Terms Beginning with Letters A - C
Definitions of words or terms beginning with the letters A through C. Click the links to get complete definitions.
Definition of Buyer Brokerage as a Real Estate Business Model
As representing buyers has become mainstream in the real estate brokerage business, so has the business model that only serves buyers, or the buyer brokerage.
As representing buyers has become mainstream in the real estate brokerage business, so has the business model that only serves buyers, or the buyer brokerage.
The Standard Percentage of Selling Price Commission Model
The standard and long-used method of charging for services to real estate sellers and buyers is via the percent of selling price commission business model.
The standard and long-used method of charging for services to real estate sellers and buyers is via the percent of selling price commission business model.
ARV or After Repair Value in Real Estate Investing
A high percentage of investments in real estate involve the purchase of properties in need of remodel and/or repairs. The investor buys the property, makes the repairs and then flips or resells it hopefully at a profit at the After Repair Value.
A high percentage of investments in real estate involve the purchase of properties in need of remodel and/or repairs. The investor buys the property, makes the repairs and then flips or resells it hopefully at a profit at the After Repair Value.
Abstract of Title in Real Estate
An abstract of title in real estate is a written history of all the recorded documents and proceedings relating to a specific property.
An abstract of title in real estate is a written history of all the recorded documents and proceedings relating to a specific property.
Absolute Title to Real Estate
An absolute or clear title to real property is a title without any liens or judgments against the property.
An absolute or clear title to real property is a title without any liens or judgments against the property.
Accelerated Depreciation in Real Estate
Accelerated depreciation allows for the depreciation of a commercial property with greater deductions in the property's early years.
Accelerated depreciation allows for the depreciation of a commercial property with greater deductions in the property's early years.
Accelerated Amortization in Real Estate
A mortgage on real estate that is being amortized, will consist of a payment of principal and interest on some schedule. If the amount of principal paid is increased over the minimum required, then the amortization will be faster.
A mortgage on real estate that is being amortized, will consist of a payment of principal and interest on some schedule. If the amount of principal paid is increased over the minimum required, then the amortization will be faster.
An Addendum to a Real Estate Contract
An addendum should not be confused with an amendment. While an amendment modifies a previously accepted contract, an addendum is part of the original contract. It adds necessary information, requirements or explantory documents to the original contract or purchase agreement. Once an agreement is reached and the contract accepted, additional documents are not added as addendums.
An addendum should not be confused with an amendment. While an amendment modifies a previously accepted contract, an addendum is part of the original contract. It adds necessary information, requirements or explantory documents to the original contract or purchase agreement. Once an agreement is reached and the contract accepted, additional documents are not added as addendums.
Agent
A real estate agent is an individual who is licensed to negotiate and arrange real estate sales; works for a real estate broker. Negotiate and arrange can include showing property, listing property, filling in contracts, listing agreements, and purchase contracts.
A real estate agent is an individual who is licensed to negotiate and arrange real estate sales; works for a real estate broker. Negotiate and arrange can include showing property, listing property, filling in contracts, listing agreements, and purchase contracts.
Amendment of a Real Estate Contract
An amendment, as it relates to a real estate contract or purchase agreement, refers to a document executed subsequent to the original contract being accepted by both parties, and modifying some aspect of the original contract. It's a change to the originally agreed upon terms. This should not be confused with an addendum.
An amendment, as it relates to a real estate contract or purchase agreement, refers to a document executed subsequent to the original contract being accepted by both parties, and modifying some aspect of the original contract. It's a change to the originally agreed upon terms. This should not be confused with an addendum.
Amortization in Real Estate
Amortization is the paying off of a mortgage or debt via periodic installment payments over time.
Amortization is the paying off of a mortgage or debt via periodic installment payments over time.
Arbitration in Real Estate Disputes
Arbitration is a more formalized procedure than mediation. In arbitration, a third party, or abitrator, hears both sides and discovers as much information about the dispute as possible. The abitrator, or arbitration panel, then makes a decision to settle the dispute. Arbitration can be either binding or non-binding.
Arbitration is a more formalized procedure than mediation. In arbitration, a third party, or abitrator, hears both sides and discovers as much information about the dispute as possible. The abitrator, or arbitration panel, then makes a decision to settle the dispute. Arbitration can be either binding or non-binding.
Associate Broker
A real estate person holding a broker license that chooses to associate or affiliate with another sponsoring broker rather than opening their own brokerage office. They want the added knowledge and status of a broker, but do not desire to operate an independent office.
A real estate person holding a broker license that chooses to associate or affiliate with another sponsoring broker rather than opening their own brokerage office. They want the added knowledge and status of a broker, but do not desire to operate an independent office.
Blog or Web Log
Blog is short for web log. Begun as personal journal sites, blogs for business have become quite important. A real estate blog would contain local real estate information and posted entries of events and opinions.
