Foreclosures California

Real Estate and Foreclosure Definitions S - Z


Sales Contract - A contract by which buyer and seller agree to terms of a sale.
Sandwich Lease - A leasehold interest which lies between the primary lease and the operating lease. It is created when the lessee enters into a sublease.
Satisfaction - In real estate practice, an instrument to be recorded on the county recorder's books when a mortgage has been paid in full. it is signed by the mortgagee and recites that the debt has been satisfied.
Separate Property - Property owned by a husband or wife which is not community property; property acquired by either prior to marriage or by gift, will or inheritance, and all of the rents, issues and profits thereof.
Sheriff's Deed - Deed given by court order in connection with the sale of property to satisfy a judgment.
Short Sale - The process of selling a property with the lender accepting less than they are owed, as payment in full for the loan.
Simple Interest - Interest computed on principal alone, as opposed to compound interest.
Situs - Location.
Specific Performance - An action at law to compel the performance of a contract according to its terms.
S.R.E.A. - Designates a person who is a member of the Society of Real Estate Appraisers.
Statute of Frauds - State law which provides that certain contracts must be in writing in order to be enforceable at law.
Statutory Law - Rules formulated into law by legislative action.
Straight Line Depreciation - Definite sum set aside annually from income to pay cost of replacing improvements without reference to interest it earns.
Subject to Mortgage - When a grantee takes title to a real property "subject to mortgage," he is not responsible to the holder of the promissory note for the payment of any portion of the amount due. The most he can lose in the event of a foreclosure is his equity in the property." (See also "Assumption of Mortgage" in this section.) The original maker of the note is not released from his responsibility to pay off the obligation.
Sublease - A lease given by a lessee.
Subordination Clause - Used in a first or senior lien permitting it to be subordinated to a subsequent lien, such as a construction loan. it converts a senior trust deed into a junior trust deed (second, third, etc.).
Subrogation - The substitution of another person in place of the creditor to whose rights he succeeds in relation to the debt. The doctrine is often used when one person agrees to stand surety for the performance of a contract by another person.
Surety - One who guarantees the performance of another. Guarantor.
Taxes - A forced contribution of wealth to meet the public need for government.
Tax Sale - A sale of property, usually at auction, for non-payment of taxes assessed against it.
Tenancy at Sufferance - A tenancy which arises when a tenant holds over after the termination of a lease without consent.
Tenancy at Will - A tenancy for an indefinite period which may be terminated at the will of either the lessee or the lessor.
Tenancy in Common - Ownership by two or more persons who hold undivided interests without right of survivorship.
Tender - An offer of money, usually in satisfaction of a claim or demand.
Time Is Of The Essence - A clause in a contract contemplating performance by the date specified therein.
Title - The rights of ownership.
Title Insurance - Insurance written by a title company to protect the property owner against loss if title is imperfect.
Tort - A wrongful act; wrong; injury; violation of a legal right.
Townhouse - A single family attached dwelling unit with party walls; usually an individual unit in a series of five to ten houses, with common walls between the units and side yards on the end units only; may have one to three stories and all necessary facilities and amenities.
Trust Deed - An instrument which transfers (conveys) the bare legal title of a property to a trustee to be held pending fulfillment of an obligation, usually the repayment of a loan to a beneficiary.
Trustee - One who holds bare legal title to a property in trust for another to secure the performance of an obligation.
Trustee's Sale - A sale at auction by a trustee under a deed of trust, pursuant to foreclosure proceedings.
Trustor - The borrower of money secured by a trust deed. One who transfers his bare legal title to a trustee to be held as security until he has performed his obligation to a lender under terms of a note secured by a deed of trust.
Undue Influence - Taking any fraudulent or unfair advantage of another's weakness of mind, or distress or necessity.
Unearned Increment - An increase in value of real estate due to no effort on the part of the owner.
Unit Cost-in-Place Method - A method for determining cost or cost of reproducing an improvement.
Unlawful Detainer - An action at law to evict a person or persons occupying real property unlawfully.
Usury - On a loan, claiming a rate of interest greater than that permitted by law.
Valid - Having force or binding force legally sufficient and authorized by law; enforceable.
Valuation - Estimated worth or price. The act of valuing by appraisal.
Variable Interest Rate - An interest rate which fluctuates as the prevailing rate moves up or down. In mortgages there are usually maximums as to the frequency and the amount of fluctuation.
Vested - Bestowed upon someone; secured by someone, such as title to property.
Void - To have no force or effect; that which is unenforceable.
Voidable - That which is capable of being adjudged void, but is not void unless action is taken to make it so.
Voluntary Lien - Any lien placed on property with the consent of, or as a result of the voluntary act of, the owner.
Waive - To relinquish or abandon; to forego a right to enforce or require anything.
Warranty Deed - A deed used to convey real property which contains warranties of title and quiet possession and the grantor thus agrees to defend the premises against the lawful claims of third persons. It is used commonly in other states but not in California where it has been supplanted by the grant deed. The modern practice of securing title insurance has reduced the importance of express and implied warranty in deeds.
Wrap-Around Mortgage - (Also called the all-inclusive mortgage or all inclusive trust deed.) The wrap-around mortgage is a purchase money mortgage which is subordinate to, but yet includes the encumbrance or encumbrances to which it is subordinated.
Zoning - Act of city or county authorities specifying type of use to which property may be put in specific areas.