Sales Concessio
Incentive to purchase a property, such as vacations, furniture, automobiles, and securities, and/or excess finance concessions. Also, other giveaways granted by any interested party, including financing inducements that may be over limitations set forth in the definition of financing concessions (to-be sales).

Second Home
One-unit property owned by an individual, occupied by the borrower for some portion of the year, and not subject to any timesharing ownership arrangement. The property must be in a location where it can function reasonably as a second home.

Second Trust Loan
An alternative to private mortgage insurance, also known as a “piggyback loan.” The most common type is an 80/10/10 where a first mortgage is taken out for 80% of the home’s value, a down payment of 10% is made and another 10% is financed in a second trust at a higher interest rate. In some cases, you may even qualify for a second trust loan with as little as a 5% down payment.

Secured Debt
Money borrowed that is guaranteed (or secured) by the borrower's funds and held by the lender in an interest-bearing account. Typically required when a borrower is without credit or has poor credit. The lender usually returns the secured money plus a nominal rate of earned interest to the borrower with a certain period of time if a good credit history is established. Distinguished from unsecured debt.

Security
Property pledged to the creditor in case of a default on a loan; also referred to as collateral.

Security Interest
The creditor's right to take property or a portion of property offered as security.

Self-Employed Borrower
Applicant who owns 25 percent or more interest in a business.

Service Charge
A component of some finance charges, such as the fee for triggering an overdraft checking account into use.

Servicing
All the steps and operations a lender perform to keep a loan in good standing, such as collection of payments, payment of taxes, insurance, property inspections and the like.

Settlement
The meeting between the buyer, seller and lender where the property and funds legally change hands. Also referred to as Closing.

Settlement Costs
Includes a loan origination fee, points, appraisal fee, title search and insurance, survey, taxes, deed recording fee, credit report charge and other costs assessed at settlement. The closing costs usually are about 2 percent to 6 percent of the mortgage amount.

Shared Appreciation Mortgage (SAM)
A mortgage in which a borrower receives a below-market interest rate in return for which a lender (or another investor such as a family member or other partner) receives a portion of the future appreciation in the value of the property. May also apply to mortgages where the borrower shares the monthly principal and interest payments with another party in exchange for a part of the appreciation.

Simple Interest
Interest that is paid on the principal amount borrowed. Considered the best interest term for a borrower because it is not compounded.

Special Assessments
A special tax imposed on property, individual lots or all property in the immediate area, for road construction, sidewalks, sewers, streetlights, etc.

Special Lien
A lien that binds a specified piece of property, unlike a general lien, which is levied against all one's assets. It creates a right to retain something of value belonging to another person as compensation for labor, material, or money expended in that person's behalf. In some localities it is called "particular" lien or "specific" lien. Also see lien.

Special Warranty Deed
A deed in which the grantor conveys title to the grantee and agrees to protect the grantee against title defects or claims asserted by the grantor and those persons whose right to assert a claim against the title arose during the period the grantor held title to the property. In a special warranty deed the grantor guarantees to the grantee that he has done nothing during the time he held title to the property which has, or which might in the future, impair the grantee's title.

Sticker Price
Another term for manufacturer's suggested retail price or list price. List price is the recommended selling price for a vehicle and each of its optional accessories as defined by the manufacturer.
Survey A measurement of land, prepared by a registered land surveyor, showing the location of the land with reference to known points, its dimensions, and the location and dimensions of any building.

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