The broker is an individual or company that is responsible for taking care of all aspects of the deal between borrowers and lenders whether that be originating the loan or placing it with a funding source such as a bank.
Multiple listing service (or MLS)
An MLS is a database that allows real estate agent and broker members to access and add information about properties for sale in an area. When a home is listed for sale, it gets logged into the local MLS by a listing agent. Buyer’s agents often check the MLS to see what’s on the market and what similar homes have sold for. According to Inman.com, there are over 600 MLS organizations in the United States.
One who, having all or part of title to property, pledges that property as security for a debt; the borrower
A good or clear salable title reasonably free from risk of litigation over possible defects.
A lien or charge on a mortgagor’s property that secures the underlying debt obligations.
A contract between the owner of income property and a management firm or individual property manager outlining the scope of the manager’s authority.
A lease agreement that barely covers the costs of operation for the property.
Marginal real estate
Land that barely covers the costs of operation.
A method of appraising or evaluating real property based on the proposition that an informed purchaser would pay no more for a property than the cost to him or her of acquiring an existing property with the same utility. This approach is applicable when an active market provides sufficient quantities of reliable data that can be verified from authoritative sources. The approach is relatively unreliable in an inactive market or in estimating the value of properties for which no real comparable sales data are available. It also is questionable when sales data cannot be verified with principals to the transaction. Also referred to as the market comparison or direct sales comparison approach.
The actual selling price of a property.
The most profitable price a property will bring in a competitive and open market under all conditions requisite to a fair sale. The price at which a buyer would buy and a seller would sell, each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus.
A statutory lien created in favor of contractors, laborers, and materialmen or material suppliers who have performed work or furnished materials in improving real property.
A legal description of a parcel of land that begins at a well-marked point and follows the boundaries, using direction and distances around the tract, back to the point of beginning.
A tax rate used by municipalities to compute property tax.
A property tax rate obtained by dividing the total assessed value of all the property in the tax district into the total amount of revenue needed by the taxing district. This millage rate then is applied to the taxable value of each property in the district to determine individual taxes.
To represent falsely; to give an untrue idea of a property. May be accomplished by omission or concealment of a material fact.
The government regulation of the amount of money in circulation through such institutions as the Federal Reserve Board.
A court judgment ordering payment of money rather than specific performance of a certain action.
Those institutions, such as banks, savings-and-loan associations, and life insurance companies, who supply money and credit to borrowers.
A periodic tenancy – the tenant rents for one period at a time. In the absence of a rental agreement (oral or written), a tenancy generally is considered to be from month to month.
Fixed natural or artificial objects, used in metes-and-bounds description, to establish the boundaries; located at the corners.
A conditional transfer or pledge of real estate as security for a loan. Also, the document creating a mortgage lien.
An exclusive listing (generally an exclusive right to sell) with the additional authority and obligation on the part of the listing broker to distribute the listing to other brokers in the multiple-listing organization.
The laws, regulations, and codes enacted by the governing body of a municipality.
The act of putting an end to a contract by mutual agreement of the parties.
Real estate terms that begin with N
The total amount of payments due over the life of the loan.
The monthly principal and interest that is due on the loan.
An entity that loans money, acquiring a security interest in the property.
A person who works with lenders and buyers/borrowers to facilitate the loan process.
MLS (Multiple Listing Service)
A service created for the use of displaying listings across many brokers and brokerages.