REAL ESTATE GLOSSARY

A commercial lease where the tenant pays base rent plus all property taxes, insurance, and maintenance costs, with the landlord having minimal responsibilities.

A major, creditworthy tenant in a commercial property that attracts other tenants and provides stable income.

The transfer of lease rights, either fully (assignment) or partially (subletting), to another party.

The starting rental rate in a commercial lease, used as a baseline for calculating future rent increases.

The fee paid to real estate brokers for facilitating a commercial lease transaction.

Funds provided by the landlord to help pay for tenant improvements and build-out costs.

Charges paid by tenants for the maintenance and upkeep of common areas in a commercial property.

A provision in a commercial lease allowing a tenant to terminate if an anchor tenant or other major tenant vacates.

Benefits or incentives offered by a landlord to attract tenants, such as free rent, allowances, or services.

A commercial lease where the tenant pays base rent plus property taxes and insurance, with the landlord responsible for structural maintenance.

A provision in a commercial lease prohibiting the landlord from leasing to competing businesses in the same property.

A provision in a commercial lease giving the tenant the right to lease additional space in the property at specified terms.

A provision in a commercial lease limiting the landlord's responsibility for operating expense increases beyond a specified threshold.

Money provided by the landlord to help pay for finishing and furnishing a leased space.

A period during which a tenant does not pay rent, often provided as an incentive or to allow time for build-out.

A lease where the tenant pays a fixed rent, and the landlord covers property expenses like utilities.

An agreement where the tenant rents the land and may build on it but does not own the land.

A provision requiring landlord approval for certain tenant actions, such as subleasing or alterations.

The date on which a lease officially begins and rent payments start.

The date on which a lease officially ends and the tenant's right to occupy the space terminates.

An agreement to extend the term of an existing lease beyond its original expiration date.

The process of discussing and agreeing on lease terms between landlord and tenant.

A provision allowing a tenant to extend the lease for an additional term at specified terms.

The length of time for which a lease is in effect, typically measured in months or years.

A commercial lease combining elements of gross and net leases, with the tenant paying base rent and a portion of operating expenses.

Property taxes, insurance, and maintenance costs that tenants pay in addition to base rent under a triple net lease.

A lease where the tenant pays base rent plus a share of property operating expenses.

An agreement protecting a tenant's lease rights in the event of a landlord's foreclosure or default.

A provision allowing the landlord to pass through increases in operating expenses to tenants.

A commercial lease where rent is based on a percentage of the tenant's gross sales.

A provision in a commercial lease giving the tenant the right to renew the lease at a predetermined rate or terms.

A commercial lease where the tenant pays base rent plus property taxes, with the landlord covering insurance and maintenance.

A provision in a lease allowing a lender's mortgage to take priority over the tenant's lease rights.

A document signed by a tenant confirming the lease terms, rent amount, and that there are no defaults.

A specified amount of money the landlord provides to help the tenant pay for improvements to their leased space.

The maximum amount the landlord will contribute toward tenant improvements and build-out costs.

The combination of different types of tenants in a commercial property, strategically selected to create a balanced and profitable mix.

A commercial lease where the tenant pays base rent plus property taxes, insurance, and maintenance costs.

A mortgage with an interest rate that changes periodically based on market conditions, typically starting with a lower initial rate that adjusts after a fixed period.

The process of paying off a loan through regular installment payments over a specified period, with each payment including both principal and interest components.

A fee charged for a professional property valuation conducted by a licensed appraiser.

A large lump-sum payment due at the end of a loan term, typically used in loans where periodic payments do not fully amortize the debt.

A short-term loan used to finance a property until permanent financing is secured.

Fees and expenses incurred during the purchase or sale of a property.

A secondary applicant who shares responsibility for a mortgage or loan.

An agreement where the buyer pays for a property in installments while the seller retains the title until full payment is made.

A numerical rating (typically 300-850) that represents a borrower's creditworthiness based on credit history, payment patterns, and outstanding debt.

The cash required to cover loan payments including principal and interest.

A financial metric that compares a borrower's total monthly debt payments to their gross monthly income, used by lenders to assess borrowing capacity and creditworthiness.

A partial upfront payment made when purchasing a property, usually a percentage of the total price.

A deposit made by a buyer to show serious intent to purchase a property.

A financial arrangement where a third party holds funds until conditions are met.

An account held by a third party (usually a title company or lender) to hold funds during a real estate transaction until all conditions are met.

A mortgage loan insured by the Federal Housing Administration, designed to help borrowers with lower credit scores or down payments as low as 3.5%.

A mortgage where the interest rate remains constant throughout the loan term, providing predictable monthly payments.

A short-term loan secured by real property, often used by investors.

A revolving credit line secured by a property, allowing homeowners to borrow as needed.

A loan structure where borrowers pay only interest for a specified period, with principal payments deferred to later in the loan term, commonly used in commercial real estate.

