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378 Cards in this Set
- Front
- Back
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Zoning |
An act of the city or county authorities by exercise of police power in regulating, controlling or specifying the type of use to which the property may be put in specific area |
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Zone |
An area set aside for specific use, subject to certain restrictions or restraints; also part of tax map desciption. |
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Yield |
The return on an investment; the amount of profit made as a percentage of the amount invested. |
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Writ of execution |
A writ or court order authotrizing and directing an officer of the court to carry out the judgement or decree of the court |
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Wraparound Mortgage |
Methods of financing in which a new mortgage of wrapped around an existing first mortgage, placed in a secondary position; an all-inclusive mortgage |
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Waste |
Improper use of damage by one in possession such as tenant or vendee. |
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Warranty Deed |
A deed in which the grantor fully warrants a good clear title to the property; a deed that contains convenants of title. |
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Waive |
To relequish, or abandon; the abondonment of some claim or right. |
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Voluntary Lien |
Any lien placed on property with consent of, or as a result of, the voluntary act of the owner, e.g., a mortgage. |
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Voidable |
That which is capable of being adjudged void, but is not void unless actiion is taken to make it so; able to be voided. |
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Void |
To have no force or effect; that which is unenforceable. |
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Veterans Administration (VA) Also, Dept. or Veteran Affairs (DVA) |
An agency of the Federal Government, whose activities include guaranteed repayment of certain loans in the event of default. |
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Vested Interest |
A present right or title to realty, but with possession delayed to some uncertain time in the future. |
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Verify |
To confirm or substantiate by Oath |
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Venue |
The geographic area in which a court has legal jurisdiction. |
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Vendor |
The seller |
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Vendee |
The purchaser; buyer |
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Variance |
Permission obtained from zoning auhthorities permitting the construction of a building or structure that is forbidden by present zoning ordinances; a departure from the current zoning regulation. |
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Variable Rate Mortgage |
Mortgage in which interest rate will fluctuate depending on terms of mortgage |
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Valuation |
The estimated value of property |
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Valid |
Having binding force; legally sufficient, authorized by law. |
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Usury |
Charging a rate of interest on a loan greater than that permitted by law. It is presently 12% on personal loans. |
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Upset Price |
The minimum price at the forclosure sale below which the property cannot be sold. |
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Unmarketable Title |
A title containing substantial defects that might cause a prospective purchaser to suffer title litigation and possible loss |
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United States Government Survey System |
A method of describing or locating real property by reference to the governmental survery; rectagular survey system. |
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Unilateral Contract |
A contract whereby only one party is obligated to perform his obligation to another. |
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Uniform standards of professional Appraisal Practice |
A self regulated orginization of professional appraisers, promoting high standards in appraisal practices. |
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Undivided Interest |
Title to property owned by two or more persons, none of whom are entitled to claim or possess any specific part. |
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Truth-In-Lending |
A federal law that lets borrowers know the exact cost of obtaining credit; a disclosure devise. |
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Trustee |
One who holds property in trust for another to secure the perfomance of an obligation |
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Trust in deed |
A deed given by borrower to trustee to be held pending fulfillment of an obligation |
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Transfer Certificate of title (TCT) |
The land court registration document assigned to a property. |
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Transact |
To conduct business affairs; to carry out, to perform or manage. |
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Trade Fixture |
Articles of personal property annexed to real property, but which are necessary to the carrying on of a trade and are removeable by the owner or tenant when he leaves; Also, tenant's fixture. |
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Tort |
A negligent or intentional wrong; a wrongful act; violation of legal act. |
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Topography |
The nature of the surface of land |
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Title Insurance |
A policy of insurance that indemnifies the holder for loss sustained by reason of a defect in the title, provided the loss does not result from a defect excluded by the policy provisions. |
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Title |
Evidence that the owner of land is in lawful possession thereof; ownership. |
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TIme sharing |
A form of multiple ownership in which pruchasers buy specific time periods for use of the property represented by tenancy in common |
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Time is of the essence |
The requirement of punctual performance; a time period that may not be extended. |
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Testator |
One who leaves a will in force at his death |
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Testate |
To die with a will |
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Trespass |
A wrongful invasion of land by one having no lawful right to enter |
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Testament |
The written declaration of one;s last will |
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Tenements |
All rights in land that pass with a conveyance of the land |
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Tender |
To offer; to present |
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Tenant's Fixture |
Articles of personal property annexed to real property, but which are necessary to the carrying on of a trade and are removable by the owner or tenant when he leaves; Also, tenant's fixture. |
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Tenancy in Common |
Ownership by two or more persons who hold individed interest, without right of survivorship. Upon the death or one tenant, his interest goes to his heirs. Interests need not be equal, and each owner is possessed of the whole of an undivided part. |
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Tenancy For Years |
Leasing of a property for a fixed period of time. |
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Tenancy By The Entirety |
Leasing of a property for a fixed period of time. |
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Tenancy By The Entirety |
A tenancy held by husband and wife giving each the equal right to possession and enjoyment during their joint lives, along with the right to sole ownership upon the death of either partner. |
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Tenancy At Will |
Possession and occupancy of land terminate at the will of either party. |
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Tenancy At Sufferance |
A tenancy arising when the tenant wrongfully holds over after the expiration of his term. The landlord has the choice of evicting the tenant or accepting him for a similar term and under the conditions of the previous holding. |
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Tax Sale |
A sale of property, usually at auction, for non-payment of assessed taxes. |
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Tax Deed |
A deed for property sold by a government unit for non-payment of taxes. |
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Take-Out Financing |
Permanent of long-term financing of individual condominium units for their respective buyers. |
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Tacking |
To attach on to another adverse possesor's time. |
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Syndication |
Multiple ownership of an investment, usually inthe form of a limited partnership. |
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Survey |
The process by which a parcel of land is measured and its area ascertained. |
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Surrender |
The cancellation of a lease by an act of mutual consent of lessor and lessee. |
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Surrender |
The cancellation of a lease by an act of mutual consent of lessor and lessee. |
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Summary Possession |
When for good reason a landloard may terminate a lease and the tenant must appeat and show cause why he should not be evicted. Also called Dispossess Proceeding or Unlawful Detainer. |
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Subrogation
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The substitution of one person in place of another with reference to a lawful claim, demand or right, so that he succeeds to such rights of the other.
