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Take-out Loan is a first mortgage loan that is commited and expected to be made upon completion of a property with the loan proceeds to be used to repay an interim or construction loan.

Target Market are clients or customers that are sought after by a business. They typically share similar demographic characteristics.

Tax Account is an account that is created by a lender to hold property taxes collected as part of the mortgage payments on behalf of the homeowner. The lender will then remit the taxes to the municipality from this dedicated account.

Tax Certificate is a certificate from the appropriate taxing authority giving the status of real estate taxes or other assessments affecting the property.

Tenants in Common is an ownership of property by two or more people, each of whom has an interest in property. Tenants in common may have different shares in the property. Unlike the case of joint tenancy, a tenancy in common does not end because on party chooses to sell his or her interest. Instead, the purchaser simply becomes the new tenant in common.

Term is the actual length of timefor which the money is loaned. The term is usually shorter than the amortization period. At the end of the term the outstanding debt must either be refinanced at current market rates or paid off in full.

Term Mortgage is a non-amortizing mortgage under which the principal is paid in its entirety at the maturity date. A term mortgage is sometimes called straight loan.

Third Mortgage is a mortgage placed on property which is already encumbered with a first and second mortgage. Determination of first, second, third or subsequent mortgage is by priority or registration (time and date).

Time (Unities) means that all joint tenants must obtain their interests at the same time.

Title is the legal evidence that shows the rightful owner of land.

Title (Unities) means that all joint tenants must obtain their interest from the same document.

Title (Fraud) is a range of fraudulent activity regarding the ownership of property. One form of title fraud involves taking out a mortgage against a home that the fraudster does not own. The fraudster assumes the homeowner's name and credit history, but absconds with the loan prodeeds.

Title Insurance Policy is a contract by which insurer, usually a title insurance company, agrees to pay the insure a specific amount for any loss caused by insured defects to title of a property, for which the insured has an interest as purchaser, lender, or otherwise.

Title Search is an examination of public records to determine the state of title.

Torrens System is The Land and Titles System as originated in Australia by Mr. Torrens in 1858. The Torrens System is a system for registration of land title, indicating state of the title, including ownership and encumberances, without the necessity of an additional search of the public records.

Total Debt Service Ratio (TDS) is one of the ratios used to determine whether or not a borrower is able to carry the debt load for a mortgage. The ratio is calculated as the percentage of annual income required to cover housing cost (GDS) plus any other loans that an individual has, such as those resulting in credit card and car payments. There is maximum amount associated with this ratio to ensure that borrowers can afford to carry the debt.

Trading Down occurs when people sell their existing homes and buy smaller homes with the aim of reducing the cost of home ownership. Typically done by 'empty nesters' or aging people to help fund the retirement.

Transfer of Charge means assignment or a mortgage.

Trust Company is a commercial bank or other corporation that manages, hold or invests assets for the benefit of others.

Trust Companies Act is a federal act regulating trust companies.

Trust Deed is a written instrument duly executed, sealed and delivered, conveying or transferring property to a trustee. A trust deed usually but not necessarily covers real property.

Trustee is an individual who is given legal responsability to hold property in the best interest of or for the benefit of another.


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