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This content applies to Scotland only.
Housing laws vary between Scotland and England. This page applies to Scotland only. Get advice relating to England
Independent financial adviser (IFA)
IFAs offer impartial advice on all aspects of your personal finances and help you find the right products or services (such as mortgages, insurance, savings plans and pensions). The page on getting advice has more on how to find an IFA and how they can help you.
Independent savings account (ISA)
A tax efficient savings plan. You may pay into an ISA if you have an interest only mortgage. The page on repayment options has more information on this.
Inter-generational mortgage
This is a new kind of interest-only mortgage that doesn't have to be paid off before you die. Instead, the property and the loan are left to your heirs (for example, your children), who can choose to continue making the mortgage payments, or can sell the home to pay off the debt. Inter-generational mortgages are not yet available in Scotland.
Interest
As well as paying back the capital you borrow, you will also have to pay interest on the loan. This may be calculated on a daily, monthly, quarterly or annual basis. You will save money if it's calculated on a daily basis. If you have a CAT mortgage, the interest must be calculated daily.
Interest only mortgage
With an interest only mortgage, you take out a loan to buy your home but only pay back the interest to the lender; you don't repay any of the capital until the end of the mortgage term. Instead, you pay into a long term savings plan, such as an ISA, which should clear your mortgage debt when it matures. Read the page on repayment options to find out more.
Intermediary
An adviser who helps you choose the mortgage that's right for you and make your application to the lender. An intermediary can be an IFA, a broker, a solicitor, an estate agent or an accountant.
Joint mortgage
You may wish to take out a mortgage with another person, for example your spouse, partner or a friend. Read the page on joint mortgages for more information.
Lender
The bank, building society or other financial institution which lends you the money for your mortgage.
Letting
If you are having problems paying your mortgage and need to increase your income, or if you need to go away for a long period of time, you may wish to rent out a room in your home to a lodger or let your home to a tenant. Read the page on renting out your home to find out more.
Loan to value (LTV)
This is the amount of money you've borrowed as a percentage of the value of your home. So, for example, if your home is worth £100,000 and your mortgage is £80,000, you will have an LTV of 80%. If your mortgage has a high LTV, say 90 or 95%, you may have to take out a mortgage indemnity guarantee.
Mortgage certificate
If you apply for a mortgage before you have found a property to buy, you can ask the lender for a mortgage certificate stating in principle how much you can borrow. This can be useful if you need to show the seller that you are a serious buyer, but it isn't a guarantee that you'll definitely get a mortgage for that particular property. However, this practice is more prevalent in England.
Mortgage indemnity guarantee (MIG)
Also known as a mortgage insurance premium (MIP) or high loan to value fee. A mortgage indemnity guarantee (MIG) is an insurance policy which covers the lender if you default on your loan.
Mortgage interest run on (MIRO)
If you have been claiming income support mortgage interest (ISMI) but are no longer eligible because you have returned to work, you can carry on getting help with your mortgage interest for a further four weeks. There is no need to put in a claim for MIRO, it will be paid to you automatically.
Mortgage protection insurance
This is life insurance, which would pay off the loan if you die, or your partner in a joint mortgage dies. The page on mortgage protection has more information.
Mortgage rescue scheme
If you are having problems paying your mortgage, your lender may offer you a mortgage rescue scheme, whereby your home is bought but you can remain there as a tenant paying rent. Read the page on mortgage rescue schemes to find out more.
Mortgage to rent
The mortgage to rent scheme is run by the Scottish Government. The scheme aims to help people whose homes are at risk of being repossessed stay in their homes as tenants. Read the page on mortgage to rent to find out more.
Negative equity
If the value of your home is less than your mortgage, you will be in negative equity. For example, if your mortgage is £75,000 but your home is only worth £65,000 you will have negative equity of £10,000.