in this situation, as in the near future, the business may be unable to provide sufficient income to cover the cost of loan repayments. Capital raising remortgages are especially avoided in this situation as the borrower may be seeking funds to shore up a failing business. New Build Refers to new properties developed on green field sites. Can refer to a single property or whole estates. Non Status A loan granted without making enquiries as to the borrower's income or credit history. Not In Employment Unemployed not in employment or receiving any regular salary.    Notice Of Default A lender's initial contact when you have fallen behind on your credit repayments.