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Subordination Clause
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A clause in a mortgage or lease stating that the rights of the holder shall be secondary or subordinate to a subsequent encumbrance.
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Sublease
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A lease given by a lessee for a portion of the unexpired balance of his term.
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Sub-agent
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An agent working under the main agent, such as a salesperson for a listing broker.
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Straw Man
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One who purchases property for another to conceal the identity of the real purchaser; a dummy pruchaser; a nominee.
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Step-Up Lease
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A lease with fixed increases at stated intervals, or increases based upon periodic appraisals at stated times; graduated lease, graded lease.
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Steering
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Directing prospective buyers or tenants into or away from certain ares on discrimination grounds.
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Statute of Limitations
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Laws setting forth the period of time in which suit can be brought for a particular act.
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Statute of Frauds
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State law requires among other things that certain contracts relaing to real estate must be in writing to be enforcable at law.
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Statute
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A law established by an act of the legislature.
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Specific Performance
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A remedy that the court will grant in certain cases, compelling the defendant to perform or carry out the terms of a valid, existing agreement or contract.
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Special Warranty Deed
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A deed in which the grantor warrants or guarantees the title only against defects arising during his ownership and not against defects before the time of his ownership.
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Special Assessment
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An assessment generally made against only those specific parcels of realy directly benefiting from the improvement.
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Special Agent
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One authorized to perform limited specific functions.
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Sky Lease
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A lease of space above a piece of real estate.
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Single Agency
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The brokerage practice of representing only one party to a real estate transaction, either the buyer or the seller, never both.
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Simple Interest
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Interest computed upon the declining balance of a particular amount; as principal declines so does the interest payment.
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Short Sale
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A sale where the seller's net proceeds do not bring in an amount substantial enough to cover the amount owed on the mortgage.
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Severange Damages
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Damages paid to an owner when his property has been partially taken by condemnation, thus reducing the highest and best use of the remaining land.
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Severalty
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Sole or independent ownership.
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Setback
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An ordinance prohibiting the erection of a building or structure between the curb and other established line and the setback line; the distance a house must be set back from the street in accordance with local zoning rules.
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Serviant Estate
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An estate of land over which an easement exists in favor of the dominant estate; servient tenement.
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Septic Tank
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An underground tank in which sewage from the house is reduced to liquid by bacterial action and drained off.
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Seisin
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Possession of real property by one entitled thereto; a warranty that at the time of delivery of a deed, the grantor actually has the right and capacity to convey good legal title; also seizen.
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Security Deposit
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A deposit made to assure performance of an obligation, usually by a lessee.
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Section
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A section of land established by government survey containing 640 acres, or 1 square mile. Also, a portion of a taz map description.
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Secondary Mortgage Market
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The marketplace for the sale and purchase of existing mortgages.
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Second Mortgage
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One that is recorded after a first mortgage, thus secondary in priority.
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Satisfaction of Mortgage
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An instrument used when a lien is paid off and satisfied on the records; also called satisfaction piece.
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Sandwich Lease
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A leasehold interest of a sublessor that lies between the primary lease (owner) and the operating lease (user).
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Sale & Leaseback
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The sale & subsequent leasing back by the seller-lessee.
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Running with the Land
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A convenant that extends beyond the original parties to an agreement and binds all subsequent parties.
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Royal Patent
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The instrument of original grant of sovereign lands in Hawaii to individuals.
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Riparian Rights
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The right of a landowner to the use of water on or adjacent to his land.
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Right of Way
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An easement or right of passage over another's land.
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Right of Elections
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The right of a surviving spouse to 1/3 of the net probate estate of the deceased spouse.
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Rider
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An addition, addendum or endorsement annexed to a document; it should be signed or initialed.
