Glossary of Real Estate and Property Terms in Thailand : Page ALL

abandonment
The act of voluntarily giving up a right (of ownership or lease or any other right) over a property.

absentee landlord/owner
Owner of a property who resides elsewhere (usually in another city or country)

absolute title
The right of ownership of legal estate in registered land; a title that is guaranteed by the state that no one has a better title that is subject to any minor interests or overriding interests.

abut
Adjacent or contiguous to. For example, if a property is adjacent or next to another, it can be said to abut each other.

acceleration clause
A clause in your mortgage which allows the lender to demand payment of the outstanding loan balance for various reasons. The most common reasons for accelerating a loan are if the borrower defaults on the loan or transfers title to another individual without informing the lender.

accessory buildings
Annexes to a building such as servants’ quarters, sheds, garages, etc.

accrued interest
The unpaid interest accumulated from an investment or a loan

acquisition costs
The cost of acquiring a property; includes purchase price and all other allied cost like insurance and legal fees, brokerage, charges, etc.

acre
An area of land of any shape containing 43,560 squares feet or 4,840 square yards or approximately 4,047 square meters.

act of god
Damage caused by nature. Examples: floods, hurricanes, tsunamis, etc. Also known as force majeure. An unexpected event that prevents one from complying with certain terms and conditions in a contract

actual cash value
The price at which property can be sold at a given point of time

ad valorem
Literally, according to the value. Applied, for instance, to a scale of stamp duty, inheritance tax and fees.

addendum
Something that is added to an existing document. Example: supplementary to an agreement

adjustable-rate mortgage (ARM)
A mortgage in which the interest changes periodically, according to corresponding fluctuations in an index. All ARM’s are tied to indexes.

adjustment date
The date the interest rate changes on an adjustable-rate mortgage

administrator
A person appointed by a court to manage an estate while testamentary proceedings are on. This person also distributes the estate of a deceased person in accordance with the orders of the court.

aerial survey
A survey of an area made by taking sequential photographs from an aircraft; plans are then drawn from photographs.

aesthetic value
The value of a property deriving from its architectural beauty or natural or mandmade surroundings.

affidavit
A statement or declaration made in writing and under oath before a competent (usually court) official.

agency
Person or body corporate acting under the orders and authority of another The scope of such authority is usually specified in the agreement between the two parties.

agency agreement (agency listing)
The term describing a listing under which the broker’s commission is protected against a sale by other agents and often by the principal.

agent’s commission
The fee payable for services rendered by real estate professional
agreement for lease/sale
It is a contract by which land or property is leased or sold by one party to another.

air rights
This is the right to use the space above a property. It does not include the right to use the land surface which the property is located.

amenities
Those facilities, like swimming pools, jogging tracks, health clubs, etc.,

amortization
The loan payment consists of a portion which will be applied to pay the accruing interest on a loan, with the remainder being applied to the principal. Over time, the interest portion decreases as the loan balance decreases, and the amount applied to principal increases so that the loan is paid off (amortized) in the specified time.

amortization schedule
A table which shows how much of each payment will be applied toward principal and how much toward interest over the life of the loan. It also shows the gradual decrease of the loan balance until it reaches zero.

ancillary use
A planning term describing the use of a property in a manner different from, but functionally related to, its main use.

annual percentage rate (APR)
This is not the note rate on your loan. It is a value created according to a government formula intended to reflect the true annual cost of borrowing, expressed as a percentage. It works sort of like this, but not exactly, so only use this as a guideline: deduct the closing costs from your loan amount, then using your actual loan payment, calculate what the interest rate would be on this amount instead of your actual loan amount. You will come up with a number close to the APR. Because you are using the same payment on a smaller amount, the APR is always higher than the actual not rate on your loan.

annual sinking funds
A sinking fund where payments and interest accumulated are calculated yearly.

apartment
A form of property ownership in which each owner holds title to his/her individual unit, similar to western definition of condominium

apartment hotel
A property offering guests a complete self-contained sole occupancy unit consisting of bedrooms, a living room, a kitchen with full cooking facilities and dining area. Usually requires a hotel license to operate as such. Serviced apartment which are let on a daily basis function like apartment hotel.

application
The form used to apply for a mortgage loan, containing information about a borrower’s income, savings, assets, debts, and more.

appraisal
A written justification of the price paid for a property, primarily based on an analysis of comparable sales of similar homes nearby.

appraised value
An opinion of a property's fair market value, based on an appraiser's knowledge, experience, and analysis of the property. Since an appraisal is based primarily on comparable sales, and the most recent sale is the one on the property in question, the appraisal usually comes out at the purchase price.

appraiser
An individual qualified by education, training, and experience to estimate the value of real property and personal property. Although some appraisers work directly for mortgage lenders, most are independent.

appreciation
The increase in the value of a property due to changes in market conditions, inflation, or other causes.

arbitration
A method of resolving a disagreement between two parties by presenting their different views to an independent arbitrator. The award is binding on the parties but an arbitrator’s decision can be challenged in a court of law under certain circumstances.

arbitration clause
A clause in a contract providing for disputes arising from the contract to be referred for the decision of a third party (arbitrator). Common examples are disputes over rent review clauses in leases or the terms of buildings contracts.
arbitrator
An impartial person who is appointed to settle a difference between two parties

ar-karn-yai-pi-ses (THA)
Extra large buildings that have gross floor area of 10,000 sq.m. or more

“as is” condition
The sale, purchase, lease or conveyance of a property or item in its existing state, i.e., without any change, improvement, addition, alteration or repair. Also called “as is where is” in some countries

assessed value
The valuation placed on property by a public tax assessor for purposes of taxation.

assessor
A public official who establishes the value of a property for taxation purposes.
Items of value owned by an individual. Assets that can be quickly converted into cash are considered "liquid assets." These include bank accounts, stocks, bonds, mutual funds, and so on. Other assets include real estate, personal property, and debts owed to an individual by others.

asset valuation
In the property market, this expression is applied to the valuation of land and buildings or plant and machinery. The term is often used to describe an expert opinion of the worth of a property which may be incorporated into company accounts, where the ownership of the asset is not necessarily to be transferred but the valuation is of interest to, for example, shareholders or is required for company takeovers, share floatation or mortgage.

assign
Transfer any interest or the right of ownership over property or any other asset

assignee
One who receives the right of ownership over a property or any other asset.

assignment
When ownership of your mortgage is transferred from one company or individual to another, it is called an assignment.

assumable mortgage
A mortgage that can be assumed by the buyer when a home is sold. Usually, the borrower must "qualify" in order to assume the loan.

assignment of lease
The transfer by a lessee of all his rights over a leased property. In such a case, the assignee becomes a lessee under the original lessee. Some leases contain clauses specifying the condition under which leases can be assigned. Assignment of lease is different from sub –lease and the two should not be used as synonyms.

association dues
Refers to charge for the building and common area maintenance. This is also sometimes referred to as condominium dues.

assumption fee
The fee charged by a lender for processing the paperwork required for transferring and existing loan to another person

assumption of deed of trust
Agreement by which a buyer agrees to take over the liabilities for the payment of an existing mortgage or deed of trust. The lender usually has to approve the buyer before such transaction can go through.

authority approvals
The necessary sign-off by council, fire department, government, etc., confirming design compliance with laws to enable a facility to be constructed or a transaction to be completes.
backfill
to refill ground that had been dug up for construction or development purposes.

backup offer
Secondary offer made to protect one’s interests in case the first offer fails.

balance sheet
A report showing the financial position or condition of a business at a given date. Also called Statement of Financial Position or Statement of Financial Condition

balcony
An area with a wall or bars around it that is joined to the outside wall of building on an upper level

balloon mortgage
A mortgage loan that requires the remaining principal balance be paid at a specific point in time. For example, a loan may be amortized as if it would be paid over a thirty year period, but requires that at the end of the tenth year the entire remaining balance must be paid.

balloon payment
The final lump sum payment that is due at the termination of a balloon mortgage.

bankruptcy
By filing in federal bankruptcy court, an individual or individuals can restructure or relieve themselves of debts and liabilities. Bankruptcies are of various types, but the most common for an individual seem to be a "No Asset" bankruptcy which relieves the borrower of most types of debts. A borrower cannot usually qualify for an "A" paper loan for a period of two years after the bankruptcy has been discharged and requires the re-establishment of an ability to repay debt.

base rent
The minimum rent for a commercial property without taking into account any add-ons like percentage of sales/profit that make up the total lease package

bearer instruments
Commercial instrument like bonds, checks,etc.. that give the person having it (bearer) the right to encash it.

beneficiary
Someone who receives property or offer assets in a will. Someone for whose benefit a trust is set up

best rent
The highest rent which can reasonably be expected by a landlord in the circumstances of a particular case.

bid
An offer to buy or construct or build something where more than one party is (usually) interested.

bill of quantities (BoQ)
A schedule of all labor and material items required to construct a facility that is priced on an itemized basis.

bill of sale
A written document that transfers title to personal property. For example, when selling an automobile to acquire funds which will be used as a source of down payment or for closing costs, the lender will usually require the bill of sale (in addition to other items) to help document this source of funds.

