Capital Growth

An increase in the value of the property over time.

Capital Gains Tax (CGT)

The tax payable when a property is sold. This is based on the difference between the original purchase price and the sale price, including purchase and sale costs.

Capital Gains Tax discount

A discount of 50% on the CGT payable, provided the property has been owned for at least 12 months (and provided various other conditions have been met).

Cooling-Off Period

The length of time given to a prospective buyer to consider their impending property purchase. The length of time varies between the states and territories. There is no cooling-off period when you buy at auction.

Cadastral

Records of a cadastre, concerned with keeping a cadastre, an official register of property, with details such as boundaries and ownership.

Cadastral map

A map showing legal survey boundaries, portion and plan numbers, parish and county names and boundaries. In NSW the "cadastre map" is the official index map of land showing boundaries,railways, roads, waterways, parcel identifiers and other information which define subdivision patterns and other parcel features of a locality on the ground. This is currently maintained by LPI in the Digital Cadastral Database (DCDB).

Cadastre

The current subdivisional pattern of a locality on the ground ie boundaries, roads, waterways, parcel identifiers, names etc - "Cadastral" has a corresponding meaning.

Cause

Any grounds for legal proceedings before a court. Causes affecting Old System property may be searched using the Causes Writs and Orders (CWO) Search.

Causes, Writs and Orders:

LPI's computerised system supports a consolidated search of causes, writs, and orders. Writs and Orders affecting land are issued by courts for the purposes of enforcing a judgment, and Causes are legal notifications that court action is taking place. Such documents can restrict transfer or protect a party’s interest with respect to an Old System property.

Caution

A warning, pursuant to s28J Real Property Act 1900 and entered on a Qualified title, to persons dealing with the registered proprietor of land that the land is held subject to any subsisting interests under s28K Real Property Act 1900, whether recorded or not on the title.

Caveat

A document recorded on a Torrens land title which states a claim of an an interest or estate in the land and may have the effect of an injunction that requires LPI to refrain from registering specific transactions on the land title. If a caveat has been registered, it appears in the Second Schedule of a title search.

Caveator

The person by whom or on whose behalf a caveat has been lodged in LPI.

Certificate of Title

A counterpart document to the Torrens Title land Register which is issued as a certificate of ownership and provides evidence of a persons right to deal with the land in the title. A new edition of the CT is issued by LPI each time that a property changes ownership and when certain other transactions occur, such as registration of a mortgage or lease.

Certification

A certificate endorsed on a dealing stating it is correct for the purposes of the Real Property Act 1900.

Certified Copy

A copy of an original document endorsed by a solicitor or any other prescribed functionary verifying that the document is a true and correct copy of the original.

Chain of Title

The series of deeds and documents evidencing title to land held under Common Law title - like any chain, it is no stronger than its weakest link.

Charge

A form of security encumbering land created for the purposes of securing the payment of an annuity, rent-charge or sum of money other than a debt.

Check Survey

Also known as examination surveys, plan drawn by departmental surveyors to check and confirm the standard of work of other surveyors plans lodged for registration.

Classified Road

A road declared by the Minister for Transport Services under Part 5 of the Roads Act 1993 for a specific public purpose or use eg highway, freeway, tourist road etc.

Common Law Title

Land alienated from the Crown in fee and not subject to the provisions of the Real Property Act 1900 or any estate or interest therein. See also Old System Land.

Common Property

In a strata scheme, it is all the areas of land and buildings not included in any lot. The property is owned jointly by all the unit owners in each strata. There is a separate title for the common property, distinct from the title held by each individual unit owner.

Community Plan

A plan of subdivision subject to the Community Land Development Act 1989 that divides land into two or more community development lots and at least one community property lot. Shows a subdivision of land consisting of private lots and common property, where the proposed future uses of the lots can be specified.

Community Scheme

A community, precinct or neighbourhood development subdividing land under the provisions of the Community Land Development Act 1989. Has up to three tiers of management called, “Community”, “Precinct” and “Neighbourhood” Associations. A Strata Plan can be part of a community development scheme but generally such a scheme would contain individual privately owned lots and individual parcels which are owned in common. Note: a strata scheme on its own has different requirements to a community development scheme

Compiled Plan

A plan of land compiled mathematically from existing survey information without further survey on the ground.

Consent Authority

The local council or other authority that has the function of giving an approval, consent or certificate under the provisions of the Environmental Planning and Assessment Act 1979 or Chapter 7 of the Local Government Act 1993. See also subdivision certificate.