A mortgage loan exceeding the conforming loan limits set by Fannie Mae and Freddie Mac, typically for high-value properties.

Specific criteria and documentation that borrowers must meet to qualify for a loan, set by individual lenders or loan programs.

A temporary reduction or suspension of loan payments, typically granted by lenders to borrowers experiencing financial hardship.

A change to the terms of an existing loan, often negotiated to help borrowers avoid foreclosure or obtain better terms.

The process of creating a new loan, including application, appraisal, underwriting, and approval.

The process of replacing an existing loan with a new loan, typically to obtain better terms, lower interest rates, or access equity.

A financial metric comparing the loan amount to the property's appraised value, used by lenders to assess risk.

A financial metric comparing the loan amount to the property's appraised value, used by lenders to assess risk and determine down payment requirements.

A loan secured by real property used to finance the purchase of a property.

A loan situation where payments are insufficient to cover interest, causing the principal to increase over time.

A loan where the lender's only recourse for repayment is the property itself, not the borrower's personal assets.

A fee charged by a lender for processing and approving a loan.

A transaction where the property seller provides financing to the buyer instead of the buyer obtaining a traditional mortgage.

Insurance protecting the lender if the borrower defaults on a mortgage with less than 20% down payment.

Insurance protecting the lender if the borrower defaults on a mortgage with less than 20% down payment.

A loan where periodic payments do not fully pay off the principal, leaving a balloon payment at the end.

A limit on how much a borrower's payment can increase during an ARM loan period.

Fees paid to a lender at closing, with each point equal to 1% of the loan amount.

Fees paid to a lender at closing, with each point equal to 1% of the loan amount, used to reduce the interest rate.

A preliminary assessment by a lender indicating the amount a borrower is qualified to borrow.

A preliminary assessment by a lender indicating the amount a borrower is qualified to borrow based on financial information.

An initial assessment of a borrower's financial situation to estimate borrowing capacity.

An initial assessment of a borrower's financial situation to estimate borrowing capacity without formal verification.

A fee charged by a lender if a borrower pays off a loan before the maturity date.

The interest rate charged by banks to their most creditworthy customers, serving as a benchmark for other rates.

The original amount of money borrowed in a loan, separate from interest.

An agreement with a lender to hold a specific interest rate for a set period during the loan process.

The process of replacing an existing loan with a new loan, typically to obtain better terms or access equity.

A loan allowing homeowners to convert home equity into cash, typically used by seniors.

A transaction where the property seller provides financing to the buyer.

A mortgage offered to borrowers with lower credit scores or higher risk profiles, typically with higher interest rates.

The length of time for which a loan or lease is in effect.

Insurance protecting a property owner or lender against losses from title defects or ownership disputes.

A mortgage loan guaranteed by the U.S. Department of Agriculture, designed for rural property purchases with favorable terms for eligible borrowers.

The process by which a lender evaluates a borrower's creditworthiness and the property's value.

The detailed evaluation of a loan application, including credit analysis, property appraisal, and income verification.

A mortgage loan guaranteed by the U.S. Department of Veterans Affairs, available to eligible veterans and active-duty service members with favorable terms including no down payment.

A loan with an interest rate that changes over time based on market conditions.

A financing arrangement where a new mortgage encompasses an existing mortgage, with the buyer making payments to the seller.

The estimated market value of a property after all planned repairs, renovations, and improvements have been completed, commonly used by real estate investors and house flippers to determine potential profitability of investment properties.

The increase in a property's value over time.

The strategy of distributing investments across various asset classes to manage risk.

A strategy for acquiring, improving, and leveraging rental properties.

An unlicensed person who locates potential real estate investment opportunities for investors or wholesalers, earning fees or commissions for finding undervalued properties, distressed sellers, or off-market deals.

A real estate investment approach where properties are purchased and held long-term.

Pooling funds from multiple investors to purchase real estate projects.

Property owners forced to sell due to financial hardship, often needing to sell quickly and potentially at below-market prices.

The thorough investigation process conducted before purchasing or investing in a property.

A strategy where properties are purchased, renovated, and sold for a profit.

A partner who assumes full liability for partnership debts and has authority to make binding decisions on behalf of the partnership.

A property purchased to generate rental income or profits from appreciation.

Real estate purchased primarily for earning rental income or appreciation.

A partner with limited liability who invests capital but does not actively manage the partnership.

A lease agreement where an investor leases an entire property from the owner and then subleases individual units to tenants.

Income generated from investments with minimal active involvement from the investor.

A development strategy where a property is built or improved in phases over time.

Capital invested in private companies or properties, typically by institutional investors.

A company that owns, operates, or finances income-producing real estate, allowing investors to own real estate without direct property management.

A property owned for the purpose of generating rental income.

