S

Sale Leaseback
Sale of property by seller and simultaneous leasing of the same property by seller.

Sandwich Lease
Lease held by a lessee (tenant) who becomes a lessor (landlord) by subletting to another lessee (subtenant), typically the sandwich leaseholder is neither the owner nor the user of the property.

Seasoning
Loan which has been in force for a period of time thus establishing the borrower’s payment history, loans are tyically deemed to be seasoned after either six months or one year.

Second Mortgage
Mortgage recorded after another mortgage has already been recorded and not yet released, subordinated lien.

Section 1031
Section of the Internal Revenue Code dealing with tax-free exchanges of like-kind property.

Section 8
Privately owned rental dwelling units participating in the low-income rental assistance program created by 1974 amendments to Section 8 of the 1937 Housing Act.

Security Deposit
Cash payment required by landlord to be held during the term of the lease to offset damages incurred due to actions of the tenant.

Seller Financing
Also known as Owner Financing.

Short Sale
A sale of a house in which the proceeds fall short of what the owner still owes on the mortgage. Many lenders will agree to accept the proceeds of a short sale and forgive the rest of what is owed on the mortgage when the owner cannot make the mortgage payments. By accepting a short sale, the lender can avoid a lengthy and costly foreclosure, and the owner is able to pay off the loan for less than what he owes

Special Warranty Deed
Deed in which the grantor limits the title warranty given to the grantee, does not warrant against title defects arising from conditions that existed before grantor owned the property.

Subject To
Buyer takes title to mortgaged real property but is not personally liable for the payment of the amount due, buyer must make payments in order to keep the property.

Subordination
A clause or document that permits a mortgage recorded at a later date to take priority over an existing lien.

Survey
Process by which a parcel of land is measured and its area ascertained.