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Key Terms

MRT — Mortgage Law, Policy & Practice

Property law, mortgage charges, ownership structures and specialist lending.

Key Terms
  • Law of Property Act 1925Key legislation governing property ownership and transfer.
  • Equity of RedemptionBorrower right to reclaim property after repaying mortgage.
  • Mortgage DeedLegal document securing mortgage against property.
  • First Charge MortgagePrimary loan secured against property.
  • Second Charge MortgageAdditional loan secured behind first mortgage.
  • Bridging LoanShort-term finance until permanent funding arranged.
  • Buy-to-Let MortgageMortgage for rental investment property.
  • Consumer Buy-to-LetBuy-to-let mortgage with consumer protections.
  • HMO (House in Multiple Occupation)Property rented to multiple unrelated tenants.
  • Joint TenantsCo-owners with equal rights and survivorship.
  • Tenants in CommonCo-owners with separate ownership shares.
  • EasementLegal right over another person's land.
  • Restrictive CovenantRestriction on property use.
  • Indemnity InsuranceInsurance covering legal or title defects.
  • GazumpingSeller accepting higher offer after agreement.
  • GazunderingBuyer lowering offer before exchange.
  • Exchange of ContractsLegally binding property agreement stage.
  • CompletionFinal transfer of ownership and funds.
  • Negative EquityMortgage balance exceeding property value.
  • Equity ReleaseAccessing property value later in life.
  • Lifetime MortgageEquity release loan secured on property.
  • Home Reversion PlanSelling part/all property ownership for cash.
  • Debt ConsolidationCombining debts into one loan.
  • Self-Certification MortgageHistoric mortgage based on borrower income declaration.
  • Sub-Prime LendingLending to higher-risk borrowers.