A transaction where a property owner sells a property and then leases it back from the buyer.

A sale of a property for less than the outstanding mortgage balance, typically to avoid foreclosure.

An investment made with the expectation of significant price appreciation rather than steady income.

Value added to a property through the owner's personal labor and effort rather than cash investment.

A real estate investment structure where multiple investors pool capital to purchase large properties.

A property that is fully renovated and ready for immediate occupancy or income generation.

A property with potential for increased value through improvements, better management, or market conditions.

The discounted price at which a wholesaler purchases a property for resale.

Adherence to the Americans with Disabilities Act requirements for accessible facilities and accommodations.

Legal requirements for making properties accessible to people with disabilities, including ramps, elevators, and accessible bathrooms.

A dispute resolution process where an impartial third party makes a binding decision outside of court.

An illegal practice of inducing property owners to sell by claiming that people of a certain race are moving into the neighborhood.

Legal restrictions on how a property can be used, typically recorded in the deed or in a separate document.

A formal notice requesting payment or action from a tenant, often preceding legal proceedings.

Legal obligations to disclose specific information to buyers or tenants, such as property condition or environmental hazards.

Actions that treat people differently based on protected characteristics, which are illegal in housing.

Animals that provide comfort to people with disabilities or mental health conditions, with varying legal protections in housing.

The legal process by which a landlord removes a tenant for violating lease terms.

Federal law prohibiting discrimination in housing based on protected characteristics.

Federal law prohibiting discrimination in housing based on protected characteristics such as race, color, religion, sex, and national origin.

Illegal discriminatory practices in housing, including refusal to rent, differential terms, or harassment.

A required disclosure indicating whether a property is located in a flood zone.

The legal process in which a lender takes ownership of a property due to unpaid debt.

A person who guarantees payment if the tenant fails to pay rent.

A required disclosure providing information about homeowners association fees, rules, and restrictions.

Monthly or annual fees paid by property owners to the homeowners association for maintenance and services.

Rules and limitations imposed by a homeowners association on how properties can be used or modified.

An organization that governs properties in a community and collects fees for maintenance and services.

A legal doctrine requiring landlords to maintain properties in livable condition.

A legal term meaning each tenant is responsible for the entire rent amount.

A required disclosure about the presence or absence of lead-based paint in properties built before 1978.

A required disclosure about the presence or absence of mold in a property.

A required disclosure providing information about the condition of a property and any known defects.

Groups of people protected from discrimination in housing, including race, color, religion, sex, national origin, disability, and familial status.

A required disclosure about radon testing and mitigation in a property.

Modifications to rules, policies, or facilities to allow people with disabilities to use and enjoy a property.

An illegal practice of denying services or charging higher prices based on the racial or ethnic composition of an area.

Government regulations limiting the amount landlords can charge for rent.

The process of a lender taking back a property due to borrower default.

Animals trained to perform specific tasks for people with disabilities, which have special legal protections in housing.

An illegal practice of directing people to or away from certain properties based on protected characteristics.

A written document attached to a lease that modifies or supplements the original agreement.

The legal process of acquiring ownership of property through open, continuous, and exclusive possession for a statutory period.

A property sold or rented without warranties and in its current state, with the buyer/tenant accepting all existing defects.

A disagreement between property owners about the location of property lines or boundaries.

A document certifying that a property complies with building codes and is safe to occupy.

A legal document establishing ownership of a property.

A legal document used in some states instead of a mortgage to secure a real estate loan.

A legal document similar to a mortgage used in some states to secure a real estate loan.

A legal right to use another's property for a specific purpose, such as access or utility lines.

A disagreement about the scope, use, or validity of an easement on a property.

The unauthorized extension of a structure or use onto a neighboring property.

A document verifying the terms and conditions of a tenant's lease.

A contractual right giving a party the option to enter a transaction before others.

A condition in a real estate contract allowing the buyer to back out based on property inspection results.

A type of property ownership where two or more people share equal ownership rights.

A lien placed on a property as a result of a court judgment for unpaid debt.

A binding contract between landlord and tenant outlining rental terms.

A tenant's right to occupy a property for a specific period under a lease.

A formal property description used in official records.

A legal claim against a property for unpaid debts or obligations.

A legal claim against a property for unpaid debts or obligations.

A contract between a property owner and a real estate agent or broker to list and sell the property.

A legal claim filed by contractors or suppliers for unpaid work or materials on a property.

A legal claim filed by contractors or suppliers for unpaid work or materials on a property.

A legal document representing a borrower's promise to repay a mortgage loan.

A legal document representing a promise to pay a debt.

A legal document outlining the management structure and operating procedures of a business entity like an LLC.

The legal framework determining how a property is owned, such as sole proprietorship, partnership, or corporation.

A business structure where two or more people share ownership and management responsibilities.

A legal document representing a borrower's written promise to repay a loan.

