Real Estate Dictionary – T

Tax sale

A sale of real property ordered by the court in order to raise money to cover delinquent taxes

Tenancy in common

A version of joint tenancy of a property, but without any right of succession by survivorship among the owners

Testate

To die having prepared and left a valid will

Testator

The individual who makes out a last will and testament

Time is of the essence

A condition in a contract requiring the completion of a certain act within a designated period of time

Time-share

A form of ownership interest which allows use of the property only for a fixed or variable period of time

Title

A legal document that evidences a person's ownership of and right to possess a property

Title insurance

Insurance that protects the owner or mortgagee against loss arising from disputes over or defects in the title to a parcel of real estate that arise after ownership has been transferred

Title search

Research into public title records to determine the current status of ownership of a piece of property; a licensed attorney must provide any legal interpretation of the records found

Torrens Title

Now a dated system (only used in a few US states) whereby the court issues a certificate establishing the extent of an individual's estate, including any exceptions noted

Township

A division of land that is six miles square, containing 36 square-mile sections

Tract

A specific parcel of land

Transfer of ownership

Any circumstance in which the ownership of a property changes hands, e.g., via outright, titled purchase, or the assumption of an existing on a property, or possession of the property via a land sales trust, even any transfer of a beneficial interest in the trust

Transfer tax

State or local taxes imposed on a transfer of ownership of real property

Trust

A right to a piece of property that is held for the benefit of another

Trust deed, or a Deed of trust

A written document that grants the trustee the title to a piece of property for the benefit of another, and which gives the trustee the power to sell, mortgage or subdivide the property

Trustee

A party who holds property for the benefit of another

Trustee's deed

A deed conveying land ownership executed by the trustee who holds the land in trust

Trustor

The borrower in a trust loan transaction

Truth-in-Lending

A federal law that requires disclosure by a credit institution or lender of the terms and conditions of a loan or mortgage, including the annual percentage rate and any other charges, to the borrower when they apply for the loan.
Also see Regulation Z

Two-step mortgage

An adjustable-rate mortgage that charges a below-market interest rate for a designated number of years (usually 5 or 7) after which the interest rate is adjusted to the current market conditions