Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
19 Cards in this Set
- Front
- Back
|
Lease fee estate |
Estate held by landlord |
|
|
Reversionary estate |
One of two estates held by landlord |
|
|
Leasehold estate |
Non or less than freehold estate held by tenant |
|
|
Subordination clause |
Allows lender to evict the tenant in the event of foreclosure |
|
|
Nondisturbance agreement |
Accompanies a subordination clause to ensure lender does not cancel any leases |
|
|
Option to Buy |
Tenant has the option to buy during a certain time frame while renting |
|
|
Lease Purchase |
The tenant is obligated to complete the purchase at some future specified time |
|
|
The right of first refusal |
If the landlord does decide to sell, they must first offer to the tenant |
|
|
Gross lease |
Tenant pays a flat fee and landlord pays all piti and repairs |
|
|
Net lease |
Tenant pays fixed rent plus operating expenses |
|
|
Step up lease |
Rent increases in predetermined amounts |
|
|
Index lease |
Periodic rent adjustment based on changes in a designated economic index |
|
|
Escalator lease |
Rent increases tied to operating costs |
|
|
Percentage lease |
Fixed base rent plus a percentage of gross sales (or gross/net profit) |
|
|
Ground lease |
Rent unimproved land with permission for the tenant to develop |
|
|
Sale-leaseback |
The seller becomes the tenant and the buyer becomes the landlord |
|
|
Occupancy agreement |
Allows the buyer to move in before closing or the seller to move out after closing without creating a landlord-tenant relationship |
|
|
Constructive eviction |
If landlord violated warranty of habitability the tenant can abandon the property and stop paying rent |
|
|
Condemnation clause |
Specifies all proceeds be paid to the landlord in the event of eminent domain |