Blog is short for web log. Begun as personal journal sites, blogs for business have become quite important. A real estate blog would contain local real estate information and posted entries of events and opinions.
BPO or Broker Price Opinion Definition
A BPO, or broker price opinion, is a broker's opinion of the value of a property in the current market. This term, and the product, are used mostly by lenders and banks that have properties facing foreclosure.
A BPO, or broker price opinion, is a broker's opinion of the value of a property in the current market. This term, and the product, are used mostly by lenders and banks that have properties facing foreclosure.
Broker
A real estate broker is a person licensed to negotiate and arrange real estate transactions. This would include writing contracts for listing and purchasing homes, land and commercial properties. The broker is a higher level license than a real estate agent and would be authorized to hire real estate agents to work under the broker's supervision.
A real estate broker is a person licensed to negotiate and arrange real estate transactions. This would include writing contracts for listing and purchasing homes, land and commercial properties. The broker is a higher level license than a real estate agent and would be authorized to hire real estate agents to work under the broker's supervision.
Business Model
A business model is the theory and basic plan, as well as the structure, for operating a business. There are usually many business models in an industry. A model is chosen as a preference of how the owners want to operate, and as a response to their market and customer requirements. Real Estate business models include independent brokers, franchises, associate brokers, flat fee, commission, fee-for-service, and buyer agency.
A business model is the theory and basic plan, as well as the structure, for operating a business. There are usually many business models in an industry. A model is chosen as a preference of how the owners want to operate, and as a response to their market and customer requirements. Real Estate business models include independent brokers, franchises, associate brokers, flat fee, commission, fee-for-service, and buyer agency.
Capitalization Rate in Real Estate
The capitalization rate, or cap rate, of a property is a percentage number applied to future income to determine current value. This formula is written as Cap Rate = Net Operating Income / Value.
The capitalization rate, or cap rate, of a property is a percentage number applied to future income to determine current value. This formula is written as Cap Rate = Net Operating Income / Value.
Cash Flow Before Taxes in Real Estate Investment
The cash flow of an investment property is the actual flow of money into and out of the business without consideration of tax deductibility. All the inflows, less all the outflows constitute cash flow before taxes.
The cash flow of an investment property is the actual flow of money into and out of the business without consideration of tax deductibility. All the inflows, less all the outflows constitute cash flow before taxes.
C.L.U.E. Report
A C.L.U.E. (Comprehensive Loss Underwriting Exchange) Report is a report of the loss history of a residence. Claims made by the insured are reported monthly by the insurers to ChoicePoint, the company that compiles and distributes the report.
A C.L.U.E. (Comprehensive Loss Underwriting Exchange) Report is a report of the loss history of a residence. Claims made by the insured are reported monthly by the insurers to ChoicePoint, the company that compiles and distributes the report.
Commission Split
The commission split in real estate is a multi-level sharing of the gross commission as charged to the buyer or seller of real estate. Two brokerages can split the commission and then it can be split again between the broker and the agent(s).
The commission split in real estate is a multi-level sharing of the gross commission as charged to the buyer or seller of real estate. Two brokerages can split the commission and then it can be split again between the broker and the agent(s).
Comparables-Comps
Comparables (or Comps) refers to data about properties that are comparable in type and size to those of interest to a buyer or to the property a seller wishes to list. This data can be past sold property prices and information or list prices and data on current listings.
Comparables (or Comps) refers to data about properties that are comparable in type and size to those of interest to a buyer or to the property a seller wishes to list. This data can be past sold property prices and information or list prices and data on current listings.
Comparative Market Analysis in Real Estate
A comparative market analysis or CMA in real estate is normally done to determine the current market value of a property to list it for the seller, or to help a buyer to determine what they would like to offer for the purchase.
A comparative market analysis or CMA in real estate is normally done to determine the current market value of a property to list it for the seller, or to help a buyer to determine what they would like to offer for the purchase.
Condominium
A condominium is one of a group of housing units where each homeowner owns their individual unit space, and all the dwelling share ownership of areas of common use.
A condominium is one of a group of housing units where each homeowner owns their individual unit space, and all the dwelling share ownership of areas of common use.
Contingency in Real Estate
A contingency, or condition, is written into a real estate contract to specify an event that, if it happens, the contract would cease to exist. An example would be a purchase contingent upon the buyer obtaining a loan at a specified interest rate or lower. Should the buyer be unable to do this, the contract would end.
A contingency, or condition, is written into a real estate contract to specify an event that, if it happens, the contract would cease to exist. An example would be a purchase contingent upon the buyer obtaining a loan at a specified interest rate or lower. Should the buyer be unable to do this, the contract would end.
Curb Appeal
Curb appeal in real estate refers to the exterior look of a property from the street curb. Curb appeal is a pleasing look upon drive-up.
Curb appeal in real estate refers to the exterior look of a property from the street curb. Curb appeal is a pleasing look upon drive-up.