Annual Percentage Rate of Charge, total cost of the credit to the consumer, expressed as an annual percentage of the total amount of credit, including interest and other charges applying.
A number of linked property sales where exchange of contracts must take place simultaneously.
Completion Date
Completion of the legal transaction with all monies and documents having been distributed. This is also when the seller's solicitor will instruct the estate agent to release the keys.
Closing Date
A number of linked property sales where exchange of contracts must take place simultaneously.
Contract
A formal agreement between the buyer and the seller, usually prepared by a solicitor or licensed conveyancer, detailing the terms and conditions of the sale.
Conveyancing
The legal work involved in buying and selling properties.
A charge made by the lender if the borrower terminates a mortgage in advance of the terms of a mortgage. Normally occurs when the borrower has benefited from reduced payments or cash back in the initial period of a mortgage.
Energy Performance Certificate (EPC)
All properties let for private residential purposes must have an EPC. It is used to report the energy performance of a property.
Equity
The difference between the value of a property and the amount of mortgage owed.
Ownership of the property and land upon which the property is situated.
Full Structural Survey
A full structural survey looks at all the main features of the property, including walls, roof, foundations, plumbing, joinery, electrical wiring, drains, and garden.
The homebuyer's report comments on the structural condition of most parts of the property that are readily accessible, but does not involve in-depth investigation or the testing of water, drainage or heating systems.
House in Multiple Occupancy
A term applied to a property which has three or more tenants who are not a family unit.
A Land Registry certificate proving ownership of property.
Land Registry
The Government organisation that holds records of all registered properties.
Leasehold
To be given ownership of a property but not the land it is built on. This normally requires payment of ground rent to the landlord. A leasehold is normally offered for either 999 years, 99 years or shorter terms.
A process by which an applicant (ie. the tenant) is credit checked, as well as checks on their current employer and residence.
Repayment Mortgage
Your monthly repayment includes part interest and part capital repayment. So long as you meet all of the payments required by the lender on time, your mortgage will gradually reduce until it is repaid in full at the end of the mortgage term.
Repossession
When loans are in default, the mortgage lender can repossess the property and sell it so they can repay the debt.
Retention
Holding back part of a mortgage loan until repairs to the property are satisfactorily completed.
A sum of money taken from the tenant at the beginning of the tenancy and held against non-payment of the rent and any damage to the property (above and beyond reasonable wear and tear).
Stamp Duty
A tax paid to the Government by the buyer upon completion.
A landlord is legally required to register the tenant's security deposit in a Tenancy Deposit Scheme, which protects the money for the tenant and will assist with any disputes at the end of the tenancy.
