Welcome back to RealtyMyths weekly word wizard. Here are some real estate terms that you should know.
Usually written into a mortgage to allow the lender to accelerate or call the entire principal balance of the mortgage, plus accrued interest when the payments become delinquent.
Adjusted cost base:
The value of the real property established for tax purposes. It is the original cost plus any allowable capital improvements, plus certain acquisition costs, plus any mortgage interest costs, and less any depreciation taken.
Generally, those parts of the condominium or apartment building that are intended to beautify the premises and that are for the enjoyment of occupants rather than for utility.
The actual number of years it will take to repay a mortgage loan in full. This can be well in excess of the loan’s term. For example, mortgages often have 5-year terms, but 25-year amortization periods.