Consolidation

In relation to land, the combining of two or more land parcels into one parcel.

Contiguous

Adjoining, side by side, having a common boundary - land is contiguous to other land even if it is divided by, or separated from the other land by, a natural feature (such as a watercourse) or by a railway, road, public reserve or drainage reserve.

Conversion Action

An action initiated by LPI to convert Old System land to Torrens title.

Conveyance

An assurance of property, by deed (other than a will), passing an estate or interest in land held under Common Law (Old System) title, but can have a wider application to land transactions generally, hence conveyancing.

County

One of 141 basic divisions of the State of New South Wales, further divided into parishes, for administrative purposes, especially for management and disposal of Crown lands.

Covenant

Generally a mutual agreement between two or more parties to do, or to refrain from doing, certain acts in relation to land. Often contained in lease agreements, but in these directions it particularly refers to a restrictive covenant (now a restriction on the use of land) or a positive covenant binding a proprietor to do or complete a specified action.

Covenant Charge

A charge imposed on land (resulting from a failure to perform a positive covenant) for securing the payment of money.

Cross-easement

See "Party wall".

Crown Grant

The instrument under the hand of the Governor representing the Crown whereby the Crown passed an estate in fee simple to the grantee.

Crown Land

Land vested in the State of New South Wales and under the direct care and control of the Minister Administering the Crown Land Act 1989. This land may be held under Crown title or Torrens title.

Crown Road

A road under the care and control of the Minister Administering the Crown Lands Act 1989 and including boundary and reserved roads. They remain Crown land.

Crown Title

Unalienated land, vested in the Crown under the direct care and control of the Minister Administering the Crown Lands Act 1989, not held under Torrens title system.

Current Plan

Generally the most recently registered plan of subdivision including a particular parcel of land - with some exceptions, land may not be dealt with except as a lot in the current plan.

Capital gain

The amount by which your property has increased relative to what you paid for it. Simplistically, if you bought a property for $200,000 and it's now worth $350,000, you've made a capital gain of $150,000.

Cash rate/bank rate

The cash rate is the rate at which the Reserve Bank of Australia sets interest rates. It's currently 7 per cent. The bank rate is the interest rate that banks offer and is above the cash rate to allow for a profit margin.

Cash flow positive

An investement is a cash flow positive investment if the incomings are more than the outgoings after tax-deductible items have been claimed. i.e. You receive more rent than your mortgage repayments, plus you are still ahead after taking into account items such as interest on the loan, maintenance, insurance, land tax, rates, etc.

CGT (capital gains tax) – the tax you pay when you sell an investment property if you've made a profit.

Conveyancing

The process that legally transfers property ownership from one entity to another.

Cooling-off period

A period of time given to the purchaser to legally withdraw from buying a property. The length of time varies in each of the states and territories.

Cross-securitisation/cross-collateralisation

When the financial institution uses an owner's property (whether owner-occupied or investment) as security for other property the owner purchases.

Cash Flow

Is the movement of money in and out of a business. The cash flow statement or budget shows the availability or non-availability of cash by subtracting outgoings (expenses) from income (sales) by month.

Chain Store

One of a number of retail stores under the same ownership/brand and dealing in the same merchandise.

Category Killer

A large retail chain store that is dominant in its product category. This type of store generally offers an extensive selection of merchandise at prices so low smaller stores cannot compete.

Contribution Margin

Contribution Margin is the difference between total sales revenue and total variable costs. The term is applied to a product line and is generally expressed as a percentage.

Cost of Goods Sold

For individual goods COGS is the price paid for the product sold, plus any additional costs necessary to get the merchandise into inventory and ready for sale, including shipping and handling. In financial terms COGS in the P&L is equal to opening inventory plus purchases (at cost) less the closing inventory (at cost). .

Coupon

Is a promotional tool that can be redeemed for a discount when purchasing goods or services? Coupons generally feature a discount or incentive to purchase. Today a coupon can be physical, digital or a simple code to purchase online.

CRM - Customer Relationship Management

Customer Relationship Management (CRM) is a business strategy designed to reduce costs and increase profitability by strengthening customer loyalty. CRM historically relates to database marketing however, the term can be used in a broader sense to cover most marketing channels.

Cross-Sell

Cross-selling refers to a sales technique in which the salesperson recognizes what a customer is purchasing and will make suggestions or recommendations of other related merchandise the shopper may also be interested in purchasing.