A legal document representing a borrower's written promise to repay a loan.

The division of property expenses between buyer and seller based on the closing date.

A binding contract outlining the terms and conditions of a property purchase.

A legal proceeding to resolve disputes about property ownership or remove clouds on the title.

A legal document transferring whatever interest the grantor has in a property without warranties.

The return of property title to an owner after a debt secured by the property has been paid off.

The process of filing property documents with the appropriate government office to create a public record.

A contract between a landlord and tenant outlining the terms of occupancy.

The cancellation of a contract, returning parties to their original positions.

A contractual right giving a party the option to enter a transaction before others.

A borrower's right to reclaim a property after foreclosure by paying off the debt.

A legal right to pass through another's property.

A legal right to pass through another's property, typically for access or transportation.

A document confirming that a mortgage loan has been paid in full.

A legal document giving a lender a security interest in property to secure a loan.

A lien that has priority over other liens on a property.

A business structure where one person owns and operates the business.

A legal remedy requiring a party to fulfill their contractual obligations.

A lease agreement where a tenant leases part or all of their rental property to another tenant.

A lien that has lower priority than other liens on a property.

A provision in a loan agreement allowing a new lien to take priority over an existing lien.

A professional measurement and mapping of a property's boundaries and features.

A deed issued when a property is sold at a tax foreclosure sale.

A legal claim against a property for unpaid property taxes.

A legal claim against a property for unpaid property taxes.

The legal right to occupy and use a property.

A form of joint property ownership available to married couples with survivorship rights.

A form of property ownership where two or more people own a property with separate, undivided interests.

Legal ownership of a property.

Insurance protecting a property owner or lender against losses from title defects.

A thorough examination of public records to verify a property's ownership and identify any liens or claims.

A legal document similar to a mortgage used in some states to secure a real estate loan.

A person or entity holding legal title to property for the benefit of another.

A filing with the Secretary of State to perfect a security interest in personal property or fixtures.

A legal right allowing utility companies to access and maintain infrastructure on a property.

The process of acquiring ownership rights to a property.

A contract or agreement that is invalid and unenforceable.

A voluntary relinquishment of a known right or claim.

A deed in which the grantor guarantees the title is clear and free of liens.

A group of naturally occurring fibrous minerals once commonly used in building materials that poses serious health risks when disturbed, requiring specialized handling, testing, and removal procedures governed by strict regulations.

A test to detect the presence of asbestos in building materials.

Adherence to local building codes and regulations that establish construction and safety standards.

Upgrades or renovations to a property that increase its value or utility.

Major repairs or replacements of property systems that extend the useful life of the property.

A document certifying that a property meets specific regulatory requirements or standards.

A document certifying that a property complies with building codes and is safe to occupy.

An evaluation of a property's overall condition and the status of its systems and components.

The process of hiring, supervising, and paying contractors for maintenance and repair work.

Repairs made to fix problems or damage to a property.

The visual attractiveness of a property when viewed from the street.

Maintenance and repairs that have been postponed, often resulting in increased costs and property deterioration.

Urgent repairs required to address issues that threaten health, safety, or property integrity.

Urgent repairs required to address issues that threaten health, safety, or property integrity.

A professional inspection of a residential property to identify structural, mechanical, and safety issues.

A condition in a real estate contract allowing the buyer to back out based on property inspection results.

A detailed document describing the condition of a property and any defects or needed repairs.

A test to detect the presence of lead-based paint or lead contamination in a property.

A record of all maintenance and repairs performed on a property.

A planned schedule of maintenance tasks to be performed at specific intervals.

An inspection to detect the presence of mold in a property.

The legal requirements for obtaining permits before performing construction or renovation work.

An inspection to detect the presence of pests such as termites, rodents, or insects.

Regular maintenance performed to prevent problems and extend the life of property systems and components.

A detailed inspection of a property by a qualified professional to assess condition and identify issues.

A professional examination of a property to assess its condition and identify any problems.

A test to measure radon levels in a property, which can pose health risks.

The ongoing upkeep of a property to maintain its condition and functionality.

Regular, recurring maintenance tasks such as cleaning, landscaping, and filter changes.

A property prepared and decorated to appeal to potential buyers or renters.

An inspection focusing on the structural integrity of a property, including foundation, framing, and roof.

Upgrades or modifications made to a rental property to suit a tenant's needs.

A professional inspection to detect termite damage or infestation.

Normal deterioration of a property due to ordinary use.

A formal request for maintenance or repairs to be performed on a property.

Expenses associated with maintaining shared areas of a property.

An organization that governs properties in a community and collects fees for maintenance and services.

A detailed list of a property's contents and condition at move-in and move-out.

A type of insurance policy protecting landlords from property damage and loss of rental income.

Funds set aside for property repairs and maintenance.

Costs incurred in operating a property, including utilities, maintenance, insurance, and property taxes.

