Important Terms to Know When Selling a Home

Real estate agents often have their own language. Learn the important terms to know when selling a home and having discussions with agents, brokerages, and lenders.

 

• Affidavit – A statement a buyer or a seller signs to state that certain information is accurate.
• Appreciation – An increase in a property’s value.
• Asking Price – The seller’s value and pricing of the property.
• Assessed Value – The value of the property that is decided by an assessor.
• Capital Expenditure – An improvement to a property that has a lifespan and can increase the property’s value.
• Closing Costs – The costs, including title insurance, legal fees, and survey, to finish transferring a property’s ownership.
• Commission – The money that is given to a real estate agent for his or her association with selling the property.
• Comparative Market Analysis – A method to evaluate a property by comparing it to similar homes in the area that were recently sold or have recently entered the market.
• Counter Offer – A new offer that is a response to an offer that was not accepted.
• Curb Appeal – The attractiveness of a property and its surroundings when viewed from the street. Landscaping, the front entrance, and the condition of the paint or siding are the biggest factors in curb appeal.
• Days on Market – The total number of days a property has been available for sale.
• Depreciation – A decrease in a property’s value.
• Escrow – A process in which a third party takes care of funds and documents for a buyer and/or seller.
• Home Inspection – An inspection of the property to check for factors like the quality and safety of the property.
• Lien – A legal claim of ownership on a home’s title and security for money owed.
• Market Value – An amount that a buyer would be willing to pay for the property and an estimated price based on the real estate market.
• Mitigation – Alterations and improvements to a property.
• Offer – A proposal to buy a property with a certain price and on certain terms.
• Open House – The time in which a property is available for interested buyers to view.
• Property Survey – A survey to understand a property’s boundaries.
• Sales Contract – A contract between the buyer and seller of a property that provides details such as what a purchase consists of and the closing costs for the property.
• Staging – Placing furniture and accessories within a house to prepare it for a sale.
• Title – The evidence that shows the legal right of a person to own a property.
• Under Contract – A real estate property that currently has been accepted in a contract by a seller and a buyer.
• Walk-through – The last property inspection to make sure items in a purchase agreement, like repairs and property electrical systems, are working properly.
• Zoning Laws – The local laws that regulate how a land is used in certain zones with factors that include the size of a lot and the way a building is used.

There are a variety of terms that you’re likely to hear as you begin the home selling process. If you have questions about buying or selling a home or you simply need a real estate translator, contact the David Morris Group. We’re happy to be your guide. Give us a call at (775) 828-3292.