What Do They Mean When They Say?
Have you ever been baffled by mortgage terms? Below we provide a handy guide to the most common jargon used by the banks, building societies, auctioneers and solicitors.
The measure of the cost of credit stated as a yearly rate and includes such items as the stated interest rate, plus certain charges.
This is mortgage approval subject to finding a property. IT IS VERY IMPORTANT THAT FIRST TIME BUYERS GET THIS IN ADVANCE OF LOOKING FOR A PROPERTY.
This is the date the sale of the house is completed. The purchaser receives the keys of the house.
The term used for legal work involved in buying and selling property.
An independent agency that gathers and maintains information on the debts and repayment records of individuals. Click for further information
The relationship between the loan amount and the value of the property.
This is the term when the property is bought other than at auction or by tender. This sale is agreed in principle prior to signing of contracts. The price is negotiated between the buyer and the seller.
This is a written legal agreement between the seller and buyer. The agreement is legally binding. If the buyer terminates the contract after signing they may lose the deposit already paid.
This is the full inspection of the property to ensure that it is structurally sound. While this survey is optional, it provides the greatest protection to buyers. It is essential for a second-hand property, while almost all new homes are covered by either the HomeBond or Premier guarantees.
A legal document evidencing a person’s right to or ownership of a property. Your solicitor will ensure that the seller is the legal owner of the property and identify disputes or claims against the property.
This is an inspection of the property by the lender to ascertain its value and to find out whether it is a suitable property to lend on. This is carried out by an independent valuer on behalf of the lender.