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Revocation
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The act of recalling some agreement. power or interest previously given.
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Reversionary Interest
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A present right to future possession of an estate.
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Reversion
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The residue of an estate left to the grantor or his heirs after termination of all prior estates and interests; the right of a lessor to recover possession of leased property upon the termination of the lease, with all subsequent rights to use and enjoy the property.
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Reverse Annuity Mortgage
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A mortgage whereby the lender makes a monthly payment to the mortgagor, thereby giving him extra money for living expenses, but reducing his equity.
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Restrictive Convenant
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A limitation on the use of a property placed in a deed; a private restriction.
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Restriction
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A clause in a deed or other written instrument limiting the use to which the property may be put.
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Reserve Account
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See Customer Trust Fund, or Impound Account.
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Reservation
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A right retained by a grantor in conveying property.
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Rescission Clause
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A clause occasionally found in an agreement of sale which requires the seller to return all of the buyer's payments less costs and a fair rental value in the event the buyer defaults.
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Rescission
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The annulling. revocation, or repealing of a contract by mutual consent of the parties, or for cause by either party to the contract, and returning the parties to their original position (the "status quo").
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Recind
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To annul; cancel.
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Rendered
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Furnished, presented; performed; made.
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Remainderman
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The one in whom an estate vests after termination of a prior estate.
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Remainder Estate |
An estate created by single grant sumiltaneously with another which vests with a third party after termination of the prior estate; such as a life estate. |
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Reliction |
Gradual recession of water from the usual watermark. |
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Release of Mortgage |
The instrument given by the mortgagee to the mortgagor indicating descharge of the mortgage, stating that the obligation has been fulfilled and the debt paid off. |
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Release
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The relinquishment or surrender of a right, claim, or interest.
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Reformation
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An action to correct a mistake in a deed or other document.
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Refinance
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To obtain a new loan to pay off an existing mortgage or agreement of sale.
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Reduction Certificate
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A certificate showing the unpaid balance of a mortgage, the interest, and the maturity date. Used when a prospective purchaser is going to assume a mortgage ot take title subject to an existing mortgage. It is given by the mortgagee to the assignee.
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Redlining
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A practice by lending institutions restricting the number of loans that will be underwritten in a given community. The practive is illegal if based on the racial composition of a community.
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Redemption
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The right of an owner to redeem or reclaim property by paying the debt after default, together with interest and costs, and before sale at foreclosure. Statutory right of redemption refers to the right in some states (but not Hawaii), to redeem the property after foreclosure or other enforcement action, during a certain period of time specified by statute.
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Recording
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The act of writing or entering an instrument into a book of public records, which constitutes notice to all persons of the rights or claims contained in the instrument; often called contructive notice.
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Reconveyance
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A conveyance to the landowner of the title held by a trustee under a deed of trust.
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Reciprocal Beneficiaries
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Where by following strict rules, people who couldn't otherwise marry are given certain rights of those who can.
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Receiver
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A court appointed custodian who holds property for the court, pending final disposition of the matter before the Court.
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Recapture Rate
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A factor used in the cpaitalization approach to value to estimate the return of the investment.
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Realtor-Associate
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A salesperson that works for a Realtor and belongs to the local Board of Realtors.
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Realtor
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A broker who belongs to NAR.
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Reality of Consent
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A contract in which the parties enter knowingly, voluntarity, with no represnetation, duress or mistake.
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Ready, Willing & Able
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A person who is prepared, financially able, and willing to enter into a binding contract.
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Ratification
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The approval or confirmation by one person, of an act or contract performed or entered into on his behalf by another, who at the time lacked authority to act as his agent.
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Quorum
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A majority of the entire body; minimum needed to legally conduct a meeting.
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Quitclaim Deed
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A deed containing no warranties or covenants, which relinquished any interest, title or claim in property the grantor may have, if any.
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Quiet Title
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A court action brought to establish title or to remove a cloud on the title; an action clearing tax titles or titles based upon adverse possession.
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Quiet Enjoyment
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The right of an owner or tenant legally in possession to the use of property without interference from the landlord, or grantor, or anyone claiming through him.
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Qualified Fee
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An estate in fee simple bound by limitations imposed by the grantor.
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Purchase Money Mortgage
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A mortgage on property given by a buyer, either to the seller or to a third party in order to secure a portion of the purchase price.
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Purchase Contract
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The Hawaii Association of Realtors standard form pruchase agreement.
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Prospectus
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A printed statement distributed to describe and advertise a new business venture, a real estate project or stock issue.
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Prorate
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To divide or distribute proportionately; to divide monies, usually at time of closing, proportionately between the seller and buyer.
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Proprietorship
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A business held by a person who has legal title or exclusive right thereto.
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Proprietary Lease
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A lease in a cooperative apartment between the owner-corporation and the tenant-stockholder.
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Promulgate
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To publish, announce or declare.
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Procuring Cause
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The cause of a series of events that leads to the consummation of a sale.
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Probate
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An action of the court to determine the validity and legality of a last will and testament.
