Canada Mortgage and Housing Corporation (CMHC):
The federal Crown corporation that administers the National Housing Act. CMHC services include providing housing information and assistance, financing, and insuring home purchase loans for lenders.Canada Revenue Agency (CRA):
This is the current name of the former Revenue Canada . However, as the name Revenue Canada is so familiar, that term is used frequently throughout the book.

Canadian Real Estate Association (CREA):
An association of members of the real estate industry, principally real estate agents and brokers.

Capital budget:
An estimate of costs to cover replacements and improvements, and the corresponding revenues needed to balance them, usually for a 12-month period. Different from an operating budget.Capital gain:
Profit on the sale of an asset that is subject to taxation. Capital improvements. Major improvements made to a property that are written off over several years rather than expensed off in the year in which they are made.

Capitalization rate (CAP):
The percentage of return on an investment when purchased on a free-and-clear or all-cash basis.

Charge:
A document registered against a property, stating that someone has or believes he or she has a claim on the property.

Closing:
The actual completion of the transaction acknowledging satisfaction of all legal and financial obligations between buyer and seller, and acknowledging the deed or transfer of title and disbursement of funds to appropriate parties.

Closing costs:
The expenses over and above the purchase price of buying and selling real estate.

Closing date:
The date on which the sale of a property becomes final and the new owner takes possession.

Collateral mortgage:
A loan backed up by a promissory note and the security of a mortgage on a property. The money borrowed may be used for the purchase of a property or for another purpose, such as home renovations or a vacation.

Common area:
The area in a condominium project that is shared by all of the condominium owners, such as elevators, hallways, and parking lots.

Common area maintenance ( CAM ):
The charge to owners to maintain the common areas, normally due on a monthly basis.

Condominium:
A housing unit to which the owner has title and of which the owner also owns a share in the common area (such as elevators, hallways, swimming pool, land, etc.).

Condominium corporation:
The condominium association of unit owners incorporated under some provincial condominium legislation, automatically at the time of registration of the project. It is called a strata corporation in British Columbia . Under each of the provincial statutes, it will differ from an ordinary corporation in many respects. The condominium corporation, unlike a private business corporation, usually does not enjoy limited liability, and any judgment against the corporation for the payment of money is usually a judgment against each owner. The objects of the corporation are to manage the property and any assets of the corporation, and its duties include effecting compliance by the owners with the requirements of the Act, the declaration, the bylaws, and the rules.

Condominium council:
The governing body of the condominium corporation, elected at the annual general meeting of the corporation.

Conventional mortgage:
A mortgage loan that does not exceed 75% of the appraised value or of the purchase price of the property, whichever is the lesser. Mortgages that exceed this limit generally must be insured by mortgage insurance, such as that provided by CMHC and GEM.

Conversion:
The changing of a structure from some other use, such as a rental apartment to a condominium apartment.

Conveyancing:
The transfer of property, or title to property, from one party to another.

CRA:
Stands for Canada Revenue Agency, e.g., the current name for Revenue Canada .