TOP OF PAGE    GO BACK    ASK THE BROKER

Mortgage Dictionary

"D"

Damages


A financial solution determined by a court to compensate one party for injury by another party. Damages are intended to restore the parties to the state that would have existed if the contract had been performed.

Debt Service Ratios


Ratios that are used to compare borrowers debts to their incomes to determine if they can afford loans

Debt to Assets Ratio


This ratio identifies how much of a company's operations are funded through borrowing. It is calculated by dividing total liabilities by the total assets.

Debt to Equity Ratio


Another ratio (see debt-to-assets) which assesses how much of a company's operations are funded through borrowing, compared to the amount of money provided by the owners. It is calculated by dividing total liability by owners equity.

Debtor


One who owes a debt.

Dedication


The granting of land by the owner for some public use and its acceptance for such use by authorized public officials.

Deed


A legal document in writing, duly executed and delivered, that conveys title or an interest in real property.

Default


Failure to fulfill contractual obligations.

Deficiency Judgement


A court order to pay the balance owed on a loan or mortgage if the proceeds from the sale of the security are insufficient to pay off the loan.

Deficiency Settlement


A monetary settlement by a mortgage lender or insurer when the net proceeds under a Power of Sale or Judicial Sale is less than the lender's total claim.

Demand Letter


A letter sent by the lender to the borrower demanding immediate payment of all arrears, together with costs.

Demographic


Characteristics of a population such as size, growth, age, etc.

Depreciation


The loss of value of an asset over time.

Direct Comparison


This type of appraisal, also referred to as the market data approach, bases property value on the current selling prices of similar properties.

Discharge Document


Once the receipt (acknowledging the completion of payment) has been processed and registered to the title, it becomes the discharge document.

Discharge of Mortgage /Charge


A legal document executed by the lender, and given to the borrower when a mortgage loan has been repaid in full, releasing him or her from all obligations and covenantscontained in the mortgage.

Disclose Defects


To make known current or past imperfections. Failure to disclose defects will not affect consent, but will have the same effect as a misrepresentation.

Disclosure Statement


A written statement disclosing information about a specific loan and potential conflicts of interest required under various consumer protection acts.

Doctrine of Estates


It is the concept that specifies the various rights to land ownership in common law countries.

Doctrine of Privity


Also known as the =93third party rule. The doctrine of privity states that only parties to a contract are entitled to enforce a contract; third party beneficiaries do not have the right to take action.

Dollar Adjustments


These are estimates of the dollar amount allocated to each factor being compared to the subject property in an appraisal. For example a dollar adjustment would reflect how much extra a buyer would pay for a home with a finished basement compared to one with an unfinished basement. See percentage adjustment.

Dominant Tenement


The land which derives benefit from an easement over a servient tenement, as in a Right-of-way.

Double Up Option


A clause that may be included as part of an open mortgage contract, giving the borrower the opportunity to double the scheduled principal and interest payments.

Draft Mortgage Document


The foundation of the document is to specify all terms and conditions of the agreement. A lawyer must ensure its contents accurately list loan amounts, interest rates, proper legal descriptions, repayment contract and other factors that loan agreement. The draft mortgage document is a last check on the mortgage required by some lenders.

Draws


The stages in which the borrower receives a partial loan disbursement in a builder's loan.

Duress


The threat of force, false imprisonment or threats upon individuals to result in action or lack of action contrary to their wishes orinterests. If duress is used to enter a contract, courts may find the agreement void and null.

TOP OF PAGE    GO BACK   




- Mortgages: Residential Commercial and Industrial

- Investments/Income Properties, Construction Loans

- Refinancing, Debt Consolidation, Lines of credit

-Bankruptcy? Challenging credit? Self-employed? No SIN? No verifiable income? Need private mortgage?


MOBILE: 416 602 75 14