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Principal
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The employer of an agent or broker; a sum of money owed as a debt upon which interest is calculated, not spelled Principle.
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Prime Rate
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The miminum interst rate charged by a bank on short term loans to its best clients.
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Primary Money market
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The source of loan funds available directly to borrowers, whether for first or second morgages; loan originations.
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Prima Facie Evidence
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Evidence which is good and sufficient on its face ("at first view") to establish a given fact or case, unless rebutted or contradicted.
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Prescription
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An easement or title obtained by possession for a prescribed period; prescriptive rights.
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Prepayment Clause
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The clause in a mortgage or note stating the penalty, if ay, for mayment before it actually becomes due.
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Power of Sale
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A provision in a mortgage permitting the lender, upon borrower's default, to sell the secured property at public auction without need to have a court foreclose.
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Power of Attorney
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A written instrument authorizing a person (an attorney in fact) to act as the agent on behalf of another to the extent indicated in the instrument.
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Police Power
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The inherent right of a government to enact such legislation as may be deemed necessary to protect and promote the health, safety and general welface of the public, such as zoning.
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Points
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See Discount Points
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Plottage
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The land increment produced by combining smaller individually owned plots into a large tract under a single ownership; see assemblage.
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Plat Field Book
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A public record containing facts pertaining to land.
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Plat
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A plan or map of certain piece or pieces of land.
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Planned Unit Development
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A development and zoning concept that is designed to produce a high density of dwelling units with mazimum utilization of open spaces. Also called Planned Development Housing (PDH).
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Plan Manager
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A person who undertakes the duties, responsibilites and obligations of managing a timeshare plan.
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Plain Language
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hawaii law requiring certain contracts (under 25, 000) and leases to be written in ordinary, everyday, non-legal language.
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Piggy-Back Loan
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One lender originates loan, another joins in as co-operating lender, with neither junior; one property, two lenders.
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Pertinent
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Relevant; applicable
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Personal Property
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Any property not real property; personalty.
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Periodic Tenancy
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A lease running from period to period, such as week-to-week, or month-to-month.
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Performance Bond
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A bond that provides assurance of the completion of an undertaking in accordance with an agreement, such as that supplied by a contractor guaranteeing the completion of a building project.
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Percentage Lease
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A lease of property in which the rental is based upon the volume of gross sales made on the leased premises.
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Payment Bond
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The part of a performancer bond that assures the owner that material and labor furnished in the construction of the building will be fully paid for and no mechanic's liens will be filed.
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Patent
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A conveyance for the transfer of title to land owned by the government; land patent.
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Party Wall
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A wall erected on the line between adjoining properties that are under separate ownership, for the use of both owners.
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Partnership
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A contract between tow or more persons to carry on as co-owners of a business, and to share the profits in certain proportions.
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Partitian
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Court proceedings by which co-owners of commonly owned property seek to sever their common ownership; not with tenancy by entirety.
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Parties (Party)
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Those entities taking part in a transaction as a principal, e.g.; seller, buyer, or lender in a real estate transaction.
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Partial Taking
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The taking of a portion of a piece or property through condemnation.
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Parol Evidence
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Verbal or written testimony which precedes a written contract.
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Parol
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oral; verbal
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Panic Peddling
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Creating an atmosphere of fear in persuading owners to sell; a discriminatory act.
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Package Mortgage
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A mortgage commonly used in subdivision developments whereby chattels such as appliances are "packaged" into the mortgage along with the real property.
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Over Improvement
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An improvement which is not the highest and best use for the site on which it is placed, usually by reason by excess size or cost.
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Ordinance
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A legislative enactment of a city or county, such as zoning.
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Option
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A right given for consideration to purchase or lease a property upon specified terms within a specified times. Purchaser is the optionee.
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Open Listing
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A listing given to any number of agents without liability to compensate any except the one who first procures a buyer ready, willing and able to meet the terms of the listing.
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Open-End Mortgage
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A mortgage containing a clause which permits the mortgagor to borrow additional money up to the original amount of the loan oafter the loan has been reduced, without rewriting the mortgage. Not to confuse with open mortgage, which is any mortgage with no payment penalty.
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Ohana Zoning
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Amends the Comprehensive Zoning Code by permitting a second dwelling unit on certain residentially zoned lots, thus providing immediate and less expensive housing alternatives.
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Offer
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A promise by one party to act in a certain manner provided the other party will act in the manner requested. In a real estate sales contract, the offer to purchase realty according to certain stipulated terms and conditions.
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Obsolescence
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Functional obsolescence or lack of desirability in terms of layout, style and design as compared with that of a new property serving the same funtion; economic obsolescence or a loss in value from causes in the neighborhood, but outside the property itself.
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Novation
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The substituting of a new obligation for an old one (as in a Va substitution).
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Notice to Quit
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Notice to a tenant to vacate.
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Notice of Nonresponsibility
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A notice provided by law designed to relieve a property owner from responsibilityfor the cost of work done on the property or materials furnished therein; usually applicable when a leesee contrats to have work performed. Not applicable in Hawaii.
