Real Estate Dictionary (K-M)
An installment contract for the sale of land whereby the seller (vendor) holds legal title and the buyer (vendee) has equitable title until the sales price is paid in full.
Any conspicuous object that helps establish land boundaries.
An agreement by which an owner of real property (lessor) gives the right of possession to another (lessee), for a specified period of time (term) and for a specified consideration (rent).
An estate in real property held under a lease for a fixed term.
A description of land recognized by law, based on government surveys, spelling out the exact boundaries of the entire piece of land. It should so thoroughly identify a parcel of land that it cannot be confused with any other.
Any person or entity advancing funds which are to be repaid. A general term encompassing all mortgagees and beneficiaries under deeds of trust.
A title insurance policy which insures the validity, enforceability and priority of a lender’s lien. This policy does not provide protection for the owner.
A party to whom a lease (the right to possession) is given in return for a consideration (rent).
A landlord; one who gives a leasehold to a lessee.
Permission to go upon or use the land of another, the permission being a personal privilege and not constituting an interest in the land.
A claim by one person on the property of another as security for money owed. Such claims may include obligations not met or satisfied, judgments, unpaid taxes, materials or labor.
Also called “waiver of liens”. A waiver of mechanic’s lien rights, signed by contractors or subcontractors so that the owner or general contractor can receive funds from a construction loan.
A grant or reservation of the right of use, occupancy and ownership for the life of an individual.
In surveying, a length of 7.92 inches.
A legal notice recorded to show pending litigation relating to real property, and giving notice that anyone acquiring an interest in said property subsequent to the date of the notice may be bound by the outcome of the litigation.
Also called “mortgage policy”. A title insurance policy insuring a mortgagee, or beneficiary under a deed of trust, against loss caused by invalidity or unenforceability of a lien, or loss of priority of the mortgage or deed of trust.
A guarantee, for which you are usually charged a fee, that you will receive a specific rate when you close your mortgage.
Loss Payable Clause
A provision added to a Fire and Casualty Policy which says any loss will be paid to two or more parties as their interest may appear. Usually the owner and the mortgage lender.
Generally, any portion or parcel of real property. Usually refers to a portion of a subdivision.
The age at which a person no longer considered a minor and is entitled to contract and enjoy civic rights, such as voting.
The price that a home will likely fetch on the market, based on comparisons to similar homes that have sold recently.
A title which enables an owner to sell his property freely to others and which others will accept without objection.
A lien created by statute for the purpose of securing priority of payment for the price or value of work performed and materials furnished in construction or repair of improvements to land, and which attaches to the land as well as the improvements.
Metes and Bounds
A land description in which boundaries are described by courses, directions, distances and monuments.
One who because of insufficient age or status is legally incapable of making contracts.
Monument of Survey
Visible marks or indications left on natural or other objects indicating the lines and boundaries of a survey. May be posts, pillars, stones, cairns and other such objects. May also be fixed natural objects, blazed trees, roads and even a water course.
Evidence of the lien securing the debt.
Securities similar to bonds, but having their value based on a pool of mortgages. The rate of return is based on the interest rate of the mortgages, plus early payoffs, which increases the value of any discounts. The price of the securities will vary as interest rates rise and fall.
A specialized lending institution that lends money solely with respect to real estate and secures its loans with mortgages on the real estate.
A person or company that buys and sells mortgages for another on commission or who arranges for and negotiates mortgage contracts.
A written notice from the bank or other lending institution saying it will advance mortgage funds in a specified amount to enable a buyer to purchase a house.
Insurance written by an independent mortgage insurance company protecting the mortgage lender against loss incurred by a mortgage default, thus enabling the lender to lend a higher percentage of the sale price.
A written agreement to repay a loan. The agreement is secured by a mortgage, serves as proof of an indebtedness, and states the manner in which it shall be paid. The note states the actual amount of the debt that the mortgage secures and renders the mortgagor personally responsible for repayment.
A mortgage with a provision that permits borrowing additional money in the future without refinancing the loan or paying additional financing charges. Open-end provisions often limit such borrowing to no more than would raise the balance to the original loan figure.
The lender in a mortgage agreement.
See Loan Policy.
The borrower in a mortgage agreement.
The pooling in a central bureau of listings of properties for sale. These listings are held individually by members of a group of real estate brokers, with the agreement that any member of the group may sell the properties and, in the case of a sale, the commission will be divided between the broker making the sale and the broker who filed the listing.
Westcor Land Title Insurance Company does not guarantee complete accuracy of this dictionary.