binding obligations
The rights and duties agreed upon and described in an agreement executed between two parties that are binding upon the parties to an agreement (eg. Landlord and tenant or vendor and purchaser)
biweekly mortgage
A mortgage in which you make payments every two weeks instead of once a month. The basic result is that instead of making twelve monthly payments during the year, you make thirteen. The extra payment reduces the principal, substantially reducing the time it takes to pay off a thirty year mortgage. Note: there are independent companies that encourage you to set up bi-weekly payment schedules with them on your thirty year mortgage. They charge a set-up fee and a transfer fee for every payment. Your funds are deposited into a trust account from which your monthly payment is then made, and the excess funds then remain in the trust account until enough has accrued to make the additional payment which will then be paid to reduce your principle. You could save money by doing the same thing yourself, plus you have to have faith that once you transfer money to them that they will actually transfer your funds to your lender.

board resolution
A legally binding document executed by the board member of the corporate which authorizes certain acts or decisions to be carried out by the company. A board resolution can form part

bona fide
Legal term meaning actions, or individuals that are honest and in good faith.

bond market
Usually refers to the daily buying and selling of thirty year treasury bonds. Lenders follow this market intensely because as the yields of bonds go up and down, fixed rate mortgages do approximately the same thing. The same factors that affect the Treasury Bond market also affect mortgage rates at the same time. That is why rates change daily, and in a volatile market can and do change during the day as well.

book value
The value wich is ascribed to a property shown I nthe accounts as a capital asset but is not necessarily current market value, since it may be basedon actual cost

boundary
The line or structure separating two contiguous properties states or countries

breach of contract
An act or omission, contrary to one or more provisions in a contract and therefore giving the aggrieved party a right to enforce specific performance, to rescind the contract and/or to claim damages, the remedy available depending upon the nature of the breach.

breach of warranty
Failure to comply with a constructual undertaking e.g., the failure of a vendor to pass title or give vacant possession when such has been warranted. Such a breach normally entitles the innocent party to damages, although the breach of a warranty in an insurance contract by the insured normally entitles the insurer to treat the contract discharge.

break clause
A clause in the lease which gives the landlord and/or the tenant a right, in specified circumstance, to terminate the lease before its normal expiry date. It usually defines the length of the notice to be given and may be subjected to contractual or statutory financial provisions.

break-up value
The value of a specific property, e.g. an estate of land and building, based on the assumption that it is lotted and sold in parts, in such a manner as to achieve the best possible price.

bridge financing
A loan which is generally given to allow the borrower to tide over some immediate requirement while he awaits a more permanent or long-term solution to his financial needs.

bridge loan
Not used much anymore, bridge loans are obtained by those who have not yet sold their previous property, but must close on a purchase property. The bridge loan becomes the source of their funds for the down payment. One reason for their fall from favour is that there are more and more second mortgage lenders now that will lend at a high loan to value. In addition, sellers often prefer to accept offers from buyers who have already sold their property.

broker/ dealer
Broker has several meanings in different situations. Most Realtors are "agents" who work under a "broker." Some agents are brokers as well, either working form themselves or under another broker. In the mortgage industry, broker usually refers to a company or individual that does not lend the money for the loans themselves, but broker loans to larger lenders or investors. (See the Home Loan Library that discusses the different types of lenders). As a normal definition, a broker is anyone who acts as an agent, bringing two parties together for any type of transaction and earns a fee for doing so.

build to suit
A property custom built to suit the specifications of the long-term lease

builder bond
A bond issued by a builder to ensure the completion of a building (see bank guarantee)

building
A mandmade structure where people live, meet or carry out business. Example: house, office, mall, temple, etc.

building application (BA)
An application to the local authority relating to the detailed designed and construction of a proposed building.

building code
A list of laws, conventions and practices that govern the construction and maintenance of real estate assets.

building completion date
The date provided by the landlord by which date the building is made operational in all aspects including all onsite and offsite works ( described in detail in the agreement), obtaining the necessary approvals including Occupation Certificate, for the demised promises to be occupied

building contract
A contract between an owner or occupier of the land and a building contractor, setting forth the terms under which construction is to be undertaken. A contract will normally include details of work to be carried out, basis of remuneration, time-scale, penalties, if any,for failure to comply with terms of the contract.

building contractor
A builder who enters into a contract under which he becomes obligated to carry out building or engineering works of a nature, extent and specification described in the contract and usually within a prescribed period.

building insurance replacement cost
The estimated construction costs of a replacement building. It is to be covered by insurance policy against losses due to structural damage caused by fire only and does not include any consequential loss and liabilities to third parties

building line
The line on a street or area beyond which no construction can take place. Its purpose is to ensure that buildings are not built too closed to each other or to the street.

building permit
A permit granted by the construction or building authority to construct a building

building restrictions
Restraints placed on the absolute right of a property owner from building whatever he wants.

built-ins
Utilinarian items like cupboards, bathtubs,stoves.ovens, etc., that are built into the building so as to make them immovable

buyer’s market
In the property market, a condition of supply and demand in which those seeking to purchase are in a relatively strong negotiating position because of a degree of oversupply

buydown
Usually refers to a fixed rate mortgage where the interest rate is "bought down" for a temporary period, usually one to three years. After that time and for the remainder of the term, the borrower’s payment is calculated at the note rate. In order to buy down the initial rate for the temporary payment, a lump sum is paid and held in an account used to supplement the borrower’s monthly payment. These funds usually come from the seller (or some other source) as a financial incentive to induce someone to buy their property. A "lender funded buydown" is when the lender pays the initial lump sum. They can accomplish this because the note rate on the loan (after the buydown adjustments) will be higher than the current market rate. One reason for doing this is because the borrower may get to "qualify" at the start rate and can qualify for a higher loan amount. Another reason is that a borrower may expect his earnings to go up substantially in the near future, but wants a lower payment right now.

by-laws
Internal rules that govern the activities of a company association or society
call option
Similar to the acceleration clause.

cancellation clause
Clause in an agreement that sets out the conditions under which, and the terms on which, the contract can be cancelled or terminated

cap
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, 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.

capitalization
The estimate of a property’s value on the basis of its earning capacity

cash back
A payment made by a property owner to a prospective tenant to secure a letting in times of oversupply on terms which would otherwise be unacceptable. In essence it can be regarded as the opposite of a premium and, as such, is a form of reverse or negative premium

cashier’s check (cheque)
A check where a bank draws a check upon itself instead of its depositor’s account. The depositor, who instructs the bank to do so and provides the money for it, does not have the right to stop payment. Buyers often insist on this mode of payment while closing sales. Also called a Banker’sDraft, Bank Check or Demand Draft in some countries

cash-out refinance
When a borrower refinances his mortgage at a higher amount than the current loan balance with the intention of pulling out money for personal use, it is referred to as a "cash out refinance”.

caveat emptor
Latin for buyers beware. Legal term meaning the quality risk in transaction vests with the buyer, unless specifically stated otherwise or unless fraud or deception can be proved. Most countries, however, now have strict laws protecting buyers from shoddy workmanship, finish and quality

certificate of occupancy
Certificate issued by a local authority stating that a building is fit for occupation.

certificate of deposit
A time deposit held in a bank which pays a certain amount of interest to the depositor.

certificate of deposit index
One of the indexes used for determining interest rate changes on some adjustable rate mortgages. It is an average of what banks are paying on certificates of deposit.

certificate of occupancy
Certificate issued by a local authority stating that a building is fit for occupation

certificate of practical completion
Under a building contract a certificate issued by the architect, surveyor or supervising officer stating that the works have been substantially completed and the building is ready for occupation. This certificate will : a) release an agreed percentage of any retention money; b) begin the defects liability period; and c) transfer responsibility for insurance from the contractor to the employer

certificate of purchase
Certificate issued to a buyer, usually following a court-ordered sale, stating that he has purchased a certain property. The buyer will be entitled to transfer the title to the property to his own name if the original owner does not redeem the property within a specified date.

certificate of use
The document from the competent official certifying that land has already been put to use.

certified check
a personal check which a bank guarantees to pay. The bank usually ensures that the issuer has enough funds in his account to honour the check and does not clear other checks if they deplete the funds in the issuer’s account to the point where there’s not enough money to cover the amount of the certified check. Banks also do not honor stop payments on certified checks.
certified copy
A document that is certified by a competent authority to be a true copy of its original

chain of title
An analysis of the transfers of title to a piece of property over the years.

channel
A passageway for the passage of wiring, sewage, water or gas. A channel may be open or covered, on the ground or underground. Also means a long, open-ended depression through which water flows.

chanote (also called Title Deed)
Is a certificate of ownership of real property in which the person, whose name appears as the owner, has a real property right to transfer, sell, dispose of and mortgage the Land upon registration with the relevant local land department, including the lease.

charge
Acts as an encumbrance on title and involves no transfer of title to, or of possession of the property as a security for the loan. The property is designated as that which can be taken in execution of the debt on default.

civil action
Legal action for remedy against some wrong that is not criminal in nature

class action
Legal action brought by a group of people who have similar claims against a common party

clear title
A title that is free of liens or legal questions as to ownership of the property.

closing
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 recorders office. In others, the "closing" is a meeting where all of the documents are signed and money changes hands.

