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  • Devisor: One who leaves real property by will.

  • Directional Growth: Direction toward which the residential section of a city is destined or determined to grow.

  • Discount: An amount deducted from the face amount of a loan.

  • Discount Points: Prepaid interest demanded by lender when loan is negotiated. A premium paid for the privilege of borrowing at the stated interest rate.

  • Documentary Transfer Tax: Tax collected when a deed is recorded. Stamps are affixed to the deed.

  • Dominant Tenement: The land that is benefited by an easement appurtenant.

  • Dower: The right that a wife has in her husband's estate at his death.

  • Earnest Money: Deposit accompanying an offer.

  • Easement: Created by grant or agreement for a specific purpose, an easement is the right, privilege or interest that one party has in the land of another.

  • Economic Life: The period over which a property will yield a return on the investment, over and above the economic or ground rent due to land.

  • Economic Obsolescence: A loss in value due to factors outside the subject property, but adversely affecting the value of the property.

  • Economic Rent: The reasonable rental expectancy if the property were available for renting at the time of it valuation.

  • Effective age of Improvement: The number of years of age that is indicated by the condition of the structure.

  • Effective Gross income: The maximum rent from income property minus vacancies.

  • Effective Interest Rate: Percentage of interest that is actually being paid by the borrower for the use of the money.

  • Egress: Means of leaving/exiting the property.

  • Emblements: Growing annual crops. The right of a tenant farmer to harvest his crop after his lease expires.

  • Eminent Domain: The right of government to acquire property for necessary public use by condemnation; the owner must be fairly compensated.

  • Encroachment: Trespass: the building of a structure or construction of any improvements partly or wholly on the property of another.

  • Encumbrance: Anything that affects or limits the fee simple title to property, such as mortgages, easements or restrictions of any kind. Liens are special encumbrances that make the property security for the payment of a debt or obligation, such as mortgages and taxes.

  • Endorsement: The signature of the payee on the back of a negotiable instrument.

  • Equitable Title: The title held by a vendee under a land contract.

  • Equity: The interest or value that an owner has in real estate over and above any liens.

  • Equity Redemption: The right to redeem property during the foreclosure period.

  • Erosion. The wearing away of land by the action of water, wind or glacial ice.

  • Escalation: The right reserved by the lender to increase the amount of the payments and/or interest upon the happening of a certain event.

  • Escheat: The reverting of property to the state when heirs capable of inheriting are lacking.

  • Escrow: The deposit of instruments and funds with instructions to a third neutral party to carry out the provisions of an agreement or contract.

  • Estate: As applied to real estate, the term signifies the quantity of interest, share, right and equity, of which riches or fortune may consist, in real property.

  • Estate at Sufferance: Estate of a tenant after his right to possess the property has ended.

  • Estate for Life: A freehold estate, not of inheritance, but which is held by the tenant for his own life or the life or lives of one or more other persons.

  • Estate for Years: An interest in lands by virtue of a contract for the possession of them for a definite and limited period of time. A lease may be said to be an estate for years.

  • Estate in Fee: A fee estate. The greatest degree of ownership of real property.

  • Estate of will: The occupation of lands and tenements by a tenant for an indefinite period, terminable by one or both parties.

  • Estimated Remaining Life: Period of time (years) it take for the improvements to become valueless.

  • Estoppel: Doctrine that bars one from asserting rights that are inconsistent with a previous position or representation.

  • El Al: And others.

  • Et Ux: And wife.

  • Eviction: Putting out a tenant when his right to possess the property has ended.

  • Exception : Withholding part of a property when it is conveyed.

  • Exclusive Agency Listing : Written instrument giving one agent the right to sell property for a specified time, but reserving the right of the owner to sell the property himself without the payment of a commission.

  • Exclusive Right to Sell Listing: Written agreement between owner and agent giving agent the right to collect a commission if the property is sold by anyone during the term of his agreement.

  • Exculpatory Clause: A clause that releases the landlord from liability due to injuries.

  • Execute: To complete, to make, to perform, to do, to follow out; to execute a contract is to perform the contract to follow out to the end, to complete.

  • Executed Contract: Where both parties have completely performed.

