TOPIC: HOUSING LEVEL C2 STUDENT´S MEDIATION EXAM TASK

Mortgage Survey Written Mediation

MEDIATION TASK
INSTRUCTIONS: 1 - In 5 minutes, prepare your task reading the text below.
2 - Write a summary of 125 words.
You are an expat who has been living in a residential area in Toronto for over four years. One of your new
neighbours is an Italian chef who is planning to buy a property there, and she’s been searching for information
about the process and the necessary requirements. She has found this information, but she is not proficient
enough to understand the nuances, so she has asked you for help, as you had to go through the same
process yourself to buy your house there.
Write a 140-word summary of the information below so she can understand its key ideas and later explain
them to her husband.

Mortgage surveys are different from other types of property surveys in that they are typically requested by
lenders or insurance companies rather than homeowners. A mortgage survey is often required when you
purchase a home; it’s a way for your mortgage lender to verify that the property they’re lending you money to
purchase is as described in legal documents and is suitable as collateral for your mortgage loan. The lender
wants to ensure that the property is worth at least as much as you’re borrowing. There are two main types of
mortgage surveys; mortgage location surveys and mortgage inspection surveys.

Mortgage Location Surveys

A mortgage location survey is different from a boundary survey and is not used for construction or for
boundary determinations. A mortgage location survey is usually requested by your mortgage lender or title
insurance company and is intended to provide proof that certain improvements are actually located on the
property as described in the legal description. These surveys identify the major buildings on your property
such as the house, garage, and sheds or other structures, as well as whether your property encroaches
on any neighboring properties or easements. Likewise, these surveys determine whether any neighboring
properties encroach on your property.

Mortgage Inspection Surveys

A mortgage inspection survey is less detailed than a mortgage location survey. Mortgage inspection surveys
often simply note which structures are present on the property and where they’re located. These surveys
often do not include boundary lines. A mortgage inspection survey is the type of survey your mortgage
lender probably ordered when you purchased your home.

Mortgage Survey Requirements

Mortgage survey requirements differ from state to state and sometimes depend on the type of improvement
you’re planning to make. For instance, your state may require only a mortgage inspection survey, but you may
be required to obtain a more-detailed mortgage location survey to satisfy the requirements for obtaining
a permit. When you’re seeking a mortgage loan or home equity loan to make such improvements to your
property, you should ask your lender what type of survey is being ordered so that you know if you’ll need to
order a different type of survey later before making improvements on your property. Mortgage survey costs
vary based on your location; it’s best to shop around.

Source: www.redfin.com
C2 Mortgage Survey
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C2 Mortgage Survey Student’s Mediation Task

WRITTEN MEDIATION EXAM TASK

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C2 Mortgage Survey
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