An adjustable-rate mortgage or ARM, is a home loan with a variable interest...

Abstract of title is a document that summarizes everything that has happened with...

An addendum is defined as an attachment to a contract that modifies the...

Amenities are any features of a building or space that provide comfort and...

Amortization is the schedule of your periodic mortgage loan payments. An amortization schedule...

An apartment is a single housing unit that is part of one (or...

An appraisal is the estimation of a home’s current market value. The valuation...

A contingency is a condition that needs to be met before an offer...

An appraised value is an evaluation of a property's value by a professional...

In real estate, the term appreciation refers to the increase in the value...

If you’re in the market for a house, you’ll probably come across a...

An assessment occurs when an asset's value needs to be determined for tax...

An assumable mortgage provides a buyer the opportunity to purchase a home by...

When a buyer is interested in purchasing a property that is already under...

A balloon mortgage is a home loan that has an initial period of...

A bi-weekly mortgage payment is a mortgage option where, instead of 12 monthly...

A bill of sale is commonly used when selling or buying something of...

A blind offer is an offer by a buyer to buy a property...

Bonus depreciation allows an investor to deduct the full cost of capital improvements...

When the parties sign a real estate contract, they agree to all of...

Built-ins are any items that do not leave the property but remain a...

A buydown is a mortgage financing technique that allows homebuyers to obtain a...

A comparative market analysis or CMA, is a tool that real estate agents...

The IRS defines a capital improvement as a change made to property you...

Whenever you refinance, you're starting over with a new mortgage and new terms....

A clear title, also known as a “clean title,” is a property title...

Closing costs are an assortment of fees, including fees charged by: a lender,...

Common area maintenance, also known as CAM, are the costs associated with overhead...

Common areas are elements of a property available for use by all tenants....

Comparables are used in real estate to find the fair value of a...

A condominium, also known as a condo, residential complex in which there are...

A construction loan is usually a short-term loan that provides funds to cover...

A conventional sale is when the property is owned outright or the owner...

Cost Segregation is a tax strategy that allows real estate owners to utilize...

Covenants, conditions & restrictions or CC&Rs are the rules and regulations placed on...

Curb appeal is a subjective appreciation for a physical asset in its simplest...

DOM is a common real estate abbreviation for ‘Days On Market’. The term...

Debt-to-income ratio or DTI a percentage that tells lenders how much money you...

A deed is a legal document that once signed, transfers ownership of an...

Depreciation is the decrease in the value of your property over time. It...

Depreciation recapture is a process that allows the IRS to collect taxes on...

A down payment is a sum of money paid upfront in a financial...

Dual agency occurs when a single real estate agent works on behalf of...

A duplex is a type of multifamily property that allows for two separate...

Earnest money is a deposit made to a seller before closing on a...

Economic obsolescence is the loss of value of a real estate property that...

Encroachment in real estate occurs when one property owner violates their neighbor’s rights...

The Equal Credit Opportunity Act (ECOA) is federal civil rights law that prevents...

Equity is the investment a homeowner has in their home. To calculate equity,...

Escrow is the use of a third party, which holds an asset or...

An escrow account is important because specific instructions must be followed in order...

Eviction is the process by which a landlord can legally remove a tenant...

The Federal Housing Administration or FHA, is a government agency that promotes affordable,...

An FHA 203(k) loan is a type of government-insured mortgage that allows the...

An FHA loan is a government-backed mortgage loan that requires a lower minimum...

A FICO score is a credit score created by the Fair Isaac Corporation...

For sale by owner or FSBO homes are sold by the homeowner without...

Fair market value also known as FMV, in real estate is the price...

A fixed-rate mortgage is essentially A home loan with A fixed interest rate...

Foreclosure is a legal process that begins when a borrower fails to make...

Functional obsolescence is when a home doesn’t meet market expectations on a functional...

A Good Faith Estimate, also known as a GFE, is a document that a...

The definition of a guarantor is a person who guarantees something for someone...

HOA stands for Homeowners Association. It is a self-governing organization for a planned...

HUD is an acronym for the Department of Housing and Urban Development, a...

A hard money loan is a type of loan that is secured by...

A home equity line of credit, or HELOC, is a second mortgage that...

A home inspection is an examination of the condition of a real estate...

A home sale contingency is a clause frequently included in a real estate...

An inspection contingency, also called a ‘due diligence contingency’ gives the buyer the...

Traditionally, when you purchase a home, you own the home and the land...

Landlord insurance is a policy that is purchased for rental properties. It provides...

A lease agreement is a legal, binding contract between a landlord and a...

A lessor is essentially someone who is the owner of the property that...

A lien is a claim or legal right against a property that can...

A listing agent also known as a seller’s agent, is a licensed real...

A listing agreement is an employment contract between a property owner and a...

Loan-to-value ratio is a measure that compares the amount of your mortgage to...

A mortgage refers to a loan used to purchase or maintain a home,...

A mortgage commitment letter is a formal document from your lender stating that...

A mortgage pre-approval letter is a document from a lender indicating that you...

A Multiple Listing Service, also called MLS, is a database that allows real...

NHD Report stands for Natural Hazard Disclosure Report. The natural hazard disclosure report...

Net Operating Income, or NOI for short, is a formula used to quickly...

Occupancy is defined as the act of taking possession. In real estate terms,...

Operating expenses include all of the costs associated with operating the property. They...

PITI is an acronym that stands for principal, interest, taxes and insurance -...

Passive Activity Loss Rules, or PAL, are a set of IRS rules stating...

Per diem is latin for per day. In real estate terms, a per...

A pre-approval is a preliminary evaluation by a lender to determine whether a...

Private mortgage insurance, also called PMI, is a type of insurance that is...

A probate sale happens when a homeowner dies without writing a will or...

In real estate terms, proration is defined as the act of dividing real...

A real estate purchase agreement is a legally binding document that governs the...

A quitclaim deed releases a person's interest in a property - publicly and...

ROI stands for Return On Investment. Return on investment (ROI) is a measurement...

In real estate terms, rate lock refers to a mortgage. It is an...

The recovery period of an asset is the length of time over which...

When you refinance, you’re essentially trading in your current mortgage for a newer...

Rent control is a government program that is intended to keep living costs...

When an owner sells a property, they are typically required to disclose information...

A short sale occurs when a financially distressed homeowner sells their home for...

The legal definition of a single-family home is - a structure maintained and...

Staging refers to preparing your property to sell so it appeals to the most...

Start-up expenses are the costs you incur to get your rental business up...

Straight-line depreciation is the depreciation of real property in equal amounts over a...

Student housing is a form of off-campus accommodation for university or college students. These...

Subletting occurs when your lease-signing tenant rents out their spot in your property...

On Dec. 22, 2017, former President Donald Trump signed a massive tax bill...

A tax shelter is a place to legally store assets so that current...

Tenant screening is a process carried out by landlords to assess an applicant...

When you purchase a home, one of the documents that you will receive...

A townhouse, also called a townhome, is a multi-floor home that shares at...

Transfer of ownership is the means by which the ownership of a property...

A transfer tax is a charge on the transfer of ownership or title...

Triple net lease (also commonly known as NNN) is normally a commercial lease...

A triplex consists of three individual dwelling units combined into one building, with...

The U.S. Department of Agriculture (USDA) home loans program offers mortgages to low-income...

A VA loan is a mortgage loan that is available through a program...

The vacancy rate is the percentage of all available units in a rental...

A warranty deed is a legal real estate document where the seller guarantees...