What is a triggering term in real estate?

Asked by: Mark Krajcik  |  Last update: March 1, 2026
Score: 4.3/5 (41 votes)

Triggering terms for home equity lines of credit advertisements include finance charges, periodic rates, late payment or credit limit charges, fees for documentary evidence, fees for title, appraisal, credit report fees, taxes, membership or participation fees and termination fees.

What are examples of trigger terms?

The triggering terms are:
  • The amount of the down payment, expressed either as a percentage or as a dollar amount. ...
  • The amount of any payment expressed either as a percentage or as a dollar amount. ...
  • The number of payments. ...
  • The period of repayment (the total time required to repay). ...
  • The amount of any finance charge.

What are trigger words in real estate?

Triggering Terms
  • Definition: used in advertising, include the following – the amount or percentage of down payment, number of payments, period (term) of repayment, amount of any payment, and the amount of any finance charges.
  • Pronunciation: \ˈtri-g(ə-)riŋ\

Which of the following is considered a triggering term?

The following are trigger terms: the amount or percentage of any down payment, the payment period, the monthly payment, and the amount of the finance charge.

Is 100% financing a trigger term?

Examples of Triggering Terms

The amount of any payment expressed as a percentage or a dollar amount (example: "$15 per month" or "monthly payments of under $100")

Truth in lending trigger terms -- Daily real estate practice exam question

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What do you have to disclose if a triggering term exists in a mortgage?

For example, if a lender uses one or more of the triggering terms listed above in an advertisement for a mortgage, the ad must also include: The amount or percentage of the down payment. The full terms of the repayment over the loan's term, including any required balloon payment.

Is 100% financing a good idea?

If you haven't been able to save up for a down payment on a home, a no-down-payment mortgage (also called 100% financing) could be a good idea. This option could allow you to buy a home now without waiting years to save.

What are the trigger terms for home equity?

Triggering terms for home equity lines of credit advertisements include finance charges, periodic rates, late payment or credit limit charges, fees for documentary evidence, fees for title, appraisal, credit report fees, taxes, membership or participation fees and termination fees.

What is considered triggering?

A trigger is a stimulus that elicits a reaction. In the context of mental illness, "trigger" is often used to mean something that brings on or worsens symptoms. This often happens to people with a history of trauma or who are recovering from mental illness, self-harm, addiction, and/or eating disorders.

Which of the following is an example of a triggering event?

Triggering events include job loss, retirement, or death, and are typical for many types of contracts. These triggers help to prevent, or ensure, that in the case of a catastrophic change, the terms of an original contract may also change.

What words violate fair housing?

Phrases related to race, gender identity, sexuality, nationality, cultural identity. It should go without saying but any word or phrase related to any of these items should be left out of your property descriptions.

What is a buyer trigger?

Understanding Buying Triggers

A Trigger is an event that causes a buyer to have a clear need, which usually converts into a sense of purpose and urgency in their buying process. As an example in your own personal life, you might have had a vague interest in getting a new camera.

What is not a trigger term?

The only term that is not a 'trigger term' according to Regulation Z is the APR. Trigger terms in Regulation Z are those that could potentially cause misunderstanding about the cost of credit, including downpayment amount, number of payments or repayment period, and finance charge amount.

Is assumable mortgage a triggering term?

In mortgage advertising, triggering terms influence consumer decisions by indicating specific financing details. The term 'Assumable Mortgage' does not provide specific conditions like the others do. Hence, it is not considered a triggering term compared to the others in the list.

What is term triggering?

Meaning of triggering in English

causing a strong emotional reaction of fear or worry because someone is made to remember something bad that has happened in the past: For people with PTSD, loud noises can be triggering. a triggering experience.

What are triggering factors examples?

Trigger factors may be internal, such as snoring or excessive limb movements, or external, such as noise or being touched. Keep a diary of what you spend when, and look for trigger factors, such as how you were feeling. Some consider emotional stress to be the main triggering factor.

Which of the following is the best description of a trigger?

Final answer: A trigger is a stimulus that elicits a strong emotional or physical response in individuals who have experienced trauma. Triggers activate memories and emotions associated with the trauma, but they do not prevent re-traumatization or provide safety during flashbacks.

What is the downside of an HEA?

Con: You have to pay all at once

You're facing a deadline to pay back the entire investment and a percentage of your home's appreciation. If you die, your heirs will have to conclude the agreement by selling the property or paying out the company's share. That is no small consideration.

What is the monthly payment on a $50,000 home equity loan?

A $50,000 home equity loan comes with payments between $489 and $620 per month now for qualified borrowers. However, there is an emphasis on qualified borrowers. If you don't have a good credit score and clean credit history you won't be offered the best rates and terms.

What is a trigger term in mortgage?

Triggering Terms and Additional Disclosures

The open-end credit advertising rules specify that when certain terms are used in advertisements (triggering terms), additional disclosures are required for both non-home secured loans and home-secured, open-end credit plans (i.e., HELOCs).

Does FHA allow 100% financing?

FHA loans offer flexible guidelines for borrowers who have limited funds for a down payment and/or have a low credit score. Specifically, the 100% FHA Loan Program is a type of down payment assistance (DPA) loan that provides eligible homebuyers with 100% financing, requiring no down payment.

Is a 6% loan bad?

A good interest rate on a personal loan is anything lower than the market's average rate. But a good rate for you depends on your credit score. For example, if you have excellent credit, a rate below 11 percent would be considered good, while 12.5 percent would be less competitive.

Is 72 month financing bad?

Because of the high interest rates and risk of going upside down, most experts agree that a 72-month loan isn't an ideal choice. Experts recommend that borrowers take out a shorter loan. And for an optimal interest rate, a loan term fewer than 60 months is a better way to go.