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Note
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A written instrument acknowledging a debt and promising payment.
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Nonconforming Use
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A use which is contrary to zoning laws, but which is permitted because the use was allowed before the zoning law came into effect; a grandfather clause.
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Nominal Consideration
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One bearing no relation to the real value of the contract. An example is a property deeded for $10,000.
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Net Listing
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A listing which provides that the agent may retain all sums received over and above a net price to the owner as compensation for his services.
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Net Lease
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A lease in which the tenant pays rent for occupancy, plus maintenance and operation expenses, and usually including taxes and insurance.
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Net Income
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With reference to property, the sum derived after a vacancy allowance and expenses have been deducted from the gross income; generally described as net income before depreciation, and usually defining the income a property will earn in a normal year's operation (net operating income).
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Negotiate
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To transact business; to arrange terms of a contract.
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Negotiable Instrument
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A written instrument signed by its maker or drawer, containing an unconditional promise to pay a certain sum of money; can be passed freely from one person to another.
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Navigable Waters
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Those bodies of water that are capable of being used for public transportation.
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National Association of Realtors (N.A.R.)
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A professional organization of real estate professionals; only brokers who are members of local real estate boards are entitles to use the trademart name "Realtor", salespeople are called "Realtor-Associates."
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Multiple Listing Service (M.L.S.)
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An arrangement among brokers whereby they share their listings.
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Mud Tunnel
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Passageway for subterranean termites.
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Mortgagor
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The party who borrows money and gives a mortgage on the property as security for his obligation to repay the debt.
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Mortgagee
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The party who lends money and accepts a mortgage to secure the payment of the debt.
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Mortgage Broker
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A person or firm that acts as an intermediary between borrower and lender.
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Mortgage Banker
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A corporation or firm which makes, delivers and services mortgage loans.
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Mortgage
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An instrument in writing which, when recorded, created a lien upon property pledged as security for the repayment of a debt or obligation.
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Monument
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A fized object and point established by surveyors to establish land locations; includes not only artificial objects such as posts and fences, but also natural objects such as trees, mountains and water courses.
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Misrepresentation
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A false statement of a material fact made with the intent to induce some action from another party.
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Minor
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One tenth of one cent. Used in some states to compute property taxes.
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Military Clause
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A clause inserted in some leases to allow the military tenant to terminate the lease in case of transfer, discharge or other circumstances.
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Mile
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A linear measurement of distance equal to 1,760 yards, 5,280 feet, or 1,608 meters.
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Metes and Bounds
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A method of describing or locating real property; metes are measures of length and bounds and boundaries; a description starting with a well-marked poing ot beginning and follwoing the boundaries of the land until it returns once more to the poing or beginning.
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Merger of Title
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The absorption of one estate into another.
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Mechanic's Lien
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A lien which exists against real property in favor of persons who have performed work or furnished materials for the improvement of real estate.
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Material Fact
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A fact is material if it is one which the agent should realize would be likely to affect the judgment of the principal in giving his or her consent to the agent to enter into the particular transaction on the specified terms.
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Market Value
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The highest price a ready, willing and able buyer, not forced to buy, will pay to a ready, willing and able seller not forced to sell, allowing a reasonable time for exposure in the open market.
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Marketable Title
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Title free and clear of objectionale liens or encumbrances; title which is free from reasonable doubts or defects, which can be readily sold or mortgaged.
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Marginal Land
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Land which barely pays the cost of working or using.
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M.A.I.
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Designates a person who is a member of a professional appraisal organization.
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Lock-in
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An agreement between a borrower and a lender, whereby the lender agrees to lock in an interest rate, or points for a period of time, when the rate is in a state of flux and might change.
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Loan Commitment
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A commitment by a lender as to the amount he will loan to a qualified borrower on a particular piece of real estate.
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Listing
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A written employment agreement between a property owner and a broker authorizing the listing broker to sell, lease or exchange the realty.
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Lis Pendens
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A legal document giving constructive notice that an action at law is pending; a notice of pending litigation.
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Liquidated Damages
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An amount of pre-determined by the parties to an agreement that will be forteited as compencation for breach of contract.
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Limited Partnership
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A partnership composed of general and limited partners whose contribution and liability are limited and specifically defined.
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Limited Liability Company
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A newer form of ownership besides proprietorship, partnership, corporation, etc.: Similar to a corporation, but no perpetual existence and single taxation.
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Limited Common Element
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In a condominium, those common elements reserved for the use of a certain apartment, or certain apartments, to the exclusion of other apartments.
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Life Estate
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An estate or interest in real property held for the duration of the life of a certain person. Upon the expiration of that life, the estate will automatically be vested in a remainderman or reversioner.
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Lien Letter
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A limited title search issued to cover Land Court property in Hawaii.
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Lien
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A right, given by law, whereby a creditor may satisfy a debt out of the proceeds of the sale of real or personal property belonging to the debtor; an encumbrance, usually naming property as security for payment of a debt or for the discharge of an obligation.
