QUALIFICATION RATE:
The rate of interest used to calculate whether or not a borrower qualifies for a mortgage.
QUALIFICATION REQUIREMENTS:
Those guidelines set by lenders to be used when deciding whether or not an applicant will be given a loan.
QUALIFIED BUYER:
A purchaser who has been pre-approved for financing.
QUIT CLAIM DEED:
A conveyance which releases any interest the conveying party may have in a property without any warranty as to that party's claim.
RANCH HOUSE:
A description of a one-storey house, developed from the old, western-style homes.
RATE CAP:
A limit of how much an interest rate can change in a variable of adjustable rate mortgage either in a given period or over the life of the loan.
RATE LOCK-IN:
See "rate commitment". A written agreement in which the lender guarantees the borrower a specified interest rate, provided the loan closes within a set period of time.
RAW LAND:
Property that has not been developed or improved.
REAL ESTATE:
Term for land and all fixtures to land, including buildings and other improvements.
REAL ESTATE AGENT:
A trained professional involved in the purchase, sale and marketing of real property. The "listing agent" acts for the vendor, the "selling agent" for the successful purchaser.
REAL ESTATE BROKER:
A real estate professional who is licensed to run a real estate firm, to hold trust funds, etc.
REAL ESTATE COMMISSION:
1. The fee paid to the real estate agents after a transaction.
2. An agency that enforces real estate license laws.
REAL PROPERTY:
Also known as "real estate". Land, property, plus improvements to land.
REALTOR:
Professional designation for a member of the National Association of REALTORS or its affiliated local groups. Must be a real estate broker.
REASSESSMENT:
A change in the estimated value of a property for realty, municipal or ad valorem tax purposes.
RECASTING:
Adjusting the terms of a loan agreement in light of new developments (i.e. lower rates, possible default).
RECONVEYANCE:
The return of title to property to its original owner. May occur as a result of the pay-out of a mortgage or at the end of a limited estate.
RECOURSE:
The right of a lender to pursue a borrower personally for moneys owed.
REDEEM:
To bring mortgage payments up-to-date after the lender has begun default proceedings. Once a borrower (or other lien holder) redeems, the mortgage is back in good standing and the relationship continues as before the default.
REDEMPTION PERIOD:
The length of time during which the borrower may redeem a mortgage.
REFINANCE:
To replace an existing and perhaps mature mortgage with a new mortgage on the same property. New mortgage may have different terms than the old one.
RENOVATE:
Similar to remodel, with an emphasis on upgrading the existing property.
RENT:
1. Verb -- to lease premises from the owner or a representative of the owner.
2. Noun -- the periodic payments made by a tenant to the landlord for the right to occupy the premises.
RENT CONTROL:
Government initiative to control raises in the amount charged for the lease by tenants of residential premises.
RESERVE PRICE:
The amount set prior to an auction which must be met in the bidding for a particular item before the item will be sold. Also known as "reserve bid".
REVERSE ANNUITY MORTGAGE (RAM):
A type of mortgage where the equity in the home serves as security for periodic payments made by the lender to the borrower. Mortgage is generally paid out upon the sale of the property.
REVERSE LEVERAGE:
A term for the situation where the income from ownership of property is lower than the rate of interest paid to finance the ownership.
REZONING:
The amendment of the classification of a property under use and building by-laws or ordinances. A property may rezoned from industrial to residential to allow a warehouse to be converted into condominiums.
RIDER:
A document which contains additional or amending clauses to a contract.
RIGHT OF FIRST REFUSAL:
The ability to make an offer for a property before the owner puts it up for sale on the open market.
RIGHT-OF-WAY:
A form of easement, the legal entitlement to pass over a portion of the land of another.
ROLLOVER LOAN:
A loan where the amortization period is much longer than the term and the borrower is allowed to refinance at the end of the term at the interest rate then applicable.
RURAL:
A term to describe something which is not of an urban centre.
