The A-Z of real estate- a glossary of terms
Posted on Friday, November 2, 2012 ? Leave a Comment?
?
Amenity?- A feature of the property that enhances its attractiveness and increases the occupant?s or user?s satisfaction although the feature is not essential to the property?s use, e.g. scenic views, proximity to public transport or recreational facilities.
Appreciation?- An increase in the value of a property due to the changes in market conditions or supply and demand, etc.
Architrave?- A decorative moulding around doors and windows.
Asking Price?- The listed price of the property, but may not always be the selling price. The owner may be willing to negotiate.
Assessed Value?- The valuation placed on a property for the purposes of taxation by an authority.
Auction?- A public sale of a property or real estate that is sold to the highest bidder.
B
Battle-Axe Block ? A block of land behind another, with access from the street through a long drive way.
Body Corporate?- An administrative body made up of all the owners within a group of units or apartments of a strata building. The owners elect a committee which handles administration and upkeep of the site.
Bond?- A sum of money paid by a tenant and held by the Rental Bond Board to ensure against defaulting on payment and damage to the property.
Brick Veneer?- A type of construction in which a structural timber frame is tied to a non-load bearing, single brick external wall.
Bridging Loan?- A short-term loan (usually at a higher rate) taken out to cover the financial gap between buying a new property and selling an existing property.
Building Code?- Local regulations that control design, construction and materials used in construction.
Buyer?s Market?- When the demand for property is less than supply so the advantages shift to the buyer. Contrast with Seller?s Market.
C
Caveat?- A warning on a title to a purchaser that a third party might have some interest or right in the property.
Certificate of Occupancy?- A document issued by a local government to a developer permitting the structure to be occupied. This generally indicates that the building is in compliance with public health and building codes.
Certificate of Title?- A description of a property with the name of the registered owner, encumbrances, i.e. mortgages or easements on the property. It must be produced by the vendor before the sale of the property.
Chattels?- Movable items of personal property such as furniture that may be included in a sale.
Commission?- A proportion (usually a percentage) of the sale price of a property paid to a real estate agent for negotiating a real estate transaction.
Common Property?- Areas of a building, land or amenities within a strata title property that are shared by all owners, e.g. a driveway.
Contract Note?- (Victoria only) An agreement in writing setting out the terms and conditions relating to the sale or purchase of a property.
Contract of Sale?- An agreement in writing, setting out the terms and conditions relating to the sale or purchase of a property. It is the purchase document signed at auction.
Cooling-Off Period?- The legal entitlement of a property purchase to withdraw from a contract by giving written notice within 3 clear business days after the Contract of Sale or Contract Note is signed. However, there are some circumstances where the cooling-off period does not apply:
1. The property is purchased at an auction or within three clear business days of a publicly advertised auction.
2. The purchaser receives independent legal advice prior to the purchase of the property.
3. The purchaser is a real estate agent or a corporate body.
4. The purchaser has previously signed a similar contract for the same property.
5. The property is used mainly for industrial or commercial purposes.
6. The property area exceeds 20 hectares and is used mainly for farming. The vendor is entitled to retain $100 or 0.2% of the purchase price, whichever is the greater.
Covenant?- Terms, conditions and restrictions noted on the title. A covenant may affect future plans or resale of the property.
Cul-de-sac?- Also called a ?Court? or ?Dead End Street?. A street with only one entrance, the other end being closed. Often valued for the privacy provided to homes in the street.
D
DD08 ? A term for high density zoning, meaning a block of land is suitable for developments (subject to council approval).
Deposit?- A percentage of the purchase price given to bind the sale of real estate.
Dual Occupancy?- A block of land which is zoned so that two distinct dwellings are permitted to be constructed.
E
Easement?- A right that someone has to use the land belonging to another, e.g. a water authority may have a sewerage easement across part of your property.
Encumbrance?- An impediment to use or transfer of the property in the form of an interest or right in the property, e.g. easement, mortgage or caveat.
Equity?- The amount of an asset actually owned. Equity is the difference between the market value of the property and the amount still owed on its mortgage.
Executor ? The administrator of a decedent?s estate.
Exclusive Authority?- A written contract that gives one real estate agent the exclusive right to sell a property in a specified time period.
F
Fibro Cement?- Building material made of compressed fibres cemented into rigid sheets.
Fittings?- Objects that can be removed from a property without causing damage to it.
Fixtures ? Fixed items that cannot be removed without damaging either the property or the fixture itself, e.g. cupboards.
G
Gables?- The triangular part of a building?s end wall which extends up to meet the two slopes of a roof.
Guarantor?- A person who agrees to indemnify the holder of a loan, all or a portion of the unpaid principal balance, in case of default by the borrower.
H
Holding Deposit?- An initial (goodwill) sum of money given to register interest in or bind the sale of real estate before the full deposit is paid. For example, if a property is purchased on Saturday, the agent may take a holding deposit of a few hundred dollars until the buyer can arrange for the full deposit to be paid on Monday.
Home Inspection?- A thorough inspection that evaluates the structural and mechanical condition of a property. A home inspection may be a special condition of a purchaser.
I
Interest Only Loan?- A loan where only the interest is repaid throughout the course of the loan. The original amount or principal is repaid at the end of the term of the loan.
Investment Property?- A property that is not occupied by the owner but leased to produce income.
J
Joint Tenancy?- A form of co-ownership that gives each tenant equal shares and rights in the property including the right of survivorship, e.g. ownership of a property passes to the surviving owners.