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License
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A personal privilege to perform some act on the land of another.
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Liber
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Books that contain public records such as copies of deeds.
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Leverage
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The use of borrowed funds in financing, with the anticipation that the property aquired will increase in return so that the investor will realize a profit, not only on his own investment, but on the borrowed funds as well.
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Less Than Freehold
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A lease; a leasehold estate.
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Lessor
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An owner who enters into a lease with a tenant.
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Lessee
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One who rents property under a lease contract.
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Legal Description
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A description, recognized by law that will definately locate and identify property.
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Legacy
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An estate or right in real property held under a lease by the lessee.
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Leased Fee
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The landlord-owners interest in the demised premises; valued as the rent plus the reversionary interest.
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Lease
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A contract whereby the lawful owner of the property transfers his rights of use and posession to another for a specified term.
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Lateral Support
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The support that the soil of an adjoining owner gives to his neighbor's land.
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Latent Defect
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A hidden structural defect in real estate; known to the seller byt not the buyer and not discoverable by mere observation.
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Landmark
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A monument or object used to establish the boundary line of a property.
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Landlord Tenant Code (LTC) |
A Hawaii state law outlining the rights, obligations and remidies of a residential landlord and a tenant. |
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Land Use Ordinance |
County code which sets forth zoning regulations for the county. |
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Land Trust |
A device to hold title to land in a trust with the beneficial ownership held by the landowner. |
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Land Patent |
An instrument conveying government owned lands to individuals. |
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Land Court |
A court designated to preside over the registration of land under the Torrens system; the court which is used to verify title. |
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Land Contract |
ee Agreement of Sale |
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Laches |
Delay or negligence in asserting one's legal rights. |
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Junior Mortgage |
A mortgage that is subordinate to prior existing mortgage on the same realty. |
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Junior Lien |
A subordinate lien |
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Judgment |
The final determination of the rights and liabilities of the parties by a court in an action before it. |
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Joint Venture |
A joining of two or more people in a specific business enterprise; similar to a partnership, and generally with no intention of a conitnuing relationship beyond the original purpose. |
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Joint Tenancy |
Ownership by two or more persons with rights of survivorship, all joint tenants own equal interests and have equal rights in the property; each owner is possessed of an undivided part of the whole. |
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Irrevocable |
Incapable of being recalled or revoked; unchangeable. |
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Involuntary Lien |
A lien imposed against property without consent of an owner; e.g., taxes, special assessments, federal income tax liens, etc. |
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Intestate |
Incapable of being recalled or revoked; unchangeable. |
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Interim Financing |
A short term loan obtained to cover financing of the construction of a building. |
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Inter Vivos |
During one's life, between living persons; from one living person to another. |
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Instrument |
A written legal document |
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Institute of Real Estate Management (IREM) |
An organization acting as an exchange for management ideas, and recognizing achievement in the field. Has a Code of Ethics for real estate managers. |
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Installment Contract |
A contract that provides for payment of a purchase price in installments; an agreement of sale. Also called installment land contract or installment sale. |
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Injunction |
A writ or order issued under the seal of a court to restrain one or more parties from performing an act which is deemed to be inequitable or unjust in regard to the rights of some other party. |
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Consideration
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Valuable consideration, a promise or an act of legal value bargained for,and received in return for a promise; good consideration, love and affection. |
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Condominium Ownership |
the individual outright ownership of a single unit in a multi-unit property together with an interest in the common elements of the property |
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Condition Precedent
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Where a condition needs to happen prior to the transfer of property. |
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Conditional Fee |
A fee based on a subsequent condition |
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Condemnee |
One whose property is condemed. |
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Condemnation |
The process by which property of a private owner is taken for public use, with just compensation to the owner, under the right of eminent domain. |
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Compound Interest |
Interest paid both on the original principal and on interest accrued for the time it fell due. |
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Community Property |
Property accumulated and owned in common through joint efforts of husband and wife during their marriage. Hawaii is not a community property state. |
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Common Profit |
The The balance of all income, rent, profits and revenues from the common elements remaining after the deduction of the common expenses in a condominium. |
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Common Law |
Law that have evolved from general usage and legally established through court decision. |
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Common Interest |
The percentage of undivided interest in the common elements of a building appertaining to each apartment in a condominium. |
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Common Expense |
In a condominium, the expenses of operation; all sums designated as such by the declaration or by-laws. |
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Common Element |
Under condominium ownership, the land and all parts of the building normally used by all owners for their mutual convenience or safety. |
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Commitment |
A pledge promise; an agreement. |
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Commission |
An agent's compensation for performance of the duties of his agency; in real estate practice; a percentage of the selling price of the property, or percentage of rentals, etc. |
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Commingling |
Mixing a clients money with personal funds. |
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Color of Title |
That which appears to be a good title but is in fact not a good title, such as title held under a defective deed. |
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Collateralized Loan |
A loan secured by property; unlike a debenture. |
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Codicil |
A supplement or addition to a will that adds to, subtracts from, alters, revokes, or qualifies the provision of a will. |
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Cloud on Title |
Any conditions revealed by a title search which may affect or impair the owner's title to property because of the apparent of probable validity. |
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Closing Statement |
A statement of settlement makde by a broker or an escrow company that reflects the financial position of the buyer or seller in that particular real estate transaction. |
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Closing |
The time when a transaction is consummated, or the actual signing over of the documents and delivery of the deed; the time after signing when the documents are recorded. |
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Cite |
To quote as authority or an example; to call to attention or enumerate. |
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Chattel Mortgage |
Personal property mortgage. |
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Chattel |
Personal property that is tangible and movable; personalty. |
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Chain of Title |
A sequential history of the conveyances, encumbrance, and records of ownership to a piece of property through the years from the original grant to the present; the succession of owners as revealed through the public records. |
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Certified Property Manager |
A designation awarded to those who have taken courses in property management.