The mean price of homes sold in a specific market during a specific period.

A market condition where supply and demand are relatively equal, resulting in stable prices.

A market condition where there are more properties for sale than buyers, giving buyers more negotiating power.

The frequency of criminal incidents in a specific area, which affects property values and desirability.

The number of days a property has been listed for sale or lease.

The study of population characteristics such as age, income, education, and family status.

The potential for a property or area to be developed or redeveloped for higher-value uses.

Statistics that reflect the overall health and direction of the economy, affecting real estate markets.

The average or median income of residents in a specific area.

The rate at which the general level of prices for goods and services increases over time.

The current level of interest rates and expectations for future rate changes.

The rate at which employment increases in a specific area or industry.

The rate at which available properties are sold or leased in a given market during a specific period.

The recurring pattern of real estate market conditions moving through expansion, peak, contraction, and trough phases.

A prediction of future market conditions based on historical data and economic indicators.

A condition where the market has an excess supply of properties relative to demand.

The middle price point in a list of home prices, where half are higher and half are lower.

An evaluation of a neighborhood's characteristics, including schools, amenities, safety, and property values.

The rate at which a population increases or decreases in a specific area.

A property valuation metric calculated by dividing the property price by its total square footage.

The direction and rate of change in property prices over time.

The distance and accessibility to shopping, dining, entertainment, and recreational facilities.

The performance and reputation of schools in a neighborhood, which affects property values.

A market condition where there are more buyers than properties for sale, giving sellers more negotiating power.

The fundamental economic principle where property prices are influenced by the availability of properties and the number of buyers.

The availability and quality of public transportation and proximity to major roads and highways.

The percentage of the labor force that is unemployed and actively seeking work.

A rating of how walkable an area is, based on proximity to amenities and pedestrian-friendliness.

The collection of features and services offered to tenants, such as pools, fitness centers, parking, and laundry facilities.

An investigation into a potential tenant's criminal history and rental history.

A strategy where landlords or property owners offer tenants money to vacate a property voluntarily and promptly.

Shared spaces within a property, like lobbies or hallways, accessible to all tenants.

The upkeep and repair of shared spaces in a multifamily property, including hallways, lobbies, and recreational areas.

A situation where a landlord's failure to maintain habitability standards effectively forces a tenant to vacate.

A review of a tenant's credit history to assess their financial responsibility and payment reliability.

The time allowed for a tenant to remedy a lease violation before eviction proceedings begin.

Rent payments that are overdue and unpaid by the tenant.

The average rent collected after factoring in promotions or concessions.

A formal legal notice informing a tenant that they must vacate a property, typically the first step in the eviction process.

The layout and design of a rental unit showing the arrangement of rooms and spaces.

A legal action to remove a tenant from a property, used when a tenant refuses to leave after being asked.

Legal requirements that rental properties must meet to be considered safe and suitable for human occupancy.

A tenant who remains in possession of a property after their lease has expired.

A legal doctrine requiring landlords to maintain properties in livable condition with functioning utilities and structural integrity.

The process of confirming a tenant's income to ensure they can afford the rent.

Funds paid to a landlord or previous tenant to secure a rental unit.

A charge imposed by a landlord on a tenant for paying rent after the due date.

A failure to fulfill obligations under a lease agreement, which can result in legal action.

A landlord's decision not to renew a tenant's lease at expiration, typically requiring advance notice.

The percentage of tenants who renew their leases rather than moving out at lease expiration.

A breach of the terms and conditions outlined in a lease agreement by either the landlord or tenant.

A final inspection of a rental unit when a tenant vacates to assess damage and determine security deposit deductions.

A formal notice requiring a tenant to fix a lease violation or vacate the property within a specified timeframe.

A formal notice informing a tenant that they must vacate a property by a specific date.

The percentage of rental units in a property that are occupied by paying tenants.

Unpaid rent owed by a tenant for previous rental periods.

The process of collecting rental payments from tenants, including managing late payments and delinquencies.

A formal notice informing a tenant of an increase in rent at lease renewal or as allowed by law.

A detailed list of all rental units, tenants, lease terms, and rental rates for a property.

A detailed list of all rental units, tenants, lease terms, and rental rates for a property.

Strategies and efforts to keep existing tenants satisfied and encourage lease renewals.

An illegal eviction where a landlord evicts a tenant in retaliation for exercising legal rights, such as reporting code violations.

Money held by a landlord to cover potential damage or unpaid rent from a tenant.

A disagreement between a landlord and tenant over the return of a security deposit and claimed damages.

An illegal eviction where a landlord removes a tenant without going through proper legal channels.

A quick eviction process used in some jurisdictions for non-payment of rent or lease violations.

The process of evaluating potential tenants through background checks, credit reports, and reference verification.

The percentage of tenants who move out and are replaced during a specific period.