closing costs
Closing costs are separated into what are called "non-recurring closing costs" and "pre-paid items." Non-recurring closing costs are any items which are paid just once as a result of buying the property or obtaining a loan. "Pre-paids" are items which recur over time, such as property taxes and homeowners insurance. A lender makes an attempt to estimate the amount of non-recurring closing costs and prepaid items on the Good Faith Estimate which they must issue to the borrower within three days of receiving a home loan application.

cloud on title
Any conditions revealed by a title search that adversely affect the title to real estate. Usually clouds on title cannot be removed except by deed, release, or court action.

co-borrower
An additional individual who is both obligated on the loan and is on title to the property.

collateral
In a home loan, the property is the collateral. The borrower risks losing the property if the loan is not repaid according to the terms of the mortgage or deed of trust.

collection
When a borrower falls behind, the lender contacts them in an effort to bring the loan current. The loan goes to "collection." As part of the collection effort, the lender must mail and record certain documents in case they are eventually required to foreclose on the property.

commingling
The mixing of different kinds of funds. For example, if a company mixes funds it has collected as fixed deposits (which should be accounted for separately) with money collected as advance from buyers, it is known as commingling

commission
Most salespeople earn commissions for the work that they do and there are many sales professionals involved in each transaction, including Realtors, loan officers, title representatives, attorneys, escrow representative, and representatives for pest companies, home warranty companies, home inspection companies, insurance agents, and more. The commissions are paid out of the charges paid by the seller or buyer in the purchase transaction. Realtors generally earn the largest commissions, followed by lenders, then the others.
common area assessments
In some areas they are called Homeowners Association Fees. They are charges paid to the Homeowners Association by the owners of the individual units in a condominium or planned unit development (PUD) and are generally used to maintain the property and common areas.

common areas
Those portions of a building, land, and amenities owned (or managed) by a planned unit development (PUD) or condominium project's homeowners' association (or a cooperative project's cooperative corporation) that are used by all of the unit owners, who share in the common expenses of their operation and maintenance. Common areas include swimming pools, tennis courts, and other recreational facilities, as well as common corridors of buildings, parking areas, means of ingress and egress, etc.

community property
In some states, especially the southwest, property acquired by a married couple during their marriage is considered to be owned jointly, except under special circumstances. This is an outgrowth of the Spanish and Mexican heritage of the area.

co-mortgagor
When more than one person sign a mortgage, they are said to be co mortgagors. Also means the person who guarantees the repayment of the amounts due, who signs the mortgage deed along with the person receiving the money.

comparable sales
Recent sales of similar properties in nearby areas and used to help determine the market value of a property. Also referred to as "comps."

compensation
Payment made for damages. Money paid by the government following the acquisition of land.

Competent authority
The competent officials acting under this Code and other officials appointed by the Minister to act under this Code.

completion
The final step in the legal process of transferring ownership of property, e.g., when the documents in connection with a sale of land are signed, sealed and delivered.

completion certificate/statement
Certificate from a local authority stating that a building under construction is ready and complete

compulsory purchase
The acquisition, in accordance with statutory procedures and practice, of interests in land by a public or private body empowered so to do by an Act and authorized to do so by the appropriate minister’s or government entity’s confirming a compulsory purchase order. Such a purchase entitles the purchaser to deprive the, usually unwilling, owner of his property on payment of such compensation as it is provided for statue.

concession
Permission granted by the owner of land or property to another party to use the said land or building for some business, in return for some monetary consideration

conditional sales contract
Sale of real estate where the title remains with the seller until the buyer fulfills certain conditions

conditional sale of real property
Land sale where the consideration amount is paid in installments. The title vests with the seller until the full amount is paid. The buyer has only equitable title until he pays the agreed amount in full.

condominium
Condominium is defined by the Condominium Act B.E. 2522 (1979) (Thai law) as a building that can be have its separate portions sold to individuals or groups for personal property ownership.
A type of ownership in real property where all of the owners own the property, common areas and buildings together, with the exception of the interior of the unit to which they have title. Often mistakenly referred to as a type of construction or development, it actually refers to the type of ownership.

condominium conversion
Changing the ownership of an existing building (usually a rental project) to the condominium form of ownership.

condominium hotel
A condominium project that has rental or registration desks, short-term occupancy, food and telephone services, and daily cleaning services and that is operated as a commercial hotel even though the units are individually owned. These are often found in resort areas like Hawaii.

condominium owner’s association
A body formed by the owners of individual dwelling units in a condominium that looks after and maintains the common services essential for the use of the condominium. It also represents the common interests of individual dwelling unit owners with outsiders
consideration
Strictly the payment, promise, object, or forbearance given by one party to a contract in return for a promise or pledge given by the other party. In property law, the term is applied particularly to the price offered by the purchaser in a contract to acquire an interest in land

construction loan
A short-term, interim loan for financing the cost of construction. The lender makes payments to the builder at periodic intervals as the work progresses.

construction management
Where a contractor is engaged to manage the construction of a project for an agreed fee and the trade contractors are engaged either directly by the client or an open book analysis

construction period
The length of time elapsing from the date a building or other similar project is started, or deems to start, until the works involved are finished. The finishing date is frequently known as the date of practical completion, being the date when the architect certifies that all the relevant works have been carried out in satisfactory manner.

consultant
A company or individual who provides specialist advice and or services (typically architect, engineer, project manager).

contiguous
Bordering on

contingency
A condition that must be met before a contract is legally binding. For example, home purchasers often include a contingency that specifies that the contract is not binding until the purchaser obtains a satisfactory home inspection report from a qualified home inspector.

contingent fees
Fees that are paid only if some event takes place in the future.

Of land: An agreement whereby the seller (vendor) agrees to transfer an interest in land to put purchaser for a consideration. The agreement is affected by the exchange of copies of the agreement document between the parties. Rights to possession are not conferred upon the purchaser until the purchaser is completed, but the purchaser has an insurance has an insurable interest in the property from exchange of contracts. A non-returnable deposit is usually paid by the purchaiser on exchange
Of goods: The transfer of ownership of chattels from a seller to a buyer for a money price where ownership is transferred immediately

contract rights
A collective name for any clause in a lease allowing a tenant to reduce in size either temporarily or permanently (eg., sub-lease, surrender,etc.).

contractor
One who undertakes to build a building or other structure in return for a fee.

contractor’s overhead
Overhead expenses like cost of office, interest cost, etc., that a contractor has to incur

conventional mortgage
interest Refers to home loans other than government loans (VA and FHA).

convertible ARM
An adjustable-rate mortgage that allows the borrower to change the ARM to a fixed-rate mortgage within a specific time.

conveyance tax
Tax levied by the (usually local or state) government on the value of a property sale.

conveyancing
The legal procedures employed in the creation, transfer and extinguishment of ownership of interests in land, including preparation of contracts, enquiries, searches, land registration ( where appropiate0 and completion of the transaction

cooperative (co-op)
A type of multiple ownership in which the residents of a multiunit housing complex own shares in the cooperative corporation that owns the property, giving each resident the right to occupy a specific apartment or unit.

co-signatory
Someone, usually the guarantor, who signs a mortgage deed along with the person taking loan. The liability for the loan falls upon the co-signatory in case the loanee defaults.

cost of living index
An idex that tracks the living expenses of an average person

cost of funds index (COFI)
One of the indexes that is used to determine interest rate changes for certain adjustable-rate mortgages. It represents the weighted-average cost of savings, borrowings, and advances of the financial institutions such as banks and savings & loans.

covenant of quiet enjoyment
Clause in a lease which guarantees peaceful possession to a tenant.

covenant running with the land
Easement that pass with the title to the land.

credit
An agreement in which a borrower receives something of value in exchange for a promise to repay the lender at a later date.

credit history
A record of an individual's repayment of debt. Credit histories are reviewed my mortgage lenders as one of the underwriting criteria in determining credit risk.

credit report
A report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness.

credit repository
An organization that gathers, records, updates, and stores financial and public records information about the payment records of individuals who are being considered for credit.

cross-easement
Mutual easements annexed to two adjoining tenements, e.g., mutual rights of support between two contiguous buildings in different ownership

curtain wall
Exterior wall which lends no structural support to a building, but acts merely to enclose

damages
Money that courts order parties to pay as compensation for some loss they have caused to others. Also means a decline in the quality of material due to breakage, leakage, etc.

debtor
A person or entity who owes money or its equivalent to a creditor; someone who is in the obligation to paying a debt

decentralization
The movement of people or transfer of power from a central position or authority to the suburbs or to subsidiary authorities

decorate
The act of adding to the beauty of a structure by making superficial changes

dedicated
The gift of private property for public use. Also means structure or equipment that is used for a single purpose only

deed-in-lieu
Short for "deed in lieu of foreclosure," this conveys title to the lender when the borrower is in default and wants to avoid foreclosure. The lender may or may not cease foreclosure activities if a borrower asks to provide a deed-in-lieu. Regardless of whether the lender accepts the deed-in-lieu, the avoidance and non-repayment of debt will most likely show on a credit history. What a deed-in-lieu may prevent is having the documents preparatory to a foreclosure being recorded and become a matter of public record.

deed of trust
Some states, like California, do not record mortgages. Instead, they record a deed of trust which is essentially the same thing.

default
Failure to make the mortgage payment within a specified period of time. For first mortgages or first trust deeds, if a payment has still not been made within 30 days of the due date, the loan is considered to be in default.