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Certificate of Title
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Issued by Title company, it assures good title as required by buyer.
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Certificate of No Defense
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An instrument executed by the mortgagor and attesting to its validity; esstopel certificate.
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CC&R's
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Stands for covenants, conditions and restrictions.
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Caveat Emptor
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Let the buyer beware; buyer must examine the goods or property and buy at his own risk.
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Capitalization Rate
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The relationship or ratio between the net income from a real estate investment and the value of the investment, usually expressed as a percentage; the rate of interest which is considered a reasonable return on the investment, plus the recapture rate which computes a return of the investment.
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Capitalization
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The act of converting future income into current equivalent value.
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Buy-down
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The one time, non-refundable prepayment of a portion of the interest of a loan to subsidize reduced monthly payments
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Bureau of Conveyances
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The Hawaii state office which houses all legal documents relative to title to both land court and regular system property recorded since 1848; located in Honolulu.
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Bundle of Rights
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Ownership concept in real estate that embraces the rights possession, use, enjoyment, and disposition.
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Bulk Sales Transfer
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Any transfer of a major part of the materials, inventory or supplies of an enterprise not in the ordinary course of the seller's business.
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Building Restrictions
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Limitations on the use of property or the size and location of improvements established by legislation or by covenant deeds.
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Building Owners and Managers Association(BOMA)
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A professional organization made up of property owners and managers. Part of Building Owners and Managers Institute (BOMI)
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Building Codes
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Rules established by local governments to regulate construction standards.
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Budget Mortgage
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A mortgage with payment that covers principal and interest, plus taxes, fire insurance, lease rent, etc.
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Broker
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A licensed person who negotiates the purchase and sale of real estate of another.
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Breach of Contract
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Violation of any of the terms or conditions of a contract; default;non-performance.
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Boot
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the payment to satisfy the difference in equities in an exchange, which maybe cash, personal property, note, financing, or anything of agreed upon value.
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Bona Fide
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Acting in good faith; without fraud; genuine.
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Block Interest
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Interest computed on the original face amount and which remains the same as the principal declines.
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Blockbusting
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The discriminatory practice of encouraging members of one race or creed to move into a neighborhood, then exploiting the situation by persuading residents to sell their houses at deflated prices because of alleged social deterioration of the neighborhood.
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Blanket Mortgage
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One mortgage covering two or more specific parcels of realty.
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Binder
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An agreement to cover a down payment for the purchase of real estate on the part of the part of the purchaser;shows the receipt of deposit and outlines the basic terms of the transaction.
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Bill of sale
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A written instrument that passes title of personal property from seller to buyer.
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Bilateral Contract
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A contract in which both parties have reciprocal obligations toward each other.
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Biennial
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Something that occurs every two years
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Biannual
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Something that occurs twice a year
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Bequeth
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The giving of personal property by will
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Beneficiary
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A person who receives and benefits from the gifts or acts of another; one who receives the proceeds from a will,insurance policy, or trust; the lender in deed of a trust.
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Benchmark
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A natural or unnatural permanent reference mark or point established for use in measuring differences in elevation.
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Before and After Method
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An appraisal method used in condemnation cases where there has been a partial taking of property.
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Basis
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The original cost of property plus value of any improvement put in by the seller, minus the depreciation taken by him.
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Baseline and Meridian
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Imaginary lines used by surveyors in locating and describing lands under the rectangular survey method. The north-south line is the meridian and the east-west line is the base line. Used mostly in mid-western states.
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Bargain and Sale Deed
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A deed used to convey title to real property, which usually does not include warranties, if any they are generally an assertion by the grantor that he has possession of the property.
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Bankruptcy
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A condition of financial insolvency in which a person's liabilities exceeds his assets, and he is unable to pay his debts.
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Balloon Payment
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The final installment payment on a note that is greater that the preceding installment payments and pays the note in full.
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Avulsion
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The sudden removal of land of one owner and depositing on the land of another when a stream changes its channel.
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Attorney In Fact
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One who is authorized to perform certain acts for another under a power of attorney.
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Attestation
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The act of witnessing in writing another's execution of an instrument; to affirm to be true or genuine.
