Archives: Glossary Terms

A title company report that is made prior to the issuance of title insurance policy which discloses the condition of the title.

A review of all recorded documents affecting a specific piece of property to determine the present condition of title.

An investigation into the history of ownership of a property to check for liens, unpaid claims, restrictions or problems, to prove that the seller can transfer free and clear ownership.

In the survey of United States public lands, a territorial subdivision six miles long, six miles wide and containing 36 sections, each one mile square which is located between two range lines and two township lines.

All the lines in a government survey or rectangular survey system that run east and west, parallel to the base line and are six miles apart.Township Lines

Any licensee:

1. Who assists one (1) or more parties to a transaction who has not entered into a specific written agency agreement representing one (1) or more of the parties; or
2. Whose specific written agency agreement provides that if the licensee or someone associated with the licensee also represents another party to the same transaction, such licensee shall be deemed to be a facilitator and not a dual agent; provided, that notice of assumption of facilitator status is provided to the buyer and seller immediately upon such assumption of facilitator status, to be confirmed in writing prior to execution of the contract. A facilitator may advise either or both of the parties to a transaction but cannot be considered a representative or advocate of either party. ‘‘Transaction broker’’ may be used synonymously with, or in lieu of, ‘‘facilitator’’ as used in any disclosures, forms or agreements under this chapter;

A charge made by a lending institution holding or collecting on a real estate mortgage to change its records to reflect a different owner.

The tax required by state law to be paid when real estate is sold.

A potential for being conveyed from one owner to another and which is one of the four essential elements of value.

An instrument in use in many states, that takes the place of and serves the use of a common law mortgage, by which a trustor places the legal title to real property with a trustee to secure the repayment of a sum of money to the beneficiary or the performance of other conditions.
Just as with a mortgage this is a legal document by which a borrower pledges certain real property or collateral as guarantee for the repayment of a loan. However, it differs from the mortgage in a number of important respects. For example, instead of there being two parties to the transaction there are three. There is the borrower who signs the trust deed and who is called the trustor. There is the third, neutral party, to whom trustor deeds the property as security for the payment of the debt, who is called the trustee. And, finally, there is the lender who is called the beneficiary, the one who benefits from the pledge agreement in that in the event of a default the trustee can sell the property and transfer the money obtained at the sale to lender as payment of the debt.

A lien on the property of a trustor that secures a trust deed loan.