The combination of different unit sizes and types in a multifamily property.

The combination of different unit sizes and types (studios, 1-bedroom, 2-bedroom, etc.) in a multifamily property.

A legal proceeding to recover possession of a property from a tenant who is unlawfully occupying it.

The percentage of rental units in a property that are unoccupied and available for rent.

A licensed professional authorized to represent buyers, sellers, landlords, or tenants in real estate transactions, acting as a fiduciary with legal responsibilities to their clients while handling property showings, negotiations, and paperwork.

A real estate professional with advanced licensing who may own a brokerage, supervise agents, and typically has more extensive education and experience than agents, allowing them to operate independently and receive commissions directly from clients.

A real estate company licensed to represent buyers and sellers in property transactions, typically employing multiple agents under the supervision of a broker, and providing services such as listings, marketing, transaction management, and commission distribution.

A real estate broker who finds a buyer for a property listed by another broker, working collaboratively with the listing broker to complete the transaction while representing the buyer's interests and sharing in the commission offered by the listing broker.

A professional responsible for overseeing construction projects, coordinating subcontractors, obtaining permits, and ensuring work meets building codes and quality standards for property development, renovation, or improvement projects.

A property owner who rents out their property to tenants.

A tenant who rents property from a landlord.

A landlord or property owner leasing a property to tenants.

A professional who matches borrowers with lenders and facilitates the loan process.

A lender who holds loans in their own portfolio rather than selling them to other investors.

A professional hired to manage rental properties on behalf of owners, handling tenant relations, maintenance, and finances.

A real estate agent or broker who is a member of the National Association of Realtors and adheres to their code of ethics.

A person who rents and occupies a property owned by another.

A company that issues title insurance and handles closing services for real estate transactions.

A person or company providing services or materials for property maintenance or improvement.

A real estate investor who finds undervalued properties and sells them to other investors for a profit.

Features such as pools, gyms, or parking spaces that enhance a property's comfort and appeal.

A rental unit or set of rooms within a larger building or complex.

A building or structure made from a specific type of soft sandstone, often seen in urban areas.

Real estate used for business purposes, such as offices or retail spaces.

A property type where individuals own their units within a shared building or complex.

A property ownership structure where residents own shares in a corporation that owns the building, giving them the right to occupy specific units and participate in building governance through a board of directors.

A building with two separate residential units, typically side by side or one above the other.

A property that combines residential, commercial, and/or office spaces in a single development.

A residential property with multiple units, such as apartments or condos.

Real estate designed for people to live in, including single-family homes, apartments, and condos.

A residential property designed for occupation by one family.

A multi-story residential property, typically in a row, with shared walls.

Raw land without buildings, utilities, or significant improvements.

Real estate located adjacent to water, such as a lake, river, or ocean.

Housing made available at reasonable prices for individuals with low to moderate incomes.

A property where an owner lives as their main home.

A federal housing program providing rental assistance to low-income tenants.

A tax-deferred exchange of like-kind properties allowing investors to defer capital gains taxes.

A tax method allowing property owners to deduct larger depreciation expenses in the early years of ownership, resulting in greater tax benefits upfront compared to straight-line depreciation.

A depreciation method allowing larger deductions in early years, resulting in greater tax benefits upfront.

A financial statement that reports a company's assets, liabilities, and shareholder equity at a specific point in time, providing property owners and investors with a snapshot of what they own, what they owe, and their net worth.

A tax deduction allowing businesses to deduct a percentage of the cost of qualifying property in the year it's placed in service.

Funds spent on major property improvements or repairs that add value.

The profit earned when a property is sold for more than its purchase price.

The tax owed on the profit from selling an investment property.

A structured list of all financial accounts used in an organization's general ledger, typically arranged with asset accounts first, followed by liabilities, equity, revenue, and expense accounts, serving as the foundation for organizing and tracking real estate income and expenses.

A tax strategy that accelerates depreciation deductions by segregating property components into shorter-lived asset categories.

Costs incurred in operating a rental property that can be deducted from rental income for tax purposes.

The loss of a property's value over time due to wear and tear or aging.

The tax liability that occurs when a depreciated real estate asset is sold for more than its depreciated value, requiring investors to pay taxes on previously claimed depreciation deductions at a rate up to 25%.

The tax liability that occurs when a depreciated real estate asset is sold, requiring taxes on previously claimed depreciation deductions.

A detailed breakdown of depreciation deductions claimed on a property over its useful life.

A federal tax credit for making energy-efficient improvements to residential or commercial properties.

The legal business structure chosen for owning and operating real estate investments, each with different tax implications.

Quarterly tax payments made by self-employed individuals and business owners to cover anticipated tax liability.

A 12-month period used for financial reporting and budget planning.

A federal tax credit for rehabilitating historic buildings for business or rental use.