defects liability period
A specified term 9normally 12 months) following practical completion of facility when the contractor remains responsible to rectify any defective work

deferred maintenance
repairs that are required to restore a property t good condition

delinquency
Failure to make mortgage payments when mortgage payments are due. For most mortgages, payments are due on the first day of the month. Even though they may not charge a "late fee" for a number of days, the payment is still considered to be late and the loan delinquent. When a loan payment is more than 30 days late, most lenders report the late payment to one or more credit
bureaus.

delivery
The act of handing over physical possession of a property to a buyer

density
In town planning, a term applied to the number of units permitted per acre (or hectare), usually in relation to residential accommodation

deposit
A sum of money given in advance of a larger amount being expected in the future. Often called in real estate as an "earnest money deposit"

depreciation
A decline in the value of property; the opposite of appreciation. Depreciation is also an accounting term which shows the declining monetary value of an asset and is used as an expense to reduce taxable income. Since this is not a true expense where money is actually paid, lenders will add back depreciation expense for self-employed borrowers and count it as income.

developer
An entrepreneur who has an interest in a property, initiates its development and ensures that this is carried out (for occupation, investment or dealing) and from the outset accepts the ultimate responsibility for providing or procuring the funds needed to finance the whole project.

director-General
the Director-General of the Land Department. Section 7 of Thailand’s Land code provided that The Director-General shall have the duty to inspect, allocate, and take a census of the land to learn its natural abundance, and suitability for use in the interests of the state and of the people

disclosure
making information available, especially to the public, as in case of a quoted company producing and distributing a detailed and comprehensive report usually each year, which presents a true and fair picture of its financial position (capital and revenue) and of the activities undertaken during the period under the review. Public opinion has, over the year, called for less secrecy, more accountability and more openness in the type, breadth and depth of information which is disclosed. The underlying reason is to minimize the risk of dishonest or otherwise improper conduct of business affairs. The more open a company or country is, the more transparent it is said to be.

discount points
In the mortgage industry, this term is usually used in only in reference to government loans, meaning FHA and VA loans. Discount points refer to any "points" paid in addition to the one percent loan origination fee. A "point" is one percent of the loan amount.

dividend yield
Absolute returns expressed as a percentage of total investment.

domicile
Legal term indicating the place or country in which one is permanently resident.

dominant estate
Land which does not have access to a public road which is given a right of way through an adjourning land.

down payment
The part of the purchase price of a property that the buyer pays in cash and does not finance with a mortgage.

dual agency
An agent who represents and is paid commissions or consideration by both buyer and seller.

due-on-sale provision
A provision in a mortgage that allows the lender to demand repayment in full if the borrower sells the property that serves as security for the mortgage.

dwelling unit (dwelling house)
House or apartment where one resides
earnest money
A sum deposited, before an agreement is binding in law, by one of the parties with the other as an indication of his good faith and his intention to honor the terms of the agreement, e.g., a pre-contract deposit

earnest money deposit
A deposit made by the potential home buyer to show that he or she is serious about buying the house.

easement
A right of way giving persons other than the owner access to or over a property.

economical housing
A relatively cheap apartment catering to families or individuals with lower incomes, in which the price is dominated or guided by the government

effective age
The estimation of the age of a building based on its condition, and not chronological age. Obviously, better maintained buildings will have a lower effective age than others

effective rental
Rental paid by a tenant after taking into account incentives offered in the leasing of space

effective age
An appraiser’s estimate of the physical condition of a building. The actual age of a building may be shorter or longer than its effective age.

egress
The action of leaving or exiting a property. Also means the right to use another person’s land or property.

elevation
The view of the frontal façade of the building, or the height ofa place above the sea.

eminent domain
The right of a government to take private property for public use upon payment of its fair market value. Eminent domain is the basis for condemnation proceedings.

encroachment
An improvement that intrudes illegally on another’s property.

encumbrance
Anything that affects or limits the fee simple title to a property, such as mortgages, leases, easements, or restrictions.

entire agreement
An agreement that includes the attached exhibits/ annexures and constitutes the entire agreement between the landlord and the tenant with respect to demised premises

equity
A homeowner's financial interest in a property. Equity is the difference between the fair market value of the property and the amount still owed on its mortgage and other liens.

escrow
An item of value, money, or documents deposited with a third party to be delivered upon the fulfillment of a condition. For example, the earnest money deposit is put into escrow until delivered to the seller when the transaction is closed.

escrow account
Once you close your purchase transaction, you may have an escrow account or impound account with your lender. This means the amount you pay each month includes an amount above what would be required if you were only paying your principal and interest. The extra money is held in your impound account (escrow account) for the payment of items like property taxes and homeowner’s insurance when they come due. The lender pays them with your money instead of you paying them yourself.

escrow analysis
Once each year your lender will perform an "escrow analysis" to make sure they are collecting the correct amount of money for the anticipated expenditures.

escrow disbursements
The use of escrow funds to pay real estate taxes, hazard insurance, mortgage insurance, and other property expenses as they become due.

estate
The ownership interest of an individual in real property. The sum total of all the real property and personal property owned by an individual at time of death.

estate agent
One who acts for, and usually advises, a principal in respect of transactions involving real estate, e.g. sales purchases, lettings, etc.

examination of title
The report on the title of a property from the public records or an abstract of the title.

exclusive agency agreement
An agreement that prohibits a principal from appointing more than one agent. An agreement that gives an agent exclusive rights to deal on behalf of a principal.

exclusive listing
A written contract that gives a licensed real estate agent the exclusive right to sell a property for a specified time.

executor
A person named in a will to administer an estate. The court will appoint an administrator if no executor is named. "Executrix" is the feminine form.

extension
The continuation of an agreement under existing terms and conditions.
FOC
An acronym for free of charge. Includes any goods or services provided gratis.

face rent
The quotes rent without taking out the effect of rent –free periods, rebates or incentives, if any.

facilities management
The management of owned and occupied corporate real estate and the services provided for the occupants

facility
They building or area constructed specifically to accommodate the occupiers’ needs

fair market value
The highest price that a buyer, willing but not compelled to buy, would pay, and the lowest a seller, willing but not compelled to sell, would accept.

fee simple estate
An unconditional, unlimited estate of inheritance that represents the greatest estate and most extensive interest in land that can be enjoyed. It is of perpetual duration. When the real estate is in a condominium project, the unit owner is the exclusive owner only of the air space within his or her portion of the building (the unit) and is an owner in common with respect to the land and other common portions of the property.

final completion
The date following the defects liability period when a project is deemed complete and all final payments have been paid

financing costs
The rate of interest and other service charges needed to obtain a loan.

firm commitment
A lender’s agreement to make a loan to a specific borrower on a specific property.

first mortgage
The mortgage that is in first place among any loans recorded against a property. Usually refers to the date in which loans are recorded, but there are exceptions.

first refusal right
A right given by one party to another whereby the first party is obliged to give the second party a chance to acquire an asset before he offers it to anyone

fit-out
The physical components included in a facility constructed to enable the occupier to utilize the space

fittings
Items which are affixed to land or buildings and which are easily removed

fixed price contract
A building contract in which the total price is fixed at the outset usually subject only to changes due to subsequent variations in statutory undertakers’ charges.

fixed-rate mortgage
A mortgage in which the interest rate does not change during the entire term of the loan.

fixed rent
A rent that cannot be changed during the entire period of a lease or , at the date when the lease is being valued, will be unaltered for such a length of time that no change in capital value would be attributed to the prospect of a different rent during the remainder of the lease

fixture
Personal property that becomes real property when attached in a permanent manner to real estate.

flat
A separate set of premises, normally all on the same floor, formingpart of the building,divided horizontally from some other part of the building, constructed or adapted for the purposes of a private dwelling and occupied wholly or mainly as a private dwelling

force majeure
An act of god (natural calamities), or an act of a man (war, riots) beyond the control of the parties to a control of the parties to a contract which make it impossible for one of the parties to fulfil the terms of that contract. Many contracts have a force majeure clauses.

free standing building
A standalone building which is not attached to any other building

flood insurance
Insurance that compensates for physical property damage resulting from flooding. It is required for properties located in federally designated flood areas.

floor plan
An architectural sketch of various rooms, balconies, bathrooms, etc.

flowage easement
An easement by convention that allows water from lands at higher levels to flow into and through lands located at lower levels even though there may be no agreements to such effect

foreclosure
The legal process by which a borrower in default under a mortgage is deprived of his or her interest in the mortgaged property. This usually involves a forced sale of the property at public auction with the proceeds of the sale being applied to the mortgage debt.

forefeit
The loss of a right, privilege, property, or money because of a crime, breach of obligation, or neglect of duty.

foreigner
Means an individual who is neither a citizen nor a resident, but is not an illegal foreigner
Fraud
An act that is done with the intent of acquiring property or money by deceipt

freehold
A term used in real estate, meaning land held in fee simple, as opposed to leasehold

Any interest in real property which is a life estate or of uncertain or undetermined duration (having no stated end), as distinguished from a leasehold which may have declining value toward the end of a long-term lease (such as the 99-year variety).

