CANADIAN MORTGAGE GLOSSARY TERMS Here is a simple glossary of Canadian mortgage lending and finance related terms. To find the term you are looking for quickly, simply click on the letter below.
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
H
Half-bath
A bathroom that does not contain a shower or a bathtub. The room simply contains a toilet and a sink.
Hazard Insurance
An insurance policy that provides coverage against physical damage to a property from natural disasters such as fire or other hazards. Depending on the location of a property, lenders may also require flood insurance or policies that cover windstorms (hurricanes) or earthquakes.
Hectare
An area equal to 100 meters by 100 meters.
Historic Preservation
A process to protect buildings with historic value or significance from destruction or extensive renovation.
Historic Structure
A structure or building that is recognized by the Canadian Government and is registered as a historical structure.
Holdback
The withholding of or non-advancement of a portion of a mortgage loan to maintain adequate security,
- pending achievement of a performance requirement, or
- as protection against liens.
Holding Period
Refers to the length of time a capital asset is owned. Assets held for one year (12 months) or less are short-term and those owned for more than a year are considered long-term properties.
Home Banking
A method used to access one's bank accounts using a telephone to transfer funds, pay bills, and make account inquiries.
Home Equity
The portion of a property's value that the mortgage borrower owns outright. Essentially, it is the difference between the fair market value (selling price) of the home and what is left owing on all mortgages.
Home Equity Debt
Debt secured by your home.
Home Equity Line of Credit
An open-ended loan, paid as revolving debt, that is backed by the equity in a property.
Home Equity Loan
A loan that can replace or be added to the first mortgage. This type of loan is generally used when a home owner wants to make renovations to the property.
Home Inspection
A visual inspection of the major components of a home, by a qualified individual, giving the homebuyer a true and unbiased picture of the home's condition.
Home Office
A room or area within a home or other structure on a property that qualifies as a tax deduction because it is used for business purposes.
Home Warranty
A guarantee on the workmanship or construction of a home including the functionality of some appliances. The warranty also pays for some repairs within a specified period.
Homeowner's Association
An elected group that governs a subdivision or planned community. The association collects fees from the home owners to maintain common areas and enforce covenants, conditions, and restrictions set by the developer and the association.
Homeowner's Insurance
An insurance policy that includes hazard coverage, coverage for loss or damage to property, as well as coverage for personal liability and theft.
Homeowner's Insurance Binder
A document accompanying a homeowner's insurance policy that verifies the property is properly insured.
Homeowner's Warranty
A guarantee on the workmanship or construction of a home including the functionality of some appliances. The warranty also pays for some repairs within a specified period.
Household Income
The total combined income of all members within a household.
Housing Discrimination
The illegal practice of discriminating against buyers or renters of dwellings on the basis of race, colour, religion, national origin, sex, family status, or disability.