The length of time an investment property is held, which affects capital gains tax treatment.

A tax deduction for expenses related to a home office used for real estate business activities.

The separation of a property's value into land and building components for depreciation and tax purposes.

Real estate assets that can be exchanged without incurring capital gains taxes in a 1031 exchange, where properties are considered like-kind if they're of the same nature or character, regardless of differences in grade or quality.

Real estate assets that can be exchanged without incurring capital gains taxes in a 1031 exchange.

A business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability protection of a corporation.

Meeting the IRS requirements for active involvement in a real estate activity to avoid passive activity loss limitations.

A tax deduction for interest paid on a mortgage loan for a rental or investment property.

A situation where a business's deductible expenses exceed its income, creating a loss that can be carried back or forward.

The tax distinction between regular income (taxed at ordinary rates) and capital gains (taxed at preferential rates).

A business structure where income passes through to owners' personal tax returns rather than being taxed at the entity level.

A business structure where income passes through to owners' personal tax returns rather than being taxed at the entity level.

Tax regulations limiting the deduction of losses from passive real estate activities against other income types.

An annual tax assessed on real property based on its appraised value.

A tax deduction for property taxes paid on a rental or investment property.

A reduction or elimination of property taxes for certain property types or owners.

Payments made four times per year to cover estimated income tax liability.

A tax classification allowing individuals to deduct real estate losses against other income if they meet specific requirements.

A tax classification allowing individuals to deduct real estate losses against other income if they meet specific requirements.

Tax rules limiting the amount of rental losses that can be deducted against other income types.

The tax distinction between repairs (deductible in the current year) and improvements (capitalized and depreciated over time).

Profits reinvested in a business rather than distributed to owners.

A business structure that provides limited liability and pass-through taxation for shareholders.

A tax-deferred exchange of like-kind properties allowing investors to defer capital gains taxes.

A tax provision allowing businesses to deduct the full cost of certain qualifying property in the year it's purchased.

The Social Security and Medicare taxes paid by self-employed individuals and business owners.

A depreciation method where the property value is reduced equally over its useful life.

A depreciation method where the property value is reduced equally over its useful life.

A federal tax credit for investors in qualified low-income housing projects.

A deed issued when a property is sold at a tax foreclosure sale due to unpaid taxes.

A tax strategy allowing investors to defer capital gains taxes by exchanging one investment property for another like-kind property.

The process of a government entity taking ownership of a property due to unpaid property taxes.

A legal claim against a property for unpaid property taxes or other tax debts.

A tax imposed on the transfer of property ownership.

A tax deduction for travel costs incurred for real estate investment or property management activities.

An interactive three-dimensional representation of a property allowing users to navigate through it online.

The connection of different software systems through application programming interfaces to share data and functionality.

Digital tools for managing finances, bookkeeping, and accounting for real estate businesses.

Computer systems designed to perform tasks that typically require human intelligence, used in real estate for analysis and prediction.

Technology overlaying digital information onto the real world, used for property visualization and marketing.

A computer-based system that estimates property values using algorithms and comparable sales data.

Large volumes of structured and unstructured data used for analysis and insights in real estate.

A distributed ledger technology used for secure recording of real estate transactions and property ownership.

The use of data and analytics to inform business decisions and strategy in real estate.

Software for managing interactions with clients, prospects, and partners in real estate.

The use of remote servers and internet-based services for storing and processing real estate data.

Techniques to improve the percentage of website visitors who take desired actions such as inquiries or applications.

Digital currency used in some real estate transactions as an alternative to traditional payment methods.

Measures and technologies to protect real estate data and systems from unauthorized access and attacks.

The analysis of data to extract insights and inform decision-making in real estate.

The process of extracting useful information and patterns from large datasets.

Policies and practices to protect personal information and ensure compliance with privacy regulations.

The interdisciplinary field combining statistics, programming, and domain knowledge to extract insights from data.

Online advertising methods such as pay-per-click ads and display ads for real estate marketing.

A digital storage for payment methods and cryptocurrency, used for real estate transactions.

A digital system for organizing, storing, and retrieving property-related documents.

Aerial photography of properties taken using unmanned aircraft (drones).

Unmanned aircraft used for aerial photography, inspection, and surveying of properties.

Electronic signature technology allowing documents to be signed digitally without printing or physical signatures.

The use of email campaigns to market properties and communicate with prospects and clients.

Adherence to the General Data Protection Regulation for protecting personal data of EU residents.

A digital system for mapping and analyzing geographic data related to properties and neighborhoods.

A network of connected devices and sensors that collect and share data about property conditions and usage.

The process of identifying and attracting potential buyers or renters for properties.

A database of properties listed for sale by real estate agents, providing market data and listing information.

A subset of artificial intelligence that enables systems to learn and improve from data without being explicitly programmed.

Digital tools for creating and viewing maps of properties and neighborhoods.

