| Tax Deed |
Deed on property purchased at public sale for nonpayment
of taxes.
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| TAX LIEN |
A lien for outstanding or delinquent property, IRS or state taxes. Tax
liens for delinquent property taxes are the most common and attach only
to the property upon which the taxes are unpaid. Property tax liens
always take priority over other liens.
|
| TEMPORARY DISABILITY AWARD LETTER |
A letter issued to employees who are awarded temporary disability
benefits because they are unable to work due to medical disability.
These employees are expected to return to work once their disability
heals.
|
| TEMPORARY WORKER |
An individual who registers with a temporary employment agency to be
placed on work assignments at companies on a temporary basis.
|
| Tenancy |
Holding of real estate under any kind of right of title. Used
alone, tenancy implies a hold under a lease.
|
| Tenancy By Entirety |
Joint ownership of property by a husband and wife,
where both are viewed as one person under common law that provides for
the right of survivorship.
|
| Tenancy in Common |
In law, type of ownership created when real or
personal property is granted to two or more persons, without express
words creating a joint tenancy. There is no right of survivorship.
|
| Tenant |
One who is not the owner but occupies real property under
consent of the owner and in subordination to the owner's title. The
tenant is entitled to exclusive possession, use, and enjoyment of the
property, usually for a rent specified in the lease.
|
| Testate |
Estate or condition of leaving a will at death.
|
| Time is of the Essence |
Inclusion of this phrase in a contract means
that performance within a specified period of time is an essential
element of the transaction.
|
| Time Sharing |
Exclusive right to occupy a unit in a development during
a specified time period.
|
| Title |
Evidence of the right to or ownership in property. In the case
of real estate, documentary evidence of ownership is the title deed that
specifies in whom the legal estate is vested and the history of
ownership and transfers. Title may be acquired through purchase,
inheritance, devise, gift, or through foreclosure of a mortgage.
|
| Title Defect |
Any legal right held by others to claim property or to
make demands upon an owner.
|
| TITLE CLOSING |
The process in which the title company oversees the closing or document
signing of the loan in close conjunction with the entity performing the
escrow function on the loan. Once the loan documents are signed and all
contingencies are satisfied, the title company records the security
instrument and releases the proceeds of the loan.
|
| TITLE COMMITMENT |
A written report showing all current claims against a property before a
sale or loan transaction. After completion of the transaction, a title
insurance policy is issued. Same as PRELIMINARY TITLE REPORT.
|
| Title Endorsement |
These constitute an enhancement to a standard title
policy. Title endorsements are intended to eliminate risk associated
with un-plotted easements, foundation placement on the lot, and address
and other items listed on the property title that the Lender would not
want to have priority over the construction/permanent loan.
|
| TITLE IN LIEU OF |
See DEED IN LIEU.
|
| TITLE INSTRUCTIONS |
A document that instructs a title company how to record a lien against a
property and issue a title insurance policy. Same as INSTRUCTIONS TO
TITLE.
|
| Title Inspection Endorsement Fees |
Fee that covers the cost of what the
construction industry considers a "title date down" at completion of
each inspection and prior to disbursement of construction funds on an
OTC loan.
|
| Title Insurance |
Insurance against defects in title not listed in the
title report or abstract.
|
| Title Insurance Policy |
Contract by which the insurer,
usually a title insurance company, agrees to pay the insured a specific
amount for any loss caused by defects of title to real estate, wherein
the insured has an interest as purchaser, mortgagee, or otherwise.
|
| TITLE SEARCH |
A review of all recorded documents affecting a specific piece of
property to determine the present condition of claims against the
property.
|
| Total Fixed Payment Ratio |
Total mortgage payments plus total recurring
charges divided by the effective gross income.
|
| TOTAL MONTHLY INCOME |
Gross monthly income from all
income sources, after appropriate deductions are taken.
|
| Total Mortgage Payment |
Sum of principal, interest real estate taxes,
hazard insurance (PITI), (including UFMIP, if financed) and the monthly
or annual MIP and, if applicable, homeowner association or condominium
fee.
|
| Townhouse
|
Residential unit on a small lot which has coincidental
exterior limits with other similar units. Title to the unit and its lot
is vested in the individual buyer with a fractional interest in common
areas, if any.
|
| Trade Equity |
Equity that results from a property purchaser giving his
or her existing property (or an asset other than real estate) as trade
as all or part of the down-payment for the property that is being
purchased.
|
| TRADE-LINES |
Credit items reported on a credit report.
|
| Transfer of Ownership |
Any means by which the ownership of a property
changes hands, including the purchase of a property "subject to" the
mortgage, the assumption of the mortgage debt by the property purchaser,
and any exchange of possession of the property under a land sales
contract or any other land trust device.
|
| Treasury Index |
Index that is used to determine interest rate changes
for certain ARM plans. It is based on the results of auctions that the
U.S. Treasury holds for its treasury bills and securities.
|
| Trust |
Fiduciary relationship whereby legal title to a property is
transferred to a trustee, who administers the property for the benefit
of another (beneficiary) who holds equitable title to such property.
|
| Trust Deed |
Instrument given by a borrower (trustor) to a trustee
vesting title to a property in the trustee as security for the
borrower's fulfillment of an obligation.
|
| Trustee |
One who holds legal title to property for the benefit of
another, or for the purpose of securing performance of an obligation.
|
| TRUTH-IN-LENDING DISCLOSURE |
This disclosure is required by law under the Federal Truth in Lending
Act, which requires a full disclosure of a loan amount, finance charges
and APR.
|
| Truth-in-Lending Law |
Federal law that is part of the Consumer Credit
Protection Act, which requires lenders to fully disclose credit terms
and conditions, the annual percentage rate, and other charges, in
writing. It is intended to assure borrowers are given meaningful
information with respect to the cost of credit to help them make better
comparisons between competing financial institutions.
|
| Twenty-Five/Seventy-Five (25/75) Percent Rule
|
GNMA's requirement that
the veteran's amount of entitlement must equal at least 25% of the
Purchase Price or CRV (whichever is less), plus cash investment.
|
| Two (2) to Four (4)-Family Property |
Property that consists of a
structure that provides living space (dwelling units) for two(2) to four
(4) families, although ownership of the structure is evidenced by a
single deed.
|
| TYPES OF SECURITY INSTRUMENTS |
| In a real estate-secured transaction, the borrower and lender enter into
a loan agreement that is legally documented or evidenced by a security
instrument. This security instrument can be either a mortgage or a deed
of trust. See MORTGAGE and DEED OF TRUST. |