freehold Title Deed
This type of title grants the holder of this document the full right over the land. The holder has absolute authority over the land

fullhouse
A hundred per cent occupancy in a commercial or residential property or hotel

furniture and fixtures
Accounting term covering furniture and other items that are used in an office or home but not part of the property.
gearing

general contractor
Contractor who assumes responsibility for completing a construction project, under contract to the owner, and hires, supervises and pays all subcontractors.

going concern value
The total value of a business as carried on, with all its assets and liabilities, good will and potentialities. If the premises used are owned by the business, they form part of the going concern value on the basis of their value to the business.

good faith
Transaction done with good intention, honesty, fairness without deceit and with honorable intention

grace period
A period of time after a payment such as loan or insurance premium, becomes due, before one is subject to penalties, late charges, forfeiture or cancellation.

grandfather clause
A clause in the legislation that allows the continuation of a business, practice, activity, etc., that was permitted by legislation but currently considered not permissible by a change in the legislation

grant
A term that refers to a transfer of property by deed or the property so transferred

grant deed
A deed, conveying property owned by an individual or a company, to another individual or a company. Contains clauses that secure it against any prior conveyances or encumbrances.

gross lease
A lease in which the lessor pays all the costs of operation. A gross lease is a lease at a fixed amount allowing the lessee to know exactly how much rent will be due and payable each period during the term of the lease. The lessor pays all taxes,insurance, and maintenance on the property.

guarantor
A person who makes or gives guarantee.
The rent paid by a lessee for the use of the land.

guaranty
An agreement by which one person assumes responsibility for paying another’s debts or fulfilling another’s responsibilities

hardware
The metal accessories used in construction such as doorknowbs, hinges; locks, etc

hazard insurance
Insurance coverage that in the event of physical damage to a property from fire, wind, vandalism, or other hazards.
High-end apartment
An apartment that is more luxurious than standard apartment, but does not have all the amenities and facilities to be a “luxurious apartment”

high-rise apartment
An apartment building having a comparatively large number of stories, considered “high” in the area where it is built and equipped with elevators.

holding period
The length of time an asset was held, that is, the time between the trade date of the purchase and the trade date of the sale

home equity line of credit
A mortgage loan, usually in second position, that allows the borrower to obtain cash drawn against the equity of his home, up to a predetermined amount.

home inspection
A thorough inspection by a professional that evaluates the structural and mechanical condition of a property. A satisfactory home inspection is often included as a contingency by the purchaser.

homeowners' association
A non-profit association that manages the common areas of a planned unit development (PUD) or condominium project. In a condominium project, it has no ownership interest in the common elements. In a PUD project, it holds title to the common elements.

homeowner's insurance
An insurance policy that combines personal liability insurance and hazard insurance coverage for a dwelling and its contents.

homeowner's warranty
A type of insurance often purchased by homebuyers that will cover repairs to certain items, such as heating or air conditioning, should they break down within the coverage period. The buyer often requests the seller to pay for this coverage as a condition of the sale, but either party can pay.

hotel
A commercial establishment offering lodging to travellers and sometimes to permanent residents, and often having restaurants, meeting rooms, stores, etc., that are available to the general public

house
A building in which people live or a residential structure
implied contract
An agreement created by actions of the parties involved

implied contract
An agreement created by actions of the parties involved but not written or spoken

improved land
Land that has been developed for use and has had installation of such utilities as water, sewer, roads, and building structures. These improvements make the raw land increase its usability, thereby increasing the market value

improved value
An assessment term that comprises of total value of land along with improvements, instead of the separate values of each

improvements
Generally, physical changes which enhance the capital value of land or buildings. These may include additional buildings, installation of new services, e.g., central heating and air conditioning and infra structure works, On the other hand, mere replacement by a modern equivalent of something worn out would normally be regarded as a repair rather than improvement.

incentive
An inducement offered by a landlord to a potential tenant. Can take several forms including contribution to fit-out costs or rent free periods.

incumbrance (encumbrance)
Claim or lien or interest in a property that complicates the title process, interfering with its use or transfer Restrictive covenant.

indenture
Written agreement between two or more persons having different interests

independent appraisal
Value estimated provided by someone who has no participation in ownership of the property in question.

independent contractor
One who is hired to do a particular job and is subject to the direction of the person in charge. Independent contractors pay for their own expenses and taxes and are not viewed as employees with benefits.

industrial park
An area zoned with planned for the purpose of industrial development. Usually locate outside the main residential Industrial property.
Property that is zoned and used for industrial use such as factories, manufacturing, research and development, warehouse space and industrial park

infrastructure
Apparatus, buildings and structures providing essential services to any real estate development. Includes roads, water, gas, telephone, electricity, broadband, etc.

ingress and progress
Access from a land parcel to a public road or other means of exit. Right to enter and exit through land owned by another

injunction
A court order issued to a defendant in an action either prohibiting or commanding the performance of a defined act. Violation of an injunction could lead to a contempt of court citation

institutional property
Property such as schools, colleges, hospitals, universities, etc.

insurance
Policies that guarantee compensation for losses from a specific cause. Various forms of insurance cover against fire, flood, earthquake, liability, etc.

intangible assets
Nonphysical assets with continuing value, such as goodwill, copyrights, trademarks and franchise

intangible property
Nonphysical valuables, such as contracts or mortgages, employee loyalty or customer good will, which are distinguished from physical property such as building and land

interest
Payment by borrowers of funds to compensate llenders for the use of their funds

interest rate
The percentage of principal amount of a loan that is charged for use of that loan. This amount determines are monthly payment

international grade A
Office development which meets a list of Grade A criteria and is wholly owned, managed to international standards and has a superior set of tenant amenities.

interruption of services
This refers to a breakdown or interruption of building services that is to be provided by landlord or tenant in a building- e,g, provision of electrical power and air-conditioning in an office building. In a situation whereby the interruption of services losses, the tenant may seek compensation or rental rebate to defray or make good his losses

intrinsic value
The value of the thing itself, rather than any special features that make its market value different.

investment
Expenditure to buy property or other capital assets that generate income. Alternatively, securities or real estate companies or capital assets.

investment property
Real estate, such as rental properties which generate income.

investment yield
The annual percentage return which is considered to be apporpiate for a specific valuation or an investment, being expressed as the ratio of annual net income (actual or estimated) to the capital value.
jerry-built
A construction built of inferior and cheap materials. Poor quality

joint
Used to indicate a common property ownership interest in real estate. Indicates a shared liability in terms of contractual relationship

joint agent
Two or more agents jointly instructed by a principal to act on his behalf. In the case of estate agents this is normally on the basis that if any one of the agents affects the sale, letting or other disposition of the property, being the subject of the principal’s instructions, the other joint agent(s) will share the remuneration in agreed proportion

joint tenants
Ownership of real estate between two or more parties who have been named in one conveyance as joint tenants. Upon the death of a joint tenant, the decedent’s interest passes to the surviving joint tenant or tenants by the right of survivorship

joint venture
An agreement between two or more parties to invest in a specific single business property

joint tenancy
A form of ownership or taking title to property which means each party owns the whole property and that ownership is not separate. In the event of the death of one party, the survivor owns the property in its entirety.

judgment
A decision made by a court of law. In judgments that require the repayment of a debt, the court may place a lien against the debtor's real property as collateral for the judgment's creditor.

judicial foreclosure
A type of foreclosure proceeding used in some states that is handled as a civil lawsuit and conducted entirely under the auspices of a court. Other states use non-judicial foreclosure.

land
the land surface everywhere and includes mountains, hills, streams, ponds, canals, swamps, marshes, waterways, lakes, islands and sea coast.

land reclamation
Creation of habitate land by filling up low-lying lands, wetlands, lakes or portions of the seashore.

land records
The records maintained under the provisions of, or for the purpose of, the relevant land venue code and includes a copy of maps and plans or a final town planning scheme, improvement scheme or a scheme of consolidating of holdings that has come into force in any area under any law in force

land use planning
The drawing up for a long-term plans for the use of land in a particular area of region

landing
A flat platform at the top, bottom or in the middle of a flight of steps.

landlocked parcel
A plot of land entirely surrounded by other privately owned land

landlord’s improvement
Any work of a capital nature, i.e., other than maintenance or repair, undertaken by landlord, or by the tenant at the landlord’s expense, which increases the value of the landlord’s interest in a property.

landscape
The setting of the land surrounding a building or structure. Nowadays, this is often done artificially to increase the value of the property.

layout
Design, plan or arrangement of any given space, such as the rooms or apartment, etc.

late charge
The penalty a borrower must pay when a payment is made a stated number of days. On a first trust deed or mortgage, this is usually fifteen days.

lease
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.

lease with option to purchase
A lease agreement which gives the lessee the option of purchasing the property within or on or after a specified date. The price and conditions under which such purchase will take place are usually mentioned in the agreement.

leasehold
The real estate which is the subject of a lease (a written rental agreement for an extended period of time). The term is commonly used to describe improvements on real property when the improvements are built on land owned by one party which is leased for a long term (such as 99 years) to the owner of the building.

leasehold improvements
Additions, alterations and improvements made to a leasehold property by the lessee

leasehold estate
A way of holding title to a property wherein the mortgagor does not actually own the property but rather has a recorded long-term lease on it.

lease option
An alternative financing option that allows home buyers to lease a home with an option to buy. Each month's rent payment may consist of not only the rent, but an additional amount which can be applied toward the down payment on an already specified price.

