| D Terms
: |
Debenture
|
A long-term bond or note issued by governments and/or corporations
and not secured by a mortgage or lien on any specific property.
Since there is no specific property securing the debenture,
the ability to repay the debt is based solely on the financial
strength of the issuer. |
Debt Service Coverage Ratio
|
The relationship between the annual net operating income
(NOI) of a property and the annual debt service of the mortgage
loan on the property.Both Lenders and Investors calculate
this ratio to assist them in determining the likelihood of
the property generating enough income to pay the mortgage
payments. From the lender's viewpoint, the higher the ratio,
the better.Debt Service: The periodic payment (monthly, quarterly,
or annually) necessary to pay the interest . |
Dedicate
|
To appropriate private property to public ownership for
a public use. |
Deed
|
A legal document conveying title to a property. |
Default
|
Failure to make mortgage payments regularly or to comply
with other requirements of the mortgage. |
Deposit
|
A percentage of the purchase price given to bind the sale
of real estate. |
Depreciation
|
A decline in the value of property due to changes in market
conditions or other causes. |
Disbursement
|
A cash expenditure for the purpose of settling a debt. |
Discount Rate
|
The rate of interest charged to banks who buy money
from the Federal Reserve System. An increase in the rate not
only discourages the banks from borrowing, but it also serves
as a signal that interest rates are probably going to increase.
Also, a compound interest rate used to convert expected future
income into a present value income. |
Disposable Income
|
Money left over after all expenses have been met. |
Distraint
|
The act of seizing (legally or illegally) personal property
based on the right and interest which a landlord has in the
property of a tenant in default. |
Door Jambs
|
The vertical sides of a door frame. |
Drawdown
|
The disbursement of loan funds provided by the Bank. |
Dual Occupancy
|
A block of land which is zoned so that there two distinct
dwellings are permitted to be constructed. |