GLOSSARY

Canadian Financial, Real Estate and Mortgage Glossary

Agreement of Sale

agreement of sale (AOS): 1. A legally binding document that details the agreement between a property buyer and the property seller. This document specifies the agreed price and any other terms of the title transfer or sale

bill of sale (BS) A written document that serves as evidence of the transfer of title to personal property.
land transfer tax (LTT) A provincial tax payable on any property that changes hands. First time buyers may be eligible for a rebate.
lending value The property value for mortgage purposes. Usually the lesser of appraised value or sale price.
modification A change in terms of the loan agreement.
probate sale Sale of property after the death of the owner, supervised by a court, with proceeds divided among creditors and heirs.
real estate attorney A lawyer who specializes in the transfer of land and buildings and property tax issues.
sale price The price that is paid for an asset.
sale-leaseback A transaction in which the seller transfers the title to the buyer, then rents the property from the new owner. Generally not done in Canada, more an American practice.
sales contract A legal written document that details the agreed upon conditions between a seller and a buyer regarding the sale of a specific property. Also called an "Agreement of Sale."
solicitor information When you apply for a mortgage you will need a law firm with a lawyer's name and their contact information which would typically include the office location, phone number, fax number and e-mail address.