L
Laminated Timber?- Layers of timber glued and pressed together to increase rigidity or to use as bench tops or cupboard doors.
Land Tax?- A State tax based on the value of a property (not the principal place of residence) that is paid by the owner.
Landlord?- A person who rents property to another; a lessor. A property owner who surrenders the right to use the property for a specific time in exchange for the receipt of rent.
Lease?- A written agreement between a landlord and a tenant granting a period of tenancy of a property under specific terms and conditions.
Lessee?- A person leasing a property.
Lessor ? The owner of a property that is leased to another person.
Lien?- A legal claim against a property that must be paid off when the property is sold.
Listing?- A written contract between an owner and a real estate agent, authorising the agent to perform services for the principal involving the owner?s property.
M
Market Value?- The price at which a seller is happy to sell and a buyer is willing to buy. This assumes that there is sufficient activity in the market place to generate enough buyers and sellers so that neither party controls the price. Establishing the market value is the objective of an appraisal.
Mortgage Insurance?- A policy that insures the lender against the borrower defaulting on a loan. Most lenders generally require insurance when borrowing more than 80% of the property value.
N
Negative Gearing?- Where the return on investment is not sufficient to cover the costs on the investment, e.g. property maintenance and interest on the loan.
Nominee ? A person who, in a limited sense, acts for or represents another.
Notice to Quit ? A notice to a tenant to vacate the property.
O
Off the Plan?- To purchase a property before it is completed after having only seen the plans.
Open Listing?- A type of listing agreement in which more than one real estate agent may be employed to sell the property. The owner pays a commission only to the agent who finds the buyer.
P
Passed In?- The highest bid fails to meet the reserve price of a property at an auction and consequently does not sell.
Private Sale?- The sale of a property by the owner without the services of a real estate agent.
Private Treaty?- The sale of a property, through an estate agent, by negotiation.
Q
Qualified Acceptance ? An acceptance of an offer subject to a condition or conditions which must be met. This is essentially a counter offer since new conditions are included.
Qualified Buyer?- A buyer who has satisfied a lender that he or she is financially able to qualify for a loan. Qualifying the buyer is one of the primary steps taken by the lender as part of the loan process.
R
Redraw Facility?- A loan where the borrower can make additional payments and then access those funds when required. There may be a minimum redraw amount.
Refinance - The process of paying off one loan with the proceeds from a new loan using the same property as security.
Requisitions on Title ? A process where the buyer requests additional information about the title of the property from the vendor.
Reserve Price?- The minimum price which a seller will accept at auction.
Right of First Refusal?- A provision in an agreement that gives a party the first opportunity to purchase or lease the property before it is offered for sale or lease to others.
Roof Pitch?- The slope of the roof.
S
Sash?- The frame in which a pane of glass is set to form a window.
Seller?s Market - When demand for a property is greater than supply. The result is greater opportunities for owners who may find someone willing to offer the asking price or even a figure greater than the asking price.
Semi-detached?- Also called duplex. A type of construction where two buildings are attached together by a common wall.
Settlement?- The sale of a property is finalised by the legal representatives of the vendor and the purchaser, mortgage documents come into effect, costs are paid and the new owner takes possession of the property.
Special Condition?- A condition that must be met before the contract is legally binding. For example, if buying a home the purchaser may specify that the contract is not legally binding until the purchaser has obtained a building inspection.
Square - A square is a measurement of home area. One square = 9.3 square metres approximately.
Stamp Duty?- A State tax on conveyance or transfer of real property calculated on the total value of the property (including chattels). This calculation varies from State to State.
Strata Title?- A title to a unit or lot on a plan of subdivision associated with townhouses, units and blocks of flats and based on the horizontal and vertical subdivision of air space. Owners have a certificate of title, are absolutely owners of a freehold flat and have an undivided share of the common property.
Stratum Title - Also called Company Title. A stratum-title owner has a certificate of title and is the absolute owner of a freehold flat. An owner automatically becomes a member of a service company that administers, manages and maintains the property in which the owner?s flat is registered.
Subdivision ? A tract of land divided into individual lots for a housing development.
T
Tenancy?- The right to occupy a property under agreed terms and conditions.
Townhouse?- A dwelling unit, generally having two or more floors and attached to other similar units via party walls.
Transfer?- A document registered at the Land Titles Office and noted on the Certificate of Title which verifies the change of ownership of a property.
Trustee?- A fiduciary who holds or controls property for the benefit of another.
U
Utilities?- The private or public service facilities such as gas, electricity, telephone, water and sewer that are provided as part of the development of the land.
V
Valuation?- A written analysis of the estimated value of a property prepared by a qualified valuer.
Vendor?- The seller.
Vendor Statement?- (Victoria Only) Also called the Section 32 Certificate of the Sale of Land Act. Known as Contract ofSale in NSW. A statement by the vendor of the particulars of the property offered for sale. It must be signed by the purchaser before signing the Contract of Sale or Contract Note.
Villa?- A single storey attached dwelling.
W
Wall Cavity?- The space between the inner and outer sections of a wall.
Water Course?- A natural stream of running water being fed by a natural source such as a stream or river.
Source: http://www.philipwebbrealestateblog.com.au/the-a-z-of-real-estate-a-glossary-of-terms/
after christmas sales 2011 best ipad apps chris paul gift card exchange tj holmes waste management two fat ladies
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.