| Term |
Definition |
| Appraised Value |
The just and true valuation of a property, at the time of appraisal, determined by a licensed appraiser. |
| Assignment |
The transfer of any right, claim or interest to another person or corporation. Often used to refer to the transfer of a mortgage from one lender to another. |
| Assignment |
The transfer of any right, claim or interest to another person or corporation. Often used to refer to the transfer of a mortgage from one lender to |
| Assignment of Rents and Leases |
A legal document, sometimes included in the mortgage, that assigns all rents and income from a property to the mortgagee. If properly invoked after default, the mortgagee has a right to assume management of the property and collection of the rents from the subject property. |
| Bankruptcy |
A state of insolvency of an individual or an organization, in other words, an inability to pay debts. The U.S. bankruptcy code is divided into chapters that provide different types of relief from insolvency. Under Chapter 7 bankruptcy, you petition the court to be freed from all your debts following the liquidation of almost all your assets. Certain assets, like your house, are usually exempt from liquidation. Chapter 11 allows you to remain in possession of your assets, but a repayment schedule must be negotiated with creditors. |
| Construction Lien |
A claim against property pursuant to labour, services, or materials supplied. |
| Conveyance |
A written instrument under seal, by which some estate or interest in lands is transferred from one person to another; such as a deed, mortgage, etc. |
| Covenants |
Usually called Restrictive Covenants because they restrict the use of real property. Often required as part of the subdivision process by the approving authority, these are charges registered against the title, and binding upon all subsequent owners. These covenants govern how a property may be used. |
| Deed of Trust |
In some states, this is used in place of a mortgage or deed to secure debt. While there are only two people involved in a mortgage, the borrower and the lender, there are three people involved in a deed of trust: the borrower, the lender and the trustee. Here, the borrower transfers the legal title for the property to the trustee who holds the property as a security for the debt. If the borrower pays the mortgage as agreed, the trustee gives the legal title to the owner. If the borrower does not pay the mortgage as agreed, the trustee can sell the property. |
| Docket |
An official court record book which lists all the cases before the court and which may also note the status or action required for each case. |
| Easements |
The right to make limited use of another persons land. It is usually granted in writing by the owner and becomes an interest in the land and an encumbrance (see Encumbrance) on the title. For example, as the owner, you may wish to grant an easement for the installation of a utility line through your property. |
| Federal Tax Lien |
Filed by the Internal Revenue Service which creates a lien against any property the tax payer might or does own in the county in which the lien is filed. The lien is created because the tax payer did not pay any or all of his federal income tax. |
| Gift Deed |
Instrument which transfers legal title to property for no consideration (except perhaps natural love and affection). |
| Grantee |
A person who acquires an interest in land by deed, grant or other written instrument. The purchaser; a person to whom a grant is made. |
| Grantor |
The person who transfers an interest in real property to another person. |
| Incorporation |
A legal process through which a company receives a charter and the state in which it is based allows it to operate as a corporation. |
| Legal Description |
The part of a conveyance, advertisement of sale, etc. which identifies the land or premises intended to be affected. |
| Lis Penden |
A suit pending in court affecting the land, which could place a lien on the property. |
| Lot |
Any portion, piece, division or parcel of land. |
| Market Value |
The most probable price in terms of money which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. |
| Modification Agreement |
An instrument filed, which modifies the terms of a deed of trust. |
| Parcel |
A description of property, formally set forth in a conveyance, together with the boundaries thereof, in order to easily identify it. |
| Parcel Number |
The number assigned by a county to a parcel of property for identification purposes. |
| Plat Book |
A book of maps, available in the county chancery clerk's office, of land subdivided into lots, with street, alleys, etc. |
| Power of Attorney |
A legal document authorizing one individual to act as the agent or "attorney" for another (the "principal"). If the attorney is authorized to act in behalf of another for all matters, he or she has general power of attorney. Authority to act solely regarding specified situations is special power of attorney. If the authority granted extends beyond the disability of the principal, the attorney has durable power of attorney. If you are the grantor (see Grantor), you may revoke a power of attorney at any time. If you, as grantor die, relocate or are judged legally incompetent, the power of attorney will automatically terminate. |
| Quitclaim Deed |
A deed of conveyance operating by way of release; that is, intended to pass any title, interest, or claim which the grantor may have in the premises, but not professing that such title is valid, nor containing any warranty or covenants for title. |
| Range |
A row or tier of townships lying east or west of the principal meridian and numbered successively to the east and to the west from the principal meridian. |
| Release |
A legal document evidencing the discharge of a debt or obligation. |
| Right of Way |
A privilege operating as an easement upon land, whereby the owner does by grant, or by agreement, give to another the right to pass over his land; to construct a roadway over, or use as a roadway, a specific part of his land, telephone, telegraph, or electric power lines, or the right to place underground water mains, gas mains or sewer mains. |
| Section |
A tract of land, 1 mile square, within a township containing 640 acres. Approximately 1/36 of a township. |
| Subdivision |
A housing development that is created by dividing a tract of land into individual lots for sale or lease. |
| Subordination Agreement |
A written agreement between lienholders to change the priority of mortgage, judgment and other liens. Under a subordination agreement, the holder of a superior or prior lien agrees to permit a junior lienholder's interest to move ahead of his or her lien. |
| Substitution of Trustee |
A document, filed by the beneficiary, which changes the trustee on a particular trust deed. |
| Township |
A tract of land contained within the boundaries of the north-south range lines containing approximately 36 square miles or 23,040 acres. |
| Trustee's Deed |
A deed given by trustee when property is foreclosed and sold at a trustee's sale. |
| Warranty Deed |
The transfer of property from the grantor to the grantee. |
