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Glossary
Proviso in contract or lease that confers the right to terminate obligations upon occurrence of the condition or contingency set forth in clause.
A limit, such as that placed on an adjustable rate mortgage, on how much a monthly payment or interest rate can increase or decrease.
Any major structural improvement to real estate, which normally extends the life and value of the property.
Amount by which the proceeds from the sale of a capital asset are less than the cost of acquiring it.
A cash amount sometimes required to be held in reserve in addition to the down payment and closing costs; the amount is determined by the lender.
A document provided by a qualified source (such as a title company) that shows the property legally belongs to the current owner; before the title is transferred at closing, it should be clear and free of all liens or other claims.
Also known as settlement, this is the time at which the property is formally sold and transferred from the seller to the buyer; it is at this time that the borrower takes on the loan obligation, pays all closing costs, and receives title from the seller.
Customary costs above and beyond the sale price of the property that must be paid to cover the transfer of ownership at closing; these costs generally vary by geographic location and are typically detailed to the borrower after submission of a loan application.
A detailed accounting of a real estate transaction showing all cash received, all charges and credits made, and all cash paid out in the transaction.
Outstanding claim or encumbrance which, if valid, affects or impairs owner's title.
Payment to broker/intermediary/middleman for services rendered; usually a percentage of the selling price.
An amount, usually a percentage of the property sales price that is collected by a real estate professional as a fee for negotiating the transaction.
The final stage of the sale. At this time all the monies are passed over and the buyer has legal right to the property.
Contract for sale of property which states that the contract can be cancelled unless conditions of the contract have been fulfilled. A contract is usually condition for only a defined period of time.
An apartment or other unit, held in fee ownership, in which owners pay common charges for the maintenance of common areas.
A form of ownership in which individuals purchase and own a unit of housing in a multi-unit complex; the owner also shares financial responsibility for common areas.
A legal agreement between two parties that has two parts. You, the buyer sign one part and we, the seller sign the other.
A private sector loan, one that is not guaranteed or insured by the Ghana government.
The legal transfer of a property from one owner to another via your legal representative/solicitor.
Usually in your deeds, this is a legal restriction or condition affecting the property, which you must comply with. For example, pledging to maintain a wall.
A number representing the possibility a borrower may default; it is based upon credit history and is used to determine ability to qualify for a mortgage loan.