A software application designed for mobile devices to facilitate real estate transactions or property management.

Digital systems for processing rental payments, mortgage payments, and other real estate-related payments.

The use of data and statistical models to forecast future outcomes, used in real estate for market predictions.

Technology solutions designed specifically for the real estate industry, including software, platforms, and services.

Digital tools and platforms for managing rental properties, tenants, and finances.

A digital platform or website for buying, selling, renting, or managing real estate properties.

Techniques to improve the visibility of real estate websites and listings in search engine results.

High-resolution images of properties and areas taken from satellites, used for analysis and visualization.

A commercial or multifamily property equipped with connected systems for energy efficiency and tenant comfort.

Self-executing contracts with terms written into code, used for automated real estate transactions.

Connected devices and systems that automate and control various functions in a home or property.

The use of social media platforms to market properties and reach potential buyers or renters.

Technology that captures heat signatures to identify energy inefficiencies and structural issues in properties.

The use of video content to market properties and attract buyers or renters.

Immersive digital technology allowing users to experience properties in a three-dimensional virtual environment.

A digital representation of a property allowing potential buyers or renters to view it online.

The analysis of website data to understand visitor behavior and optimize real estate websites.

The three main methods used to value a property: sales comparison, cost, and income approaches.

The professional assessment of a property's value, typically conducted by a licensed appraiser.

The professional assessment of a property's value conducted by a licensed appraiser.

The percentage increase in a property's value over a specific period.

The valuation placed on a property by tax authorities for determining property taxes.

The valuation placed on a property by tax authorities for determining property taxes.

A metric that helps evaluate the profitability of an investment property, expressed as a percentage.

A metric used to value income-producing properties, calculated as net operating income divided by property value.

The net income generated by a property after all expenses are deducted.

A measure of a property's annual return based on the cash investment made.

A measure of a property's annual return based on the cash investment made.

Similar properties recently sold that are used to estimate the value of a subject property.

A report used to determine a property's market value based on similar properties.

A property valuation method calculating the cost to rebuild the property plus land value, minus depreciation.

A metric comparing a property's net operating income to its debt service, used by lenders to assess loan risk.

The loss in property value due to physical deterioration, functional obsolescence, or external factors.

The value of an owner's interest in a property, calculated as the difference between market value and owed debt.

The loss in property value due to external factors such as neighborhood decline or environmental issues.

The estimated rental price a property can command in the open market.

The price at which a property would sell on the open market between a willing buyer and seller.

The price at which a property would sell on the open market between a willing buyer and seller, both having reasonable knowledge of relevant facts and neither being under pressure to complete the transaction.

The loss in property value due to outdated design, layout, or features that reduce usefulness.

The total rental income collected before deducting expenses.

A valuation metric calculated by dividing property price by gross annual rental income.

A property valuation method based on the income the property generates, used primarily for investment properties.

A measure of an investment's overall profitability over time.

A measure of an investment's overall profitability over time, accounting for the timing of cash flows.

The true or fundamental value of a property based on its characteristics and income potential.

An estimate of the potential return on investment for a property.

The rental price a property can command in the current market.

The price at which a property would sell under normal market conditions between a willing buyer and seller.

A property's profitability calculated as gross income minus operating expenses, excluding debt service and taxes.

A property's profitability calculated as gross income minus operating expenses, excluding debt service and taxes.

The loss in property value due to wear and tear, age, and physical deterioration.

A property valuation metric calculated by dividing the property price by its total square footage.

A professional valuation of a property's market value conducted by a licensed appraiser.

The rate at which an investor recovers their initial investment through cash flow.

Money received from tenants for the use of a rental property.

The estimated cost to rebuild a property if it were destroyed.

The estimated cost to rebuild a property if it were destroyed.

A metric measuring the profitability of an investment, calculated as net profit divided by investment cost.

A metric measuring the profitability of an investment, calculated as net profit divided by investment cost.

A property valuation method comparing the subject property to similar properties recently sold.

A property valuation method comparing the subject property to similar properties recently sold.

The potential future value of a property based on anticipated changes or development.

An appraisal principle stating that a property's value is limited by the cost of acquiring an equally desirable substitute property.

The percentage of rental units in a property that are unoccupied.

The process of determining a property's market value.

Regulations that determine construction standards to ensure safety and functionality.

A zoning measurement of building floor space relative to the size of the property lot.

Local regulations establishing minimum standards for residential properties.

An official authorization allowing construction, renovation, or other work on a property.

A limitation on how a property can be used, often imposed through deed restrictions or zoning laws.

A zoning requirement specifying the minimum distance a building must be set back from the property line.

A zoning exception allowing a property to be used in a way that normally violates zoning regulations.

Government regulations that dictate how land and properties can be used in specific areas.

A legal exception to zoning regulations allowing a property to be used differently than normally permitted.