Real Estate Glossary: D

Deposit
A sum of money that accompanies a promise to purchase an immovable. The deposit must be placed in a trust account and will be deducted from the balance payable at the signing of the act of sale, or it will be returned to the proposer if the sale does not go through.

Description sheet
Document on which a real estate broker or agent has presented the features (construction year, taxes, measurements, etc.) of an immovable covered by a real estate brokerage contract.

Depreciation
The decrease in value of something because it is now worth less than when you bought it.

Down payment
Personal contribution of the buyer to the financing of an immovable. Cash portion deducted from the selling price, which determines the amount of financing required to complete the purchase.

Note: If the deposit for the purchase of the immovable is less than 20% of the purchase price, the loan must be insured by the Canadian Mortgage and Housing Corporation (CMHC), Genworth, AIG United Guaranty or PMI.


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