Page 22 - Master CA Sellers Guide

GLOSSARY OF TERMS

S.P.D.S. Also referred to as “SPUDS,” is the Seller’s Property Disclosure Statement. Sellers are required to
Settlement Agent disclose any problems that they are aware of that affect the property.

Statement of Information (SI) In terms of the Closing Disclosure, Section 1026.38(a)(3)(iv) requires the name of the entity that
employs the settlement agent. In general terms this is typically an escrow company or law firm.
“Subject To”Clause
A confidential information statement completed by the buyer, seller and borrower in every
Subordination Agreement transaction where a policy or policies of title insurance are requested. Allows the title company to
Tax Lien competently search documents affecting the property to be insured, documents which may not
Title Plant refer to said property. Allows title companies to differentiate between parties with similar names
Uniform Settlement when searching matters such as liens and court decrees.
Statement:
Unmarkable Title A clause in a contract of sale setting forth any contingencies or special conditions of purchase and
Warranty Deed sale, such as an offer made and accepted subject to financing, securing certain zoning or similar
1031 Exchange requirements.

An agreement under which a prior or superior lien is made inferior or subject to an otherwise
junior lien.

A statutory lien imposed against real property for nonpayment of taxes.

The information warehouse of a title company in which it has accumulated and is constantly
updating title records of properties in its area which it can use to search title to real property.

The standard HUD Form 1 required to be given to the borrower, lender and seller at, or prior to,
settlement.

Title which contains defects that would allow a purchaser to be released from his obligation to
purchase.

A deed used to convey fee title to real property.

A method enabling property owners to trade an investment property for another investment
property (or properties) without paying capital gains taxes on the transaction.

* This list is provided as a convenience only. For a more complete understanding of these and other terms, please consult an attorney, a real estate agent, or other professional.”