  • Executor: Person named in a will to carry out its provisions as to the disposition of the estate of a person deceased.

  • Extended Coverage : A broad form title insurance policy that protects the owner against additional risks.

  • Federal Housing Administration: Federal agency that insures lenders making F.H.A. loans.

  • Federal Notional Mortgage Association : "Fanny Mae". A secondary money market that buys and sells existing loans to stabilize the money market.

  • Fee: An estate of inheritance in real property.

  • Fee Simple : In modern estates, the terms "fee" and "fee simple" are substantially synonymous.

  • Fee Simple Absolute: Fee simple ownership with no qualifications or limitations.

  • Fee Simple Defeasible: Fee simple ownership with a condition that, if broken, could result in loss of title to the property.

  • Fiduciary : A person in a position of trust and confidence, as between principal and broker.

  • Financing Statement : The instrument that is filed in a loan on personal property in order to give public notice of the security interest and thereby protect the interest of the secured parties in the collateral.

  • Finder's Fee: Fee paid to a person for information.

  • Fixtures: Items attached to the land or improvements, that usually cannot be removed without agreement, and, therefore, they become real property; plumbing fixtures, items built into the property, etc.

  • Foreclosure: Procedure whereby property pledged as security for a debt is sold to pay the debt in event of default in payments or terms.

  • Forfeiture: Loss of money or anything of value due to failure to perform.

  • Freehold Estate : A fee simple or life estate.

  • Frontage: Land bordering a street.

  • Front Foot: Property measurement for sale or valuation purposes; the property measured by the front foot on its street line - each front foot extending the depth of the lot.

  • Functional Obsolescence: A loss of value due to adverse factors from within the structure that affect the utility of the structure.

  • Future Benefits: The anticipated benefits the present owner will receive from his property in the future.

  • General Lien: A lien that affects all property of a person.

  • General Partnership: Partnership where all partners can participate in management and liability.

  • Gift Deed: A deed for which the consideration is love and affection and where there is no material consideration.

  • Graduated Lease: Lease that provides for a varying rental rate.

  • Grant: Technical term made use of in deeds of conveyances of lands to impart a transfer.

  • Grant Deed: Deed conveying the title. It has two implied warranties.

  • Grantee: The purchaser; a person to whom a grant is made.

  • Granting Clause: The action clause of a grant deed.

  • Grantor: Seller of property; one who signs a deed.

  • G.R.I.: Graduate, Realtors Institute.

  • Gross Income: Total income before any expenses are deducted

  • Gross Rent Multiplier: A figure, which, times the gross income of a property, produces an estimate of value of the property.

  • Ground Lease: An Agreement for the use of the land only, sometimes secured by improvements placed on the land by the user.

  • Ground Rent: Earnings of improved property credited to earnings of the ground itself after allowance is made for earnings of improvements, often termed economic rent.

  • Guarantee of Title: Opinion of title condition backed by a fund to compensate in case of negligence. A forerunner of title insurance.

  • Hard Money Loan: the borrower receives actual cash and not just credit.

  • Hereditaments: Anything capable of being inherited.

  • Highest & Best Use: Appraisal phrase meaning that use which, at the time of an appraisal, is most likely to produce the greatest net return to the land and/or buildings over a given period of time.

  • Holder in Due Course: One who has taken a note, check or bill of exchange in due course: 1. Before it was overdue; 2. In good faith and for value; 3. Without knowledge that is has been previously dishonored and without notice of any defect at the time it was negotiated to him.

  • Holographic Will: Will entirely handwritten and signed by the testator.

  • Homestead: Home upon which the owner or owners have recorded a Declaration of Homestead, protects home against judgments up to specified amounts.

  • Hypothecate: To give a thing as security without the necessity of giving up possession of it.

  • Implied: Presumed or inferred rather than expressed.

  • Impounds: A trust -type account established by lenders for the accumulation of funds to meet taxes, FHA mortgage insurance premiums, and/or future insurance policy premiums required to protect the lenders security. Impounds are usually collected with the monthly mortgage payments.

  • Improvements: Things built on land that becomes a part of the real property.

  • Income Approach: One of the three methods in the appraisal process; an analysis in which the estimated income from the subject residence is used as a basis for estimating value.

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