Glossary

The Québec cadastre shows all the properties of the province on a plan, and identifies them by a lot number. The plan indicates the dimensions, area, shape and position of a given property in relation to adjacent properties. The cadastre is a land register which consist of many plans and documents prepared by land surveyors.

The National Housing Act (NHA) authorized Canada Mortgage and Housing Corporation (CMHC) to operate a Mortgage Insurance Fund which protects NHA Approved Lenders from losses resulting from borrower default.

A non-marketable security instrument issued by the Government of Canada, which is redeemable on demand by the registered owner(s), and which, after the first three months, pays interest up to the end of the month prior to cashing.

Cancellation arises from an entry to strike an earlier registration from a register. Cancellation is voluntary or, failing that, judicial; it may also be legal.

Designates the entire financial means at the disposal of the company, which means the equity and the debt.

All tangible property which cannot easily be converted into cash and which is usually held for a long period, including real estate, equipment, etc.

The amount by which an asset's selling price exceeds (gain)or not (loss) its initial purchase price. A realized capital gain is an investment that has been sold at a profit. An unrealized capital gain is an investment that hasn't been sold yet but would result in a profit if sold.

A disbursement of money by buyer at the time of financing of a fixed asset. Portion of money deducted from the purchase price which determines the amount of financing required to complete the acquisition.

The book value of the outstanding shares of a corporation. The maximum number of shares authorized under the terms of a corporation's articles of incorporation.

Capitalisation of income means to forego receipt of it. It then becomes capital and begins itself to produce interest over subsequent periods.

A loan agreement in which the seller of a property provides financing in aids for the completion of the sale, often in combination with an assumable mortgage.

Any local municipality whose territory corresponds to a census agglomeration as defined by Statistics Canada or any local municipality whose territory is included in such agglomeration that emerged historically as the most prominent in the urban area and whose population is generally the highest among the metropolitan area.

The certificate of deposit is a time deposit represented by a dematerialised negotiable debt security in the form of a bearer certificate or order issued by an authorised financial institution.

The location certificate is prepared by the land surveyor. It is part of the record titles of the property. Its main use is to place buildings on the land and demonstrate that they cause no encroachment and no resulting right-to-land substantially taints property ownership. It will also state compliance with municipal standards.

A type of writ, an “extraordinary remedy” used by a superior court to quash or cancel an order or decision made without jurisdiction by a lower court or tribunal.

The amount of time that has passed since a building or other structure was built.

A mortgage agreement that cannot be prepaid, renegotiated or refinanced before maturity, except according to its terms.

Various expenses associated with purchasing a property. The standard closing costs include, but are not limited to, legal/notary fees and disbursements, property land transfer taxes, as well as adjustments for prepaid property taxes or condominium common expenses, if any.

A set of rules governing the behaviour provided for either by law or by market regulations, or else by forced use of a profession that has established the Code.

Building that is constructed or adapted to house shops or commercial services.

The common areas represent all parts of building and land that are not stipulated to be private parts in the declaration of co-ownership. These are the common property of all co-owners, so undivided, and serve, unless otherwise agreed, to their common use.

These are the parts of building or land which are the joint property of all co-owners (Common parts), but are for the exclusive use of one or more co-owners, if the case. For example, balconies, roof terraces and windows are often common restricted parts.

Also called "Common condominium fees", they are the contribution of each co-owner. The CA contributes the owners after determining how much money is needed to meet costs arising from the ownership and operation of the building, and the amounts payable to the fund.

The system of law that evolved from the decisions of the English royal courts of justice since the Norman Conquest (1066). Today the common law, considered more broadly to include statutes as well as decisions, applies in most English-speaking countries, including all Canadian provinces except Québec.

Wall resting on the property line between two adjoining buildings, where each of the respective owners shares the rights and ownership of the common wall.

Factor approved by the Ministère des Affaires municipales et des Régions et de l’Occupation du territoire du Québec (MAMROT) which, multiplied by the value entered on the roll, allows to establish a “standardized value” (value at 100%) at the reference date. The comparative factor can bring a comparable basis the assessments originating from different roles.

A construction permit or building permit is an administrative document required in most jurisdictions for new construction, or adding onto pre-existing structures, and in some cases for major renovations. Generally, the new construction must be inspected during construction and after completion to ensure compliance with national, regional, and local building codes.

A measure of price movements produced by Statistics Canada and obtained by comparing the retail prices of a representative "shopping basket" of goods and services at two different points in time.

Rent that is not fixed from month to month, but varies according to the revenues of a tenant or concessionaire.

Type of mortgage at fixed of variable rate offering similar advantages as a closed mortgage but that can be converted from short-term to long-term, at any time without charge on anticipated instalments.

Objects as set that has a physical form such as: animals, inanimate things, removable and transportable (household furniture, vehicles, etc.), artefacts, antiquities, jewelleries, precious stones, collectibles, machinery, etc.

The Cost Approach is based on the determination of the cost of replacing a property, with adjustments for depreciation and obsolescence. The value of the land, as if vacant, is then added to the depreciated value of the improvements to produce a total value. The Cost Approach is most pertinent to special use properties with little income orientation or marketplace attention. It is typically a good indication for new properties with minimal depreciation. However, it does not take into consideration investor criteria or operational risks and is therefore usually given the least consideration in the valuation process.

The cottage is a building where the area of the upper floor is the same than that of the ground floor, where the upper has no slopped ceiling unless it is a cathedral ceiling.

The Court of Québec is a court of first instance that has jurisdiction in civil, criminal and penal matters as well as in matters relating to young persons. It also has jurisdiction over administrative matters and appeals where provided for by law. The Court of Québec is made up of a maximum of 270 judges, appointed by the Government of Québec for life. It is under the direction of a chief judge assisted by a senior associate chief judge and four associate chief judges. Ten associate coordinating judges and eight assistant coordinating judges assist the chief judge and the senior associate chief judge in their duties.

Narrow opening between the ground and the underside of a structure, not tall enough to permit standing but sufficient to give access as needed to wiring, plumbing, and other utilities.

An arrangement in which a bank or vendor extends a specified amount of credit to a specified borrower for a specified time period. The credit line can be secured or not.

A creditor is a party (e.g. person, organization, company, or government) that has a claim to the services of a second party. It is a person or institution to whom money is owed. The second party is frequently called a debtor or borrower. The first party is the creditor, which is the lender of property, service or money.

Must be economically feasible to cure. May be from a deficiency or an excess.

Curable physical depreciation refers to items generally of deferred maintenance. The cost to cure this depreciation qualified as curable cannot be greater than the gained economic plus-value.