Frequently Asked Questions
The interest of the owner in a property over and above all claims against the property. It is usually the difference between the market value of the property and any outstanding encumbrances.
The percentage of the borrower’s gross income that will be used for monthly payments of principal, interest, taxes, heating costs and condominium fees.
The process of determining the value of the property, ususally for lending purposes. This value may or may not be the same as the purchase price of the property.
The legal contract made between a lender and a borrower that uses property as collateral to secure the loan.
A mortgage loan secured against an asset with a pre-exisiting mortgage (first mortgage).
The loan amount divided by the appraised value of the security pledged.
Dividends are deposited directly (via EFT) to your bank account each month, or via mailed cheque.
Mortgage that requires the borrower to pay interest only on the principal in monthly installments for a fixed period of time.
$10,000 for investments in Class B Preferred Shares and $150,000 for Investments in Class A Preferred Shares of KV Mortgage Fund.
Dividends received from KV Mortgage Fund are taxed as interest income in the hands of a Preferred Share Holder.