ELIMINATING THE CONFUSION OF LISTING CONTRACTS

A, A-C, C-F, F-L, L-P, P-T, T-Z

Cost Plus Contract - A building contract setting the builder's profit at a set percentage of actual cost of labor and materials.

Contract Sales Price - The full purchase price as stated in the contract.

County - A division within a state, usually encompassing one or more cities or towns.

Certificate of Reasonable Value (CRV) - An appraisal of property for the purpose of insurance by the Veteran's Administration

Declaration of Restrictions - A set of restrictions filed by a sub-divider to cover an entire tractor subdivision.

Defective Title - Title to a negotiable instrument obtained by fraud. Title to real property which lacks some of the elements necessary to transfer a good title.

Depreciation - Decrease in value to real property improvements caused by deterioration or obsolescence.

Devise - Real estate left by will.

Devisee - One to whom real estate is given by will.

Devisor - A testator who leaves real estate.

Direct Reduction Mortgage - An amortized mortgage. One on which principal and interest being computed on the remaining balance.

Disbursements - Payments made during the course of an escrow or at closing.

Discount - Is an ARM with an initial discount, the lender gives up a number of percentage points of interest to give you a lower rate and lower payments for part of the mortgage term. After the discount period, the ARM rate will probably go up depending on the index rate.

Documentary Tax Stamps - Stamps, affixed to a deed, showing the amount of transfer tax.

Dragnet Clause - A clause in a mortgage or deed or trust which places the real estate as security for existing debts between the parties.

Easement - A right created by grant, reservation, agreement, prescription, or necessary implication, which one has in the land of another.

Eminent Domain - A Government right to acquire private property for public use by condemnation, and the payment of just compensation.

Encroachment - Construction onto the property of another, wall, fence, etc.

Encumbrance - A claim, line charge, attached to and binding real property.

Equity - The difference between the market value of the property and the homeowners mortgage debt.

Escrow - Delivery of a deed by a grantor to a third party for delivery to the grantee upon the happening of a contingent event.

Escrow Payment - That portion of a mortgagor's monthly payment held in trust by the lender to pay for taxes mortgage insurance, hazard insurance, lease payments, and other items as they become due, also know as "impounds" in some states.

Escrow Reimbursement - An assumptions or wrap loan transactions, the buyer reimburses the seller for the current balance of his escrow (or impounded) funds.

Federal Home Board - The board which charters and regulates federal savings and loan associations, as well as controlling the system of Federal Home Loan Banks.

Federal Tax Lien - A lien attached to property for nonpayment of a federal tax.

Fee Simple - An estate under which the owner is entitled to unrestricted powers to dispose of the property, and which can be left by will or inherited.

Federal Home Loan Board - The board which charters and forbids discrimination in the sale.

Federal Housing Administration - A federal Agency which insures first mortgages, enabling lenders to loan a very high percentage of the sale price.

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Mark Linder
New Century Realty Group
Phone: (469)879-2960
Mark@MarkJLinder.com