Real Estate Glossary: Y

Year-End Statement
A mortgage summary or report that is sent to the borrower at the end of each year. The statement shows the amount of taxes and interest paid on the mortgage during the year, as well as the remaining loan balance.

Year-To-Year Tenancy
A periodic tenancy in which the rent is reserved from year to year.

Yield to Maturity (YTM)
The internal rate of return on an investment. The YTM generally considers all investment returns and the timing of each return.

Real Estate Glossary: W

Waiver
The deliberate and voluntary relinquishment or surrender of a claim, right, or privilege.

Walk-through
The buyer’s final inspection of a property which is being purchased is called a walk-through. This final inspectiongenerally takes place on the day of closing or one day prior to ensure all the conditions of the sale have been met.

Warranty
In real estate, warranty refers a document certifying clear title a property.

Witness
An individual who signs his or her name to a document for the purpose of attesting to its authenticity. For example, a witness is usually required to sign a deed, will or other legal document.

Workout
A type of mortgage where basic terms such as interest rate, term, and monthly payment are altered to prevent foreclosure. This is not a typical practice in Canada.

Wraparound Mortgage- [Updated]
A form of secondary financing in which a seller extends to a purchaser a junior mortgage which wraps around and exists in addition to one or more superior mortgages. Under a wrap, a seller accepts a promissory notefrom the buyer for the amount due on the underlying mortgage plus an amount up to the remaining purchase money balance.  {source: Wikipedia}

A list of Real Estate Abbreviations: Residential

Even though these days we are getting more descriptive Property Information Sheets, there can be times when you’ll run into an almost illegible document. These property sheets were often described with a lot of abbreviations. Trying to decipher its meaning is almost as hard as finding a good property!

Here is a bilingual list of Real Estate abbreviations used to describe residential properties.

Click on this link to view the PDF file: Abbreviations List
(You can save a copy or print)

Real Estate Glossary: K

Key Lot
A property that must be acquired because it is essential to the development of land, either because of its strategic location or the timing of the acquisition.

Kicker
Any benefit to a lender above ordinary fixed-interest payments such as an equity position in a property or a percentage participation in the income stream.

Real Estate Glossary: I

Illegal View (Quebec)
Any exterior opening or opening in a structure or building that creates an illegal view of adjoining lands.

Income Approach - Evaluation
A step in the valuation process of an income property. The value is reached by estimating the annual income minus an allowance for vacancies and bad debts and then subtracting annual operating expenses, real estate taxes, and insurance premiums to obtain the net operating income. This is then converted by capitalization into a capital value.

Income Property
A property that is developed or improved for the purpose of generating income. Also referred to as “non-owner occupied property” or “rental property.”

Income-splitting
A financial strategy used for tax purposes to reduce the overall tax burden on a family. Income is shifted from one family member to another who is in a lower tax bracket, so the income is taxed at the lower rate to save the family money. Read more

Real Estate Glossary: H

Hectare
An area equal to 100 meters by 100 meters

High-Ratio Mortgage
A mortgage loan higher than 80% of the lending value of the property. Such types of mortgages may need to be insured.

Holdback
The amount of money withheld by the lender during construction of a property to ensure that construction at every state is satisfactory. Read more