legal description
A property description, recognized by law, that is sufficient to locate and identify the property without oral testimony.

lender
A term which can refer to the institution making the loan or to the individual representing the firm. For example, loan officers are often referred to as "lenders."

legal owner
A person or corporation or trust with a legal title over a property.

legal title
Title recognised by law as the root of most other subordinate forms of title, e.g., lease or mortgage. However, legal title can be encumbered by a lease or mortgage, such that transfer of the title will not affet the rights of those with other forms of interest over property

lender
An individual or corporate body which loans money that has to be repaid.

lessee (also called tenant)
The person renting the property under a written lease from the owner (lessor).

lessee improvement
To enhance the demised premises for the tenants business operations, the tenant is entitled to carry out interior works with prior intimation to the landlord and subject to necessary approvals from the local authorities.

lessee’s indemnification
The lessee will indemnify the lessor/landlord against all and any loss or damage which the lessor/landlord may sustain by reason of claims brought against the lessor alleging bodily harm, injury and death to any person

lessor (also considered as landlord)
The owner of real property who rents it to a lessee pursuant to a written lease.

lessor’s indemnification
The lesse will indemnify the lessor/ landlord against all and any loss or damage which the lessor/landlord may sustain by the reason of claims brought against the lessor alleging bodily harm, injury and death to any person or damage to property which has been mutually discussed, described and agreed in the agreement

lettable area
Floor area allocated to a unit or space and quoted for leasing purpose. The area is usually measured from the exterior of the enclosing walls of the units and includes the unit’s share in the common area.

letter of intent
A letter written by a party or joint venturer expressing an intention to proceed with the transaction in the future. A letter of intent is not usually legally binding

liabilities
A person's financial obligations. Liabilities include long-term and short-term debt, as well as any other amounts that are owed to others.

liability insurance
Insurance coverage that offers protection against claims alleging that a property owner's negligence or inappropriate action resulted in bodily injury or property damage to another party. It is usually part of a homeowner’s insurance policy.

license
An official document giving a person or corporate body the permission to do something, such as enter, live in or use a property.

lien
A legal claim against a property that must be paid off when the property is sold. A mortgage or first trust deed is considered a lien.

life cap
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.

life tenant
A person whose lease rights are valid only during his or someone else’s lifetime

limited liability
The maximum amount a person participating in a business can lose or be charged in case of claims against the company or its bankruptcy. A stockholder in a corporation can only lose his/her investment, and a limited partner can only lose his/her investment, but a general partner can be responsible for all the debts of the partnership

line of credit
An agreement by a commercial bank or other financial institution to extend credit up to a certain amount for a certain time to a specified borrower.

loan
A sum of borrowed money (principal) that is generally repaid with interest.

loan officer
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.

loan servicing
After you obtain a loan, the company you make the payments to is "servicing" your loan. They process payments, send statements, manage the escrow/impound account, provide collection efforts on delinquent loans, ensure that insurance and property taxes are made on the property, handle pay-offs and assumptions, and provide a variety of other services.

loan-to-value (LTV)
The percentage relationship between the amount of the loan and the appraised value or sales price (whichever is lower).

lobby
Area just inside an apartment, building, hotel, theater or house that leads on to the more functional areas

location
Geographical position of a person or thing or structure. Good or bad locations depend on the intended use of the property.

lock-in
An agreement in which the lender guarantees a specified interest rate for a certain amount of time at a certain cost.

lock-in period
The time period during which the lender has guaranteed an interest rate to a borrower.

long-term lease
A lease agreement that is valid for a long period of time. The legal definition of “long-term’ varies from country to country

luxury apartment
An apartment that has the top luxury facilities and amenities
maintenance
Periodic expenditure needed to preserve a property’s original status rather than to improve that property. Activity required for compensating wear and tear.

maintenance fee
Monthly assessment by association of owners and used for maintenance and repair of common areas. Usually a monthly fee paid.

major casualty
The destruction of or damage by reasons beyond the control of either party to all or any part of the demised premises or the building and such destruction or damage cannot be rebuilt or repaired as reasonable determined by the architect.

management agreement
A contract between the owner of a property and the party who agrees to manage it. Fees are based on a percentage of income but can be a flat incentive fee basis.

margin
The difference between the interest rate and the index on an adjustable rate mortgage. The margin remains stable over the life of the loan. It is the index which moves up and down.

marina
A small dock, for small yachts and cabin cruisers having suppliers, and maintenance facilities.

market value
Independently appraised value of real estate in a free competitive marker. The highest price a buyer would pay and the lowest price as seller would accept, assuming that both were willing but not compelled to do so

master lease
A controlling lease in an apartment or office building that controls subleases

master plan
Document that describes, in narrative and with maps, an overall development concept including both present property uses as well as future land development plans. The plan may be prepared by a local government to guide private and public development or by a developer on a specific project.

maturity
The date on which the principal balance of a loan, bond, or other financial instrument becomes due and payable.

merged credit report
A credit report which reports the raw data pulled from two or more of the major credit repositories. Contrast with a Residential Mortgage Credit Report (RMCR) or a standard factual credit report.

mezzanine
Balcony or low ceiling overhang just above the main floor and below the next storey. In a theatre, a mezzanine is the first balcony above the stage.

misrepresentation
An untrue statement, misinterpretation is a form of fraud that could lead to cancellation of contract and could lead to liabilities such as criminal and/or civil proceedings against the party who made such misrepresentation.

modification
Occasionally, a lender will agree to modify the terms of your mortgage without requiring you t refinance. If any changes are made, it is called a modification.

month to month tenancy
A tenancy when rent is being paid monthly and where the lease can be renewed for each succeeding month or terminated at the option of either party with sufficient notice

mortgage
A legal document that pledges a property to the lender as security for payment of a debt.
A document (or a process) in which the owner, called a “Mortgager” pledges his/her title of real property and/or personal property to a lender, called a “Mortgagee”, as security for a loan described in a promissory note. (Under Section 702 of Civil and Commercial Code of Thailand).

mortgage banker
A mortgage banker is generally assumed to originate and fund their own loans, which are then sold on the secondary market. However, firms rather loosely apply this term to themselves, whether they are true mortgage bankers or simply mortgage brokers or correspondents.

mortgage broker
A mortgage company that originates loans, then places those loans with a variety of other lending institutions with whom they usually have pre-established relationships.

mortgage insurance (MI)
Insurance that covers the lender against some of the losses incurred as a result of a default on a home loan. Often mistakenly referred to as PMI, which is actually the name of one of the larger mortgage insurers. Mortgage insurance is usually required in one form or another on all loans that have a loan-to-value higher than eighty percent. Mortgages above 80% LTV that call themselves "No MI" are usually a made at a higher interest rate. Instead of the borrower paying the mortgage insurance premiums directly, they pay a higher interest rate to the lender, which then pays the mortgage insurance themselves. Also, FHA loans and certain first-time homebuyer programs require mortgage insurance regardless of the loan-to-value.

mortgage insurance premium (MIP)
The amount paid by a mortgagor for mortgage insurance, either to a government agency or to a private mortgage insurance (MI) company.

mortgage life and disability insurance
A type of term life insurance often bought by borrowers. The amount of coverage decreases as the principal balance declines. Some policies also cover the borrower in the event of disability. In the event that the borrower dies while the policy is in force, the debt is automatically satisfied by insurance proceeds. In the case of disability insurance, the insurance will make the mortgage payment for a specified amount of time during the disability. Be careful to read the terms of coverage, however, because often the coverage does not start immediately upon the disability, but after a specified period, sometime forty-five days.

multidwelling units
Properties that provide separate housing units for more than one family, although they secure only a single mortgage.

multiple listing
Arrangement where the real estate listings of many local agents are provided.
negative amortization
Some adjustable rate mortgages allow the interest rate to fluctuate independently of a required minimum payment. If a borrower makes the minimum payment it may not cover all of the interest that would normally be due at the current interest rate. In essence, the borrower is deferring the interest payment, which is why this is called "deferred interest." The deferred interest is added to the balance of the loan and the loan balance grows larger instead of smaller, which is called negative amortization.

negligence
The omission to do something which are reasonable person would ordinary do under the circumstances, or doing something which a reasonable person would ordinarily not do under the circumstances. The failure to take reasonable care given the circumstances.

negotiatied
Capable of being negotiated; transferable by assignment or endorsement to another person; as a negotiable note or bill of exchange.

no cash-out refinance
A refinance transaction which is not intended to put cash in the hand of the borrower. Instead, the new balance is calculated to cover the balance due on the current loan and any costs associated with obtaining the new mortgage. Often referred to as a "rate and term refinance."

no-cost loan
Many lenders offer loans that you can obtain at "no cost." You should inquire whether this means there are no "lender" costs associated with the loan, or if it also covers the other costs you would normally have in a purchase or refinance transactions, such as title insurance, escrow fees, settlement fees, appraisal, recording fees, notary fees, and others. These are fees and costs which may be associated with buying a home or obtaining a loan, but not charged directly by the lender. Keep in mind that, like a "no-point" loan, the interest rate will be higher than if you obtain a loan that has costs associated with it.

non-performing loan
A bank loan where the borrower has both ceased to make full interest payments, such that the lender has stopped earning interest and one where the borrowers is likely to default on the principal

non-freehold estate
Property that is not owned by the occupant but is held under lease or license.

