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Sales Holdback |
A percentage of the principal amount of the mortgage held back by the mortgagee until the property in question has been sold to a party satisfactory to the mortgagee who has assumed the responsibility of the mortgage by the appropriate legal document. |
Sales Leaseback |
A technique in which a seller deeds property to a buyer and the buyer simultaneously leases the property back to the seller usually on a long-term basis. |
Seasonal Deficiencies |
Work necessary to finish a property which cannot be completed immediately because of seasonal or climatic conditions. |
Secondary Financing |
Financing real estate with a loan, or loans, that are subordinate to a first mortgage. |
Secondary Mortgage Market |
An unorganized market where existing mortgages are bought and sold. |
Second Mortgage |
A mortgage registered secondly on title after another mortgage. A third mortgage is registered thirdly and so on. |
Security of Tenure Agreement |
See Non-Disturbance Agreement. |
Seed Money |
See Front-End Money. |
Servicing Agreement |
A written agreement between an investor and mortgage loan correspondent stipulating the rights and obligations of each party regarding the origination and continuing administration of loans. |
Servient Tenement |
The parcel of land over or through which an easement runs. |
Servitudes (Quebec) |
A charge or burden resting upon one estate for the benefit or advantage of another. |
Severance |
The subdivision of a parcel of land. |
Sheriff's Certificate |
A signed statement from the sheriff's office certifying that there are no Writs of Execution in the sheriff's hands against specific land and that he has not sold the land within a specified period of time. |
Spread |
The difference between the cost of money and the yield on the investment. |
Specific Performance |
A remedy in a court of equity compelling the defendant to carry out the terms of an agreement or contract. |
Standby Commitment |
An agreement by a lender to provide a certain amount of money on specific terms in the future. Neither party expects funding of the loan. This commitment enables the borrower to arrange construction financing from other sources. The commitment is issued for a fee and the lender is willing to disburse the committed funds in the event that a permanent loan on more favourable terms is not obtained. |
Standby Fee |
A sum of money given by the borrower to the lender to hold a mortgage commitment for a certain period of time. |
Standing Mortgage |
A mortgage which provides for equal, regular lump sum payments of principal, usually quarterly, plus accrued interest. |
Strata Property (British Columbia) |
See Condominium. |
Submission |
A package of pertinent papers and documents regarding specific property or properties. It is delivered to a prospective lender for review and consideration for the purpose of making a mortgage loan. |
Subordinate |
Subject to, or junior to. |
Subordination |
The act of a party acknowledging by written recorded instrument, that a debt due is inferior to the interest to another in the same property. Subordination may apply not only to mortgages, but to leases, real estate rights, and any other type of debt instrument. |
Subrogation |
A doctrine adopted in favour of the insurer in order to prevent the insured from recovering more than a full indemnity. The substitution of one person for another in reference to a debt, claim or right. |
Subscription Policy |
An insurance policy which states two or more insurance companies that are sharing the risk. |
Surety |
One who guarantees the performance of another. |
Survey |
Land surveys (cadastral surveys). The process by which land boundaries and areas are determined and defined. Surveys are also used for locating and identifying property lines, improvements on the land and easements on the land. Surveys that cover so small a part of the earth's surface that its curvature need not be taken into account are called "plan surveys". Those in which the earth's curvature must be taken into account are called "plane surveys". Those in which the earth's curvature must be taken into account are called "geodesic surveys". |
Surveyor's Certificate |
A formal statement signed, certified, and dated by a surveyor giving the pertinent facts about a particular property and any easements or encroachments affecting it. |
Syndication |
A group of trust companies or banks which share in the principal disbursement of a loan to spread risk or to comply with statutory restrictions on loan size. The lead lender will administer the loan, disbursing payments and handling foreclosure if required. |
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