This is a list of some words used in Real Estate and its meaning that you should know before you engage in selling or buying a house or land:
| A | Agent.- Is a licensed professional who can assist you in the purchase, sale or rent of a property, vacant land or investment property. Realtors are agents, federally registered members of the National Association of Realtors and subscribes to its strict Code of Ethics. Appraisal.- A written opinion of a property’s market value done by a licensed appraiser |
| C | Closing.- The process of executing legally binding documents, final signature of documents such as title, deed, mortgages, note or others associated with the property’s title transfer Closing costs.- Expenses for services for the sale or purchase of a property, such as sale commissions, loan fees, title fees, appraisal, survey, etc. |
| E | Earnest Money Deposit (EMD).- Advance payment of part of the purchase price for a property Escrow.- When a third party (usually a title company or real estate attorney) handles legal documents and funds on behalf of a seller and buyer Estate.- A person’s possessions, the extent of a person’s interest in real property |
| H | Homeowners insurance.- Insurance protecting real property or possessions in the home, also provides liability coverage against accidents in the home or on the property. |
| L | Lien.- A hold, claim or change allowed a creditor upon the land of a debtor, like a mortgage lien. Loan estimate.- A document of 3 pages sent by the lender with an estimate of the cost of the transaction. |
| M | Mortgage.- Instrument used to encumber land as security for a debt |
| N | Note.- Instrument evidence of the debt, a note is usually secured by a security instrument, such as mortgage or deed of trust |
| P | Points.- A one-time special fee or extra charge paid to a lender in order to secure a loan or a better rate, it is expressed as a percentage of face amount of mortgage (Ex. 2 points = 2%) Prorate.- To allocate between seller and buyer their proportionate share of an obligation paid or due, such as property taxes |
| R | Real property.- Land, together with fixtures, improvements and appurtenances (A mobile home on a rented lot is considered personal property, while a manufactured home anchored down and conveying on the sale with land can be considered real property) |
| T | Title.- Ownership of real property and stands against the right of anyone else to claim the property, evidence of ownership Title insurance.- Agreement to indemnify the insured against loss product of a covered defect in title of a particular parcel or property Title search.- Examination of public records, laws and court decisions regarding the ownership of the property. It can include liens, judgments, open mortgages and other title issues |
| W | Walk-through.- or pre-settlement inspection is usually scheduled before closing to make sure the property is in the agreed-upon condition. |
| Z | Zoning.- The right of a municipality to regulate and determine the compatible character and use of the property |
If you would like to sell or buy a property in Florida, give me a call at 813 446 2003
Clarisa Moody
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