As far as I'm concerned, all four reactions involve breaking a bond; the question is whether one atom gets both the bond electrons or whether they are split one each. So propagation is homolytic, and S
N2 is heterolytic, just as much as initiation and S
N1 respectively. I see no sense in saying anything else. It is of importance to know that in the propagation step the R gets one of the electrons to form an R· radical, and the H takes one to form a bond with Cl·, and I don't know how to express this other than by saying the bond is cleaved homolytically. Similarly with S
N2/heterolytic.
The only nuance I can think of is if "fission" is narrowly defined as one molecule splitting apart into two moieties
without concomitant bond formation, so that initiation and S
N1 are "fission" reactions, but propagation and S
N2 are "displacement" reactions or something. Then "the caveat that two radicals should be produced" does not mean that "propagation stage bond cleavage is not homolytic", but that it is not "fission". But I'm not familiar with this usage; I think fission simply means bond breaking. I suspect that the textbook definition is simply carelessly narrow, assuming that homolytic bond cleavage will result in two radicals, as one might lazily assume heterolytic fission results in two ions (but what about e.g. R-OH
2+ R
+ + H
2O?). But look a bit closer at the context of your textbook definitions, to see whether that sheds any light on their meaning.