Nor Sor 3
Is a certificate issued by the relevant local Land Department Authority certifying the usage of land of the person entitled thereto. The land has no exact boundaries.

Nor Sor 3 Gor
Is a certificate issued by the relevant local Land Department Authority certifying the usage of land of the person entitled thereto. The land is measured by the Land Department; therefore, it has its exact boundaries.

note
A legal document that obligates a borrower to repay a mortgage loan at a stated interest rate during a specified period of time.

no-cost loan
Almost all lenders offer loans at "no points." You will find the interest rate on a "no points" loan is approximately a quarter percent higher than on a loan where you pay one point.

notice of default
A formal written notice to a borrower that a default has occurred and that legal action may be taken.

notices
A legal notification required by law or agreement or imparted by operation of law as a result of some fact.

nuisance
A land use incompatible with surrounding land uses. Any activity by a property owner that annoys or seriously disturbs the neighbourhood making it difficult for other property owners to use or enjoy their own property.

null and void
That which cannot be legally enforced or is not legally binding.
occupancy
Occupancy rates represent rooms nights occupied expressed as a percentage of room nights available, during any given period. For other properties (other than a hotel), it is the measure of the percentage of floor space occupied by tenants as compared to the total lettable area of the building.

occupancy certificate (OC)
A document issued by the local municipal authority building proposal department that provides no objection to occupy the building under reference for its specified use. The OC is issued only once the building has been completed in all respects and can be occupied. A corporate can carry out its commercial activity only once the premises/building has received its OC.

offer
An expression of willingness to purchase or sell a property at a specified price; presenting for acceptance a price for a property parcel; the bid price in a real estate or security transaction.

offer and acceptance
These two requirements of a contract signifying mutual consent combined with valuable consideration are the major elements of a bidding contract

office
A room, set of rooms, or building where the business such as paperwork, administration, clerical services

off-site
Improvement or activities taking place away from the site or located away from the site

off-site improvement
Development of land adjacent to the property to make it habitable such as side-walks, paved access road, sewers, etc.

open listing
An agreement permitting a real estate agent to sell the property whilealso allowing the homeowner or other agents to attempt to make the sale

option
The right to buy or sell an item at a specified price withtin a given period of time. The right, if not exercised after a specified time, expires. For example, a lease of a property with the option to buy.

oral contract
The term refers to a verbal contract made between parties where there is partial or no written agreement. These types of contract have a very week legal standing and are dependent on witnesses to the said contract

ordinance
A statue enacted by a city or town especially enactments of the legislative body of a municipal corporation or a county

ordinary repairs
Minor day-to-day repair and maintenance of a property to prevent wear and tear.

owner occupied
A property that is occupied by an entity that posses ownership rights to the said property

original principal balance
The total amount of principal owed on a mortgage before any payments are made.

origination fee
On a government loan the loan origination fee is one percent of the loan amount, but additional points may be charged which are called "discount points." One point equals one percent of the loan amount. On a conventional loan, the loan origination fee refers to the total number of points a borrower pays.

owner financing
A property purchase transaction in which the property seller provides all or part of the financing.
parkway
A broadlandscape highway, often divided by a aplanted median trip.

partial payment
A payment that is not sufficient to cover the scheduled monthly payment on a mortgage loan. Normally, a lender will not accept a partial payment, but in times of hardship you can make this request of the loan servicing collection department.

pa-si-bum-rung-thong-thi
Local development tax only that’s applied to land. Typically it ranges from baht 0.5 to baht 400 per rai (1,600 sq. m) (2005)

pa-si-mul-la-ka-perm
Value added tax (VAT), which is a consumption tax based on the value of goods and services offered by traders, business or persons in Thailand. It is calculated from the price of the goods and services. The standard rate is 7% (2005)

pa-si-rong-ruen
House and land tax. This is a tax on assessed rental income and only applies to properties that are rented out. Rental contracts are typically split into three components that are taxed separately as follows 1) rental : subject to a house land and tax of 12.5% of annual rental receipts;2) lease of furniture: subject to a 7% VAT; and 3) service charge: subject to 7% VAT (2005)

patio
An area adjoining the house that is paved with concrete, flagstones, brick, etc. and is used for relaxation or recreation purposes

payment change date
The date when a new monthly payment amount takes effect on an adjustable-rate mortgage (ARM) or a graduated-payment mortgage (GPM). Generally, the payment change date occurs in the month immediately after the interest rate adjustment date.

pedestrian overpass
Bridge constructed over a highway, railway, roads, etc., for the use of pedestrian.

perimeter
The boundary lines of a property expressed in terms of measurement in length

periodic payment cap
For an adjustable-rate mortgage where the interest rate and the minimum payment amount fluctuate independently of one another, this is a limit on the amount that payments can increase or decrease during any one adjustment period.

periodic rate cap
For an adjustable-rate mortgage, a limit on the amount that the interest rate can increase or decrease during any one adjustment period, regardless of how high or low the index might be.

perpetuity
The condition of being never ending. In legal terms it refers to an interest under which property is less than completely alienable for longer than the law allows

personal property (also called movable property)
Any property that which can be moved from one place to another.
Any property that is not real property.

pile
Perpendicular support piece of structure, driven into the ground, which supports the foundation

PITI
This stands for principal, interest, taxes and insurance. If you have an "impounded" loan, then your monthly payment to the lender includes all of these and probably includes mortgage insurance as well. If you do not have an impounded account, then the lender still calculates this amount and uses it as part of determining your debt-to-income ratio.

PITI reserves
A cash amount that a borrower must have on hand after making a down payment and paying all closing costs for the purchase of a home. The principal, interest, taxes, and insurance (PITI) reserves must equal the amount that the borrower would have to pay for PITI for a predefined number of months.

planned unit development (PUD)
A type of ownership where individuals actually own the building or unit they live in, but common areas are owned jointly with the other members of the development or association. Contrast with condominium, where an individual actually owns the airspace of his unit, but the buildings and common areas are owned jointly with the others in the development or association.

plat (plat map)
A map or a parcel of land showing the boundaries of individual properties that has been divided into lots

plot
1) an area of land is used for a specific purpose such as a cemetery plot
2) The term may refer to a piece of land on which a structure or improvements are to be built.

plot plan
Plan represented in the form of a scale diagram that shows the proposed or existing use of a specific parcel of land such as the location of the structures within boundaries of the property, utility services, compass direction, etc.

possession
Actual or physical holding or occurency of a property with or without rightful ownership
Postdated
Incorporating a later date on an instrument such as check or dead than the date on which it was signed

power of attorney
A legal document that authorizes another person to act on one’s behalf. A power of attorney can grant complete authority or can be limited to certain acts and/or certain periods of time.

practical completion
When a facility is completed to a stage where it is fit for occupation (minor defects may remain at this time)

pre-approval
A loosely used term which is generally taken to mean that a borrower has completed a loan application and provided debt, income, and savings documentation which an underwriter has reviewed and approved. A pre-approval is usually done at a certain loan amount and making assumptions about what the interest rate will actually be at the time the loan is actually made, as well as estimates for the amount that will be paid for property taxes, insurance and others. A pre-approval applies only to the borrower. Once a property is chosen, it must also meet the underwriting guidelines of the lender. Contrast with pre-qualification

pre-commitment
Space directly pre-leased in buildings prior to their completion or refurbishment

pre-emption certificate
the document showing authorization of temporary occupation of land.

pre-emption right
The right of first refusal or to make an offer before others.

prefabricated house
A modular structure built of blocks manufactures elsewhere and assembled at the site.

prefabrication
A technique whereby a large units of a building or a part of it are produced in factories to be assembled, ready-made, on the building site

preliminary title report
A report filed by a lawyer who has conducted a preliminary search of a property’s title. Preliminary title reports are followed by final title reports that may confirm the finsings of the earlier report or provide data on additional facts which come to light following a more detailed search.

premises
1) the preliminary or explanatory statements or facts of a documents, as in a deed.
2) Land and the buildings on it

premium
1) a sum of money or bonus paid in addition to a regular price, salary, or other amount.
2) The amount paid, often in addition to the interest, to obtain a loan.
3) The amount paid or payable, often in installments, for an insurance policy
4) The amount at which something is valued above its par or nominal value, as money or securities
5) The amount at which a securities option is bought or sold

prepayment
Any amount paid to reduce the principal balance of a loan before the due date. Payment in full on a mortgage that may result from a sale of the property, the owner's decision to pay off the loan in full, or a foreclosure. In each case, prepayment means payment occurs before the loan has been fully amortized.

prepayment penalty
A fee that may be charged to a borrower who pays off a loan before it is due.

pre-qualification
This usually refers to the loan officer’s written opinion of the ability of a borrower to qualify for a home loan, after the loan officer has made inquiries about debt, income, and savings. The information provided to the loan officer may have been presented verbally or in the form of documentation, and the loan officer may or may not have reviewed a credit report on the borrower.

price
1) the amount as of money or goods, asked for or given in exchange for something else
2) the cost at which something is obtained

prime rate
The interest rate that banks charge to their preferred customers. Changes in the prime rate are widely publicized in the news media and are used as the indexes in some adjustable rate mortgages, especially home equity lines of credit. Changes in the prime rate do not directly affect other types of mortgages, but the same factors that influence the prime rate also affect the interest rates of mortgage loans.

principal
The amount borrowed or remaining unpaid. The part of the monthly payment that reduces the remaining balance of a mortgage.
principal balance
The outstanding balance of principal on a mortgage. The principal balance does not include interest or any other charges. See remaining balance.

