Property Jargon 101

Confused by some of the terminology on your documentation? You’re not alone. We’ve listed a few common phrases you are likely to come across during the sale or purchase of your home and what we mean by them.

Building Survey – A professional report on the current state of a property.

Bridging Loan – This is a temporary loan which enables a buyer to purchase a property before the sale of their existing property goes through.

Easement – This is the right of a landowner to make use of a piece of nearby land that was not already their own but will benefit their property.

Equity – This represents the amount of profit in your property, and this builds over time as you pay off parts of your mortgage and the market value increases.

Freehold – This means you own both a property and the land it sits on, as opposed to just a property such as a top floor flat.

Leasehold – This means the property which the land is built on, is owned by another party.

Loan-To-Value – This is the ratio of how much of your loan or mortgage will cover the price of your property.

Stamp Duty – A tax that anyone buying property over a certain threshold must pay in tax for their home.

Under Offer – If you see a property listed as under offer, the seller has accepted an offer but the contracts are still yet to be exchanged to complete the transaction. Therefore you may still be able to view the property and make your own offer.

SSTC- Shortened for “Sold Subject to Contract”