CAP in adjustable rate mortgages (ARMs) refers to a limit placed on adjustments to protect the borrower from large increases in the interest rate or the payment level. There are different types of caps, including annual caps, lifetime caps (life-of-loan caps), and payment caps. This measure helps borrowers by providing predictability and stability in their mortgage payments.
Lender’s Title Insurance, also known as Mortgagee’s Title Insurance, provides protection to mortgage lenders against any issues that may arise with a property's title, such as disputes or defects.
