Here are ten more common real estate terms to know.
- Deed: A legal document that represents the ownership of property and is used to transfer title from one party to another.
- Easement: A right given to a person or entity to use a portion of another owner’s land for a specific purpose, such as access to a road or utility lines.
- Encumbrance: Any claim or lien on a property, such as a mortgage, a lease, or easement, that may affect the title or use of the property.
- Fixture: Personal property attached to land or a building in such a way that it is considered legally part of the property.
- Joint Tenancy: A form of co-ownership where two or more parties share equal ownership and rights to a property. Upon the death of one owner, their share automatically transfers to the surviving owner(s).
- Leasehold Estate: An interest in real property allowing a lessee or tenant to use and occupy a space for a specified period under a lease agreement, without owning the property.
- Quitclaim Deed: A legal document used to transfer any ownership interest in a property that the grantor might have, without any warranty of clear title.
- REIT (Real Estate Investment Trust): A company that owns, operates, or finances income-generating real estate, allowing investors to buy shares in real estate portfolios.
- Survey: A professional process to determine or verify the boundaries, dimensions, and location of land or property, usually depicted on a survey map.
- Underwriting: The process by which lenders assess the risk of lending money to a homebuyer based on their credit, income, and other factors to approve or deny a mortgage loan.
These terms are essential for anyone involved in real estate transactions, providing a deeper understanding of the intricacies of property ownership and investment.
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