NZ Buyers Guide Buyers Guide - Ray White_2019_NZ - single page no | Page 31

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Market Value
The price at which a seller is happy to sell and a buyer is willing to buy. This assumes
that there is sufficient activity in the marketplace to generate enough buyers and sellers so
that neither party controls the price. Establishing the market value is the objective of
an appraisal.
Mortgage
A legal document that pledges a property to the lender as security for payment of a debt.
Mortgage Broker
An individual or company that brings borrowers and lenders together for the purpose
of loan origination. Mortgage brokers typically require a fee or a commission for their
services. Usually paid by the lender.
Mortgagee
The lender in a mortgage agreement.
Mortgagee Sale
The legal process by which a borrower in default under a mortgage is deprived of his or her
interest in the mortgaged property. This usually results in the selling of the property by
auction and the proceeds being used to service the mortgage debt.
Mortgagor
The borrower in a mortgage agreement.
Multi Offer Process
A method of sale where prospective buyers are encouraged to submit their best offer and
the seller can choose whichever one looks most attractive. There has to be more than one
offer in writing.
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Negotiation
Make an offer and we will attempt to negotiate a concluded contract between the parties.
Net Income
Income after taxes are deducted.
O
Off The Plan
To purchase a property before it is completed after having only seen the plans.
Offer
Conveyed intent by one party to form a contract, which may have conditions and
stipulations, with another party.
Offers
A process of calling for offers on the property, usually required by a certain date.