Dictionary Conveyancing Terms
Property Law and Conveyancing Glossary of Terms
| Term | Definition |
|---|---|
| Act | Legislation passed by the government. |
| Addendum | Attachment to an offer of purchase / Also referred to as the Agreement of Sale or Offer to Purchase. Afrikaans - Koopkontrak ">deed of sale. |
| Adminastration Fee | The monthly cost that the bank charges to facilitate the adminastration of a bond account (An agreement between the customer and a bank in the form of a homeloan, whereby the property is used as the security for the loan. It is a legal document that pledges a property to the lender as security for payment of a debt. Afrikaans - Verband ">mortgage A sum of borrowed money (principal) that is generally repaid with interest. Afrikaans - Lening ">loan). |
| Affordability | An analysis of a buyers income, A person's long-term and short-term financial obligations. Afrikaans - Aanspreeklikheid ">liabilities and available funds, in order to determine their ability to afford the purchase of a property. |
| Agreement of Sale | Also referred to as the Offer to Purchase. It is a legally binding document signed by the buyer and seller, whereby the buyer agrees to buy a property from the seller, who agrees to sell the property to the buyer for a proposed purchase price and A clause that renders the operation and consequences of the contract as a whole dependent on an uncertain future event. A suspensive condition suspends the operation of the contract for a period of time, subject to the occurrence of a future event, and only if and when the condition has been fulfilled will an enforceable contract exist. In the case where a resolutive condition is stipulated, the contract is immediately binding and will remain binding unless the condition is not fulfilled. Afrikaans - Toestand ">conditions on which the sale will take place. |
| Alienation | The Alienation of Land Act 68 of 1981 governs the alienation (selling, exchanging or donating) of Land and everything that is permanently attached to it. Afrikaans - Onroerende Eiendom ">immovable property. |
| Amortization | Loan payment by equal periodic payments calculated to pay off the mortgage at the end of a fixed period. |
| Amortization Term | The length of time required to repay the mortgage loan, expressed as a number of months. |
| Antenuptial Contract | An agreement entered into by parties prior to getting married, they will then be married out of community of property. |
| Appraisal | An estimate of the value of property, made by a qualified professional called an "appraiser" or "valuator". |
| Arbitration | Procedure whereby parties to a dispute appoint an arbitrator, whose decision is final and binding, to settle the dispute. |
| Assessment | The bank’s assessed valuation of the property. |
| Assets | What you own. Movable and immovable property plus investments such as shares; and all other belongings. |
| Association Agreement | An agreement concluded between the members of a close corporation, which states the contractual capacities and responsibilities of the members. |
| Attorney Allocation | The specific attorneys on behalf of a specific bank who are allocated to do registrations on behalf of specific bank. As a rule only attorneys on a banks approved panel are allowed to act for tha bank in respect of the registration and cancelation of bonds. |
| Auction | Method of selling a property to a person who makes the highest bid. Also read our informative article on buying property on auction. |
