GLOSSARY OF TERMS
What does that mean?
APPRAISAL: A written estimate of a property’s current value.
CLOSING COSTS: Fees associated with buying a house that your lender charges and/or you rack up from various third parties.
CONTINGENT: A status in which a house has an accepted offer but relies on meeting
certain criteria, such as passing a home inspection or appraisal.
COMMISSION: A percentage of the sale that is paid to the real estate professional. In most situations, commissions are paid by the seller of the property.
CLOSING COST: Fees paid at the end of the transaction by both the buyer and seller.
DOWN PAYMENT: The amount of your home’s purchase price you pay upfront.
FORECLOSURE: A property seized by the mortgage lender due to the homeowner failing to make full payments on their mortgage. In hopes to recover the balance of the home loan, the lender will sell the house.
For Sale by Owner (FSBO): An FSBO is a property that is being sold by the current homeowner without the aid of a real estate agent.
HAND MONEY (EARNEST MONEY): A deposit made by the potential home buyer to show that he/she is serious about buying the house.
LISTING: A list of information about a home that is currently on the market.
Multiple Listing Service (MLS): The MLS is a database that includes all available homes for sale in a particular area.
PRE-APPROVAL: An evaluation by a lender that determines if the potential buyer qualifies for a loan and, if so, the maximum amount the lender would be willing to lend.
SELLER ASSIST: Money is given from the seller to the buyer at settlement to pay for part of the closing costs. The amount varies depending on what the mortgage company allows.
TITLE: The rights for a home property.