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Attachment
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The act of taking realty by judicial order and placing it with in the custody of the court.
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Assumption of Mortgage
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Taking of title property by assuming liability for payment of an existing note secured by a mortgage.
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Assignment
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The method or manner by which a right, or contract is transferred from one person to another.
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Assignor
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A party who assigns or transfers an agreement or contract to another.
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Assignee
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The person to whom an agreement or contract is transferred.
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Assessment
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A charge against the real estate made by a unit of government or a condo association to cover the proportionate cost of the improvement.
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Assemblage
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Putting together two or more properties to form a large parcel. To be distinguished from plottage, which is the resulting value.
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As - Is
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A phrase indicating the the property is sold in its present conditions with no warranties.
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Appurtenance
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That which has been added to a property, which becomes an inherent part of the property and will pass with it when conveyed; includes improvements.
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Appreciation
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An increased value of property due to economic or or related causes which may prove to be either temporary or permanent.
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Appraisal Institute
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A professional organization of appraisers
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Appraisal by Market Comparison
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An appraisal of property through the examination and comparison actual sales of comparable properties. Also called "comparable".
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Appraisal by Cost Approach
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Estimating the value of a piece of property by adding to the estimated land value the estimate of the replacement cost or reproduction cost the building less depreciation. Also called summation or reproduction cost approach.
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Appraisal by Capitalization
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Determine the value of property by by dividing net annual income that the capitalization rate. Used on income producing property.
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Appraisal
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An estimate of value of real estate; the report stating and supporting the estimated value of realty.
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Anti-Trust Laws
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Federal and State laws prohibiting conduct that interferes with business competition, such as price fixing, group boycotts,and tying agreements.
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Annuity
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A sum of money that constitutes a series of periodic payments.
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Annual Percentage Rate(APR)
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The effective annual cost of credit calculated on the basis of procedures specified by Regulation Z (Truth-in-Lending)
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Annexation
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The act of attaching, adding, joining, or uniting one thing to another.
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Anchor Tenant
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A major tenant in a shopping center that serves as a magnet to attract customers to the center.
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Amortization
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The gradual paying off of a debt on an installment basis
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Americans with Disabilities Act
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An act protecting the rights of persons with physical or mental disabilities from discrimination in employment, public services and public accommodations; also requires certain buildings to meet strict design standards;employers must make accommodations in employment and training.
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American Society of Appraisers (ASA)
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A professional organization of appraisers
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American Land Title Association(ALTA)
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An extended coverage title insurance policy usually protecting the mortgagee against loss due to error in public record.
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Alluvion
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That increase of soil on a shore bank or a river as a result of accretion.
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Allegation
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The assertion or declaration of a party setting out what he expects to prove.
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Alienation
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The transferring of real property from one person to another; to transfer
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Air Rights
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The rights vested by a grant of an estate in real property to all or any portion of the space above a property.
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Agreement of Sale
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A written agreement in which the buyer agrees to buy certain realty and the seller agrees to sell upon terms and conditions set forth therein. Title remains with the seller until terms and condition are fulfilled; buyer has equitable title; there are two closings
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Agency
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The legal relationship resulting from and agreement that the agent if authorized by a principal to perform certain acts on his behalf of the principal in dealing with a third party.
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Affidavit
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A statement reduced to writing and sworn to before a notary public or some other authorized officer
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Adverse Possession
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The means of acquiring title to land against the real owner, where possession has been actual, open, hostile,exclusive, continuous, and under claim of right for the statutory period of 20 years
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Ad Valorem
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Tax according to valuation
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Administrator's Deed
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A deed given by and Administrator
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Administrator
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A person appointed by the court to administer the estate of a deceased person who died intestate, or left no will; a personal representative.
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Adjoining Owner
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One whose property is contiguous to another; to be next to.
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Actual Authority
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the authority that a principal intially gives his agent
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Accrued Depreciation
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In appraisal, any loss of utility that causes the actual value of a property to be less that the reproduction cost new.
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Acre
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4,840 sq yardsor 43,560 sq ft
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Acknowledgement
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A formal declaration made before a notary public or an other authorized person, by a person who has executed an instrument, that his execution is his free act and deed
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Accretion
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Gradual additions to land, by deposits of sand or soil, by bordering waters through natural causes
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Accession
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Acquisition of property by its joining or union with other property
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Access Right
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The right of a property owner to have ingress and egress to and from his property.
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Acceleration Clause
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A clause in a mortgage or agreement of ale stating that upon default of payment due, immediate and full payment of the balance of the obligation become due and payable.
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Accredited Property Manager
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One awarded such a designation by the Institute of Real Estate Management(IREM)
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Abutting Owner |
An owner whose land touches a highway or other public place. |
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Abstract Of Title |
A condensed history or digest of the title to a parcel of land consisting of a summary of every recorded instrument, together with a statement of all liens, charges or encumbrances affecting title to that land. |
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Abstract |
A disclosure statement to initial condo purchasers. |
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Abandonment |
The relinquishment of all rights and title with no intention of reclaiming ownership. |
