a relationship created when one person the "principal" delegates to another, the "agent", the right to act on the principal's behalf in business transactions and to exercise some degree of discretion while acting. An agent gives rise to fiduciary relationship and imposes on the agent
a Lending Institution authorized by the Government of Canada to make loans under the terms of the National Housing Act. Only approved lenders can negotiate mortgages that require mortgage insurance.
When there is a higher number of homes to choose from than buyers in comparison. Prices of homes tend to be lower and they remain available for sale longer. Buyers usually have more leverage in negotiating a purchase.
Cost, in addition to the purchase price of a home, such as legal fees, transfer fees and disbursements, that are payable on the closing date. Cost typically range from 2% - 4% of a home's selling price.
Money offered by a prospective buyer as indication of good faith in entering into a contract to purchase. If the buyer's offer to purchase is accepted by the seller, the buyer's deposit is held in trust and forms part of the buyers down payment.
a legal right to use or cross (right of way) another person's land for limited purposes. A common example is a utility right to run wires or lay pipes across a property.
an intrusion onto an adjoining property. A neighbour's fence, storage shed or overhanging roofline that partially (or even fully) intrudes onto your property are examples of encroachments.
a detailed examination of the ownership documents to ensure there are no liens or other encumbrances on the property, and no questions regarding the seller's ownership claim.
a mortgage for which payments are fixed, but whose interest rate changes in relationship to fluctuating interest rates.If the market rates go up, a larger portion of the payment goes to interest. If the rates go down, a larger portion of the payment is applied to the principal.
