{"id":6427,"date":"2024-06-05T14:46:12","date_gmt":"2024-06-05T14:46:12","guid":{"rendered":"https:\/\/sterlinghomesltd.com\/?p=6427"},"modified":"2024-06-05T14:47:48","modified_gmt":"2024-06-05T14:47:48","slug":"10-common-real-estate-terms","status":"publish","type":"post","link":"https:\/\/sterlinghomesltd.com\/10-common-real-estate-terms\/","title":{"rendered":"10 Common Real Estate Terms"},"content":{"rendered":"<p><span style=\"font-weight: 400\">Comprehension is key in any conversation for effective communication to take place. To understand what the other person is saying, you have to know the meaning of the words they speak.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Likewise, it is easier to hold conversation with your real estate consultant when you can understand the basic terms being used. Also, you would feel more assured about whatever is being communicated to you.<\/span><\/p>\n<p><span style=\"font-weight: 400\">In this blog post, you will learn about basic real estate terms.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>LISTING<\/strong>: This is a comprehensive list of landed properties available for sale or lease by a real estate company. A particular listing is under the jurisdiction of a real estate company or agent for sale. The different types of listing are:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Open listing.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Exclusive listing<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Exclusive right-to-sell listing.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\"><strong>OFFER<\/strong>: This is an act of negotiation by the buyer or buyer\u2019s agent. The buyer or his agent would write an offer of the amount they are willing to pay for the property based on the market value.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">This proposed offer is then forwarded to the seller or seller\u2019s agent. If the offer is accepted by the seller, it becomes a purchase contract through the agreement. If the buyer\u2019s offer is not accepted by the seller, then a counter offer for negotiation is prepared.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>INSPECTION<\/strong>: Property inspection refers to a physical evaluation on a property to identify any defect that can lead to avoidable future cost.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Inspections allow you to see for yourself what you will be investing in. You get to visit the property site with the appointed agent from the agency and ask necessary questions about the property.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>EARNEST MONEY DEPOSIT<\/strong>: This is the money paid or deposited by the buyer in acquiring the property. Once both parties (buyer and seller) have agreed on the proposed offer, the buyer makes a deposit to confirm the purchase agreement. This is a form of assurance to the seller that the buyer is willing to purchase the property.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>ESCROW HOLDER<\/strong>: This refers to a third party who holds temporary authority over the money or other instrument to be used to acquire a property. The individual has the right to keep all these until a purchase agreement is reached by both the buyer and seller of the transaction.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>DAYS ON MARKET (DOM)<\/strong>: This refers to the estimated period a property was on listing before it got sold. It helps real estate companies determine the market demand for such property. The longer it takes for a property to get sold, the higher the days on market and vice versa.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>EQUITY<\/strong>: This is associated with mortgaged property transactions. It refers to how much of the current value of the property is owned by the buyers after mortgage cos is deducted.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>APPRAISAL<\/strong>: This is the process of determining a property\u2019s worth based on market value and other circumstances. Each party in the transaction process is entitled to give an appraisal of what they think the property is worth. A property worth can be appraised based on the following approach;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Sales comparison approach<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Cost approach<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Income approach<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\"><strong>COST\/PRICE<\/strong>: Price is the amount being demanded by the seller in exchange for the property ownership. While, cost is the actual amount paid to acquire the property by the buyer at the end of the transaction.<\/span><\/p>\n<p><span style=\"font-weight: 400\"><strong>PRELIMINARY TITLE<\/strong>: This is a summary or a detailed report from the seller about the property you want to acquire. It includes all necessary information, past and present about the property. It states clearly the property title, previous owner name, existing tax and proper description of the property.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">With an original preliminary title report from the seller, you can be assured of the property status and ownership.<\/span><\/p>\n<p><strong>CONCLUSION<\/strong><\/p>\n<p><span style=\"font-weight: 400\">Real estate terms are limitless, however it is important that you understand and be familiar with the basic ones. If you ever get to invest in real estate properties, then you will come to know more about them.<\/span><\/p>\n<p><span style=\"font-weight: 400\">You can also get yourself trusted real estate consultants during your transaction process. They will do the talk, legwork and paper work on your behalf and provide you with a detailed report.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Start out by checking out our properties at <\/span><a href=\"https:\/\/sterlinghomesltd.com\/\"><span style=\"font-weight: 400\">Sterling Homes Limited <\/span><\/a><span style=\"font-weight: 400\">And get in contact with our trusted and reliable agents.<\/span><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Comprehension is key in any conversation for effective communication to take place. To understand what the other person is saying, you have to know the meaning of the words they speak. Likewise, it is easier to hold conversation with your real estate consultant when you can understand the basic terms being used. Also, you would&#8230;<\/p>\n","protected":false},"author":3,"featured_media":6431,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[8],"tags":[261,259,260,19,258],"class_list":["post-6427","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate","tag-escrow-holder","tag-listing","tag-offer","tag-real-estate","tag-real-estate-terms"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/posts\/6427"}],"collection":[{"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/comments?post=6427"}],"version-history":[{"count":3,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/posts\/6427\/revisions"}],"predecessor-version":[{"id":6430,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/posts\/6427\/revisions\/6430"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/media\/6431"}],"wp:attachment":[{"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/media?parent=6427"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/categories?post=6427"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sterlinghomesltd.com\/wp-json\/wp\/v2\/tags?post=6427"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}