Principal contractor
The contractor responsible for the site and all activities that are carried out on it whilst under construction (has a major implication regarding safety)

principal, interest, taxes, and insurance (PITI)
The four components of a monthly mortgage payment on impounded loans. Principal refers to the part of the monthly payment that reduces the remaining balance of the mortgage. Interest is the fee charged for borrowing money. Taxes and insurance refer to the amounts that are paid into an escrow account each month for property taxes and mortgage and hazard insurance.

private mortgage insurance (MI)
Mortgage insurance that is provided by a private mortgage insurance company to protect lenders against loss if a borrower defaults. Most lenders generally require MI for a loan with a loan-to-value (LTV) percentage in excess of 80 percent.

private property
Property owned by a privateindividual, company, corporation or a non-governmental body

project
A piece of planned work or an activity which is completed over a period of time and intended to achieve a particular aim, normally the construction of a facility

project management
The process of planning organizing, staffing, directing and controlling a project

property
The right and interest in lands and chattels to the exclusion of others. Something owned; any tangible or intangible possession that is owned by someone.

property line
Official dividing line between two properties. Legal boundary of property

property management
The range of functions concerned with looking after a building, including collection of rents, payment of outgoings, maintenance including repair, provision of services, insurance and supervision of start employed for services, together with negotiations with tenants or prospective tenants. The extent of an responsibility for management between landlord and tenants. The e

promissory note
A written promise to repay a specified amount over a specified period of time.

public auction
A meeting in an announced public location to sell property to repay a mortgage that is in default.

Planned Unit Development (PUD)
A project or subdivision that includes common property that is owned and maintained by a homeowners' association for the benefit and use of the individual PUD unit owners.

purchase agreement
A written contract signed by the buyer and seller stating the terms and conditions under which a property will be sold.

purchase money transaction
The acquisition of property through the payment of money or its equivalent.
qualifying ratios
Calculations that are used in determining whether a borrower can qualify for a mortgage. There are two ratios. The "top" or "front" ratio is a calculation of the borrower’s monthly housing costs (principle, taxes, insurance, mortgage insurance, homeowner’s association fees) as a percentage of monthly income. The "back" or "bottom" ratio includes housing costs as will as all other monthly debt.

quitclaim deed
A deed that transfers without warranty whatever interest or title a grantor may have at the time the conveyance is made.
rai
Equivalent to 1,600 square meters (4 ngan)

rate lock
A commitment issued by a lender to a borrower or other mortgage originator guaranteeing a specified interest rate for a specified period of time at a specific cost.

raw land
Term for land that does not have facilities or services such as water, traffic, electricity, communication infrastructure or gas. Virgin land

real estate agent
A person licensed to negotiate and transact the sale of real estate.

real estate broker
A person who brings buyers and sellers or lessors and lessees or tenants and landlords together and receives a percentage of the deal value as compensation

real estate license
A license issued by a competent authority for carrying on the business of a real estate broker developer.

real property (also called Immovable Property)
Land and appurtenances, including anything of a permanent nature such as structures, trees, minerals, and the interest, benefits, and inherent rights thereof. Any property that which cannot be moved from one place to another.

realtor
A real estate agent, broker or an associate who holds active membership in a local real estate board that is affiliated with the National Association of Realtors.

reconveyance
The transfers of title to a mortgaged property from a trustee to equitable owner after all sums due plus interest have been repaid

rectification of boundaries
The correction or adjustment of the line(s) separating two properties in order to correctly reflect the title of lands.

recorder
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."

recording
The noting in the registrar’s office of the details of a properly executed legal document, such as a deed, a mortgage note, a satisfaction of mortgage, or an extension of mortgage, thereby making it a part of the public record.

reddendum
Legal term for for an owner retaining some rightsin a sale or lease deed

re-entry
The right to retake possession of a property that has been given to another party by way of mortgage, lease, rental, etc. Legal action is often necessary to enforce the right

refinance transaction
The process of paying off one loan with the proceeds from a new loan using the same property as security.

refurbishment
The act of renovating or upgrading an existing property either internally or externally.

REIT(real estate investment trust)
A REIT is a corporation or trust that uses the pooled capital of many investors to purchase and manage real estate assets and/or mortgage loans. REITs are traded on major stock exchanges like normal stocks. They are often also granted special tax considerations. Key benefits of REITs are their inherent liquidity and their instant pricing. REITs enable investment in all major asset types including shopping centers and other commercial or industrial properties

remaining balance
The amount of principal that has not yet been repaid. See principal balance.

remaining term
The original amortization term minus the number of payments that have been applied.

renegotiation
The act of trying to impose on an existing agreement. Some agreements specifically allow the renegotiation of certain terms like rents or rate of interest after given intervals.

renewal
An agreement to continue an existing contract on similar or slightly modified terms at the end of the previous term.

renewal option
A clause in an agreement that gives either or both parties the right but not the obligation.

renewal term
Upon the conclusion of the initial term as mentioned in the agreement, the lessee at its option may renew the agreement for the additional period (usually three to five years) which is described in the agreement as the renewal term

rent free period
Period during which the landlord does not charge rents from the lessee. This is usually at the beginning of the contract period when the lessee needs time to furnish property to make it fit for use.

rent loss insurance
Insurance that protects a landlord against loss of rent or rental value due to fire or other casualty that renders the leased premises unavailable for use and as a result of which the tenant is excused from paying rent.

rent review
A provision in a lease whereby the amount of the rentis to be rent is to be reconsideredat stated intervals, e.g. every three or five years, or on specified dates. The method and procedure for reviewing the rent are outlined in the lease. Failing agreement between the parties there is normally provision for reference to a third party, i.e., an arbitrator or independent expert.

rentable area
The are in square feet or square meters that a landlord can charge rent for.

rental
A periodic payment for the use of land or property made by a tenant to a landlord under a lease or tenancy agreement. Rent is therefore both a charge on occupation and also a return to owners of property.

rental agent
A real estate broker who helps a landlord to find a tenant, in return for a consideration, usually a percentage of the annual or monthly rent.

rental agreement
An agreement between a landlord and a tenant setting forth the terms of the lease

rental commencement
Refers to a date when the lessee’s obligation to pay rent commences.

rental review
At the end of the initial term of the agreement, the rental review comes into place based on the then market conditions. Rental reviews is usually pre-determined and the increase is capped at the time of execution of the initial term of the agreement.

replacement
The substitution of a broken or damaged portion of a property with a similar item.

replacement value
The cost of replacing damage items with new items. It will often be greater than the value of the original items before damage occrued. In the case of valuable antiques, replacement may be impracticable regardless of cost.

repayment plan
An arrangement made to repay delinquent installments or advances.

replacement reserve fund
A fund set aside for replacement of common property in a condominium, PUD, or cooperative project -- particularly that which has a short life expectancy, such as carpeting, furniture, etc.

reservation
a right that has been retained by an original owner of land. Also refers to land that has been aside by the government for a particular purpose or group of people.

reserve
The setting aside of funds

reservoir
A designed area where water is stored

resort hotel
A full service lodging establishment located in a place frequented by people for relaxation or recreation.

resort property
Property that people visit on vacations or weekends for fun and relaxation.

restoration
The carrying out of repairs to a building in order to make it appear as it did originally

retaining wall
Wall that restrains water or soil from flowing into an inappropriate area

retention
An agreed sum held from the contractors payments until completion in case of non performance of the contractor

retrofitting
The extensive renovationto a building often involving major changes to its layout, services and structures, to enhance its functionality and update or improve its appeal and marketability with a view to achieve better investment returns and capital appreciation

revolving debt
A credit arrangement, such as a credit card, that allows a customer to borrow against a pre-approved line of credit when purchasing goods and services. The borrower is billed for the amount that is actually borrowed plus any interest due.

right of first refusal
A provision in an agreement that requires the owner of a property to give another party the first opportunity to purchase or lease the property before he or she offers it for sale or lease to others.

right of survivorship
In joint tenancy, the right of survivors to acquire the interest of a deceased joint tenant.

right of way
the right to pass over land not legally ot specifically belonging to the user.

root of title
Document that establishes beyond dispute the title of an unregistered land. It traces the title to the property back in time, sometimes up to hundred years or more, and from that point to the present, leaving no scope for any dispute over the right and title of the current owner

row houses
Residential houses within a housing estate having two or three floors, constructed next to each other, having common walls, foundations and facilities. Also referred to as “terraced houses” in Singapore and Malaysia

rural
Of or relating to the countryside, as opposed to cities.
saleable area
The floor area exclusively allocated to the unit including balconies and verandahs but excluding common areas such as stairs, lift shafts, lobbies, etc. The saletable area is measured from the exterior of the enclosing walls of the units and to the center line of the party wall between two units

sale-leaseback
A technique in which a seller deeds property to a buyer for