Are you new to the real estate world? Ever wonder what all these terms mean? Here are the top 10 most common terms in real estate. As always, our realtors will be happy to help you in any way possible to make your buying or selling experience the best possible! If you have any questions we’re here to help!
1. Appraisal: In many cases a bank will require an appraisal to be done. This is where an appraiser will determine the value of the home based on an examination of the property.
2. APS (Agreement of Purchase and Sale): A written contract between the seller and the buyer of a property. Both parties agree to a certain price and the conditions that must be met in order for the deal to close.
3. Assessed Value: This is how much the home is worth according to a public tax assessor for the purpose of taxation.
4. Closing or Completion Date: This refers to the date where the ownership of the property is transferred to the new owners. This date is usually several weeks after the offer is accepted.
5. Closing Costs: These are fees which need to be paid on the closing date. These can include legal fees, land transfer fees etc…
6. CMA (Comparative Market Analysis): This is an examination of the prices at which similar properties in the same area have been recently sold for. This can also be done for the listing price of properties.
7. Contingency Clause: This is stated in the agreement. These conditions must be completed in order for the offer to be finalized.
8. Dual Agency: When the listing agent represents both the seller and the buyer.
9. Mutual Release: This is a document used when a deal falls through in most cases. It releases both parties involved from the signed Agreement of Purchase and Sale.
10. Title: The person which has legal ownership of the property.