Mike Shrader | Global Partners Group of eXp

Real Estate Lingo Explained

4B/2B — four bedrooms and two bathrooms. “Bedroom” usually means a sleeping area with a window and a closet, but the definition varies in different places. A “full bathroom” is a room with a toilet, a sink and a bathtub. A “three-quarter bathroom” has a toilet, a sink and a shower. A “half bathroom” or powder room has only a toilet and a sink.

assum. fin. — assumable financing

Closing Costs: This has different meanings in different states, in some states a real estate transaction is not consider “closed” until the documents record at the local recorder which is the public official who keeps records of transactions that affect real property in the area, sometimes known as a “registrar of deeds” or “county clerk,” s office, in others, the “closing” is a meeting where all of the documents are signed and money changes hands, costs — the entire package of miscellaneous expenses paid by the buyer and the seller when the real estate deal closes. These costs include the brokerage commission, mortgage which is a legal document that pledges a property to the lender as security, that is, the property that will be pledged as collateral for a loan, for payment of a debt, instead of mortgages, some states use first trust deeds,-related fees, escrow or attorney’s settlement charges, transfer tax which is state or local tax payable when title passes from one owner to another, is, recording fees, title insurance and so on. Closing costs are generally paid through escrow.

CMA — comparative market analysis or competitive market analysis. A CMA is a report that shows prices of homes that are comparable to a subject home and that were recently sold, are currently on the market or were on the market, but not sold within the listing period.

Contingency — a provision of an agreement that keeps the agreement from being fully legally binding until a certain condition is met. One example is a buyer’s contract which is an oral or written agreement to do or not to do a certain thing, dual right to obtain a professional home inspection before purchasing the home.

dk — Most often refers to a deck

Expansion pot’l — expansion potential mean that there’s extra space on the lot or the possibility of adding a room or even an upper level, subject to local zoning restrictions.

Fab Pentrm — fabulous pentroom, a room on top (but under the roof) that has great views

FDR — formal dining room

Fixture — anything of value that is permanently attached to or a part of real property which is land and appurtenances, including anything of a permanent nature such as structures, trees, minerals, and the interest, benefits, and inherent rights thereof, . (Real estate is legally called “real property,” while movables are called “personal property.”) Examples of fixtures include installed wall-to-wall carpeting, light fixtures, window coverings, landscape, that is, adjustable rate mortgages have fluctuating interest rates, but those fluctuations are usually limited to a certain amount, those limitations may apply to how much the loan may adjust over a six month period, an annual period, and over the life of the loan, and are referred to as “caps,” some arms, although they may have a life cap, that is, for an adjustable-rate mortgage (arm), a limit on the amount that the interest rate can increase or decrease over the life of the mortgage, allow the interest rate to fluctuate freely, but require a certain minimum payment which can change once a year, there is a limit on how much that payment can change each year, and that limit is also referred to as a cap and so on. Fixtures are a frequent subject of buyer and seller disputes. When in doubt, get it in writing.

Frplc, fplc, FP — fireplace

Gar — garage (garden is usually abbreviated as “gard.”)

Grmet kit — gourmet kitchen

HDW, HWF, Hdwd — hardwood floors

Hi ceils — high ceilings

In-law potential — potential for a separate apartment, subject to local zoning restrictions

Large E-2 plan — this is one of several floor plans available in a specific building

Listing — an agreement between a real estate broker and a home owner that allows the broker to market and arrange for the sale of the owner’s home. The word “listing” is also used to refer to the for-sale home itself. A home being sold by the owner without a real estate agent, that is, a person licensed to negotiate and transact the sale of real estate, isn’t a “listing.”

Lo dues — low homeowner’s association dues. But find out how “low” the dues are compared to other dues in the area.

Lock box — locked key-holding device affixed to a for-sale home so real estate professionals can gain entry into the home after obtaining permission from the listing agent

Lsd pkg. — lease which is a written agreement between the property owner and a tenant that stipulates the payment and conditions under which the tenant may possess the real estate for a specified period of time parking area. May come with additional cost.

MLS — Multiple Listing Service. An MLS is an organization that collects, compiles and distributes information about homes listed for sale by its members, who are real estate brokers. Membership isn’t open to the general public, although selected MLS data may be sold to real estate listings Web sites. MLSs are local or regional. There is no MLS covering the whole country.

Nr bst schls — near the best schools

Pot’l — potential

Pvt — private

Pwdr rm — half bathroom or powder room

Title Insurance — an insurance policy that protects a lender, that is, a term which can refer to the institution making the loan or to the individual representing the firm, for example, loan officer which is also referred to by a variety of other terms, such as lender, loan representative, loan “rep,” account executive, and others, the loan officer serves several functions and has various responsibilities: they solicit loans, they are the representative of the lending institution, and they represent the borrower to the lending institution’s are often referred to as “lenders” or owner’s interest in real property from assorted types of unexpected or fraudulent claims of ownership. It’s customary for the buyer to pay for the lender’s title insurance policy.

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