| Term | Definition |
|---|
| Salesperson Annual Education (SAE) | A real estate salesperson is required to complete a total of 18 semester (270 classroom) hours of education by the end of their third year of licensure. All active and inactive salespersons, who are under the SAE requirement, must show evidence of having completed a minimum of 30 hours in core or related real estate education each year or until a total of 270 classroom hours have been completed. At least 180 hours of the 270 must be in core real estate. Therefore the other 90 hours may be in related. Evidence of successful completion must be received on or before the renewal filing deadline. If this documentation is not received on time, the license will expire. |
| secondary mortgage market | Buying and selling of existing mortgage loans, designed to provide additional liquidity for lenders. Contrast with primary mortgage market. Also see Fannie Mae, Freddie Mac and Ginnie Mae. |
| security deposit | A payment required by a landlord to ensure that a tenant pays rent on time and keeps the rental unit in good condition. If the tenant damages the property or leaves owing rent, the landlord can use the security deposit to cover what the tenant owes. |
| security interest | An interest that a lender takes in the borrower's property to assure repayment of a debt. |
| self amortized loan | A loan which will retire the debt by systematic payments of principal and interest, so that at the end of the loan period, the balance will be zero. |
| servicing a loan | The ongoing process of collecting your monthly mortgage payment, including accounting for and payment of your yearly tax and/or homeowners insurance bills. |
| servient tenement | Property that is subject to use by another for a specific purpose. For example, a beachfront house that has a public walkway to the beach on its premises would be a servient tenement. |
| setback | The distance a building must be set back from the property lines in accordance with local zoning ordinances or deed restrictions. |
| shared equity mortgage | A home loan in which the lender gets a share of the equity of the home in exchange for providing a portion of the down payment. When the home is later sold, the lender is entitled to a portion of the proceeds. |
| short sale (of house) | 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. See also deed in lieu (or foreclosure). |
