With the emergence of new words and terms everyday, it is best that we know some of those that are used in real estate. The love of real estate agents in making every house they are selling to sound great, you may catch yourself looking for the meaning of the words they say.
This is a list of words or phrases used as jargons in the real estate industry that are worth taking note and remembering of.
Aesthetic Defects - Describes problems or defects that could affect a property's visual appeal
Alley-loaded - a type of home that has the garage in the rear home with an alley that can be accessed by a common alley.
Appraised Value - the value of the home that is assigned by the appraiser according to several factors such as the condition, location and size of your home.
Arrears- unpaid debits at the end of the due date such as rental and mortgage payments.
As-Is - selling the home without a warranty or commitment to make further repairs which are mostly foreclosures.
Bridging Finance- temporary loan that provides financial cover, which a purchaser to complete on the purchase of a new property, before selling the previous property.
Buying down your interest rate -coming up with money out of the pocket in exchange for a lower interest rate.
Conditions of Sale - details which determine the rights and duties of the buyer and seller. These may be national, statutory, or the Law Society's conditions.
Contingency - sometimes attached to the offer, making such offer dependent on some factors.
Counter Offer- the second offer made in response to the rejected first offer with either different price or commissions.
Earnest money- paid when making an offer. If you took the offer, the amount will be part of your downpayment.
FSBO [fizbo]- For Sale by the Owner
HOA- Homeowners' Association
Letting Fee- fee paid by owners to an agent who succeeds in obtaining a suitable tenant for them.
P&I - Principal and interest.
PITI - Principal, interest, taxes and insurance.
PMI - private mortgage insurance
Z lots - or zero lot line, built very close to the property line in order to create more usable space such as rowhouses, garden homes, patio homes and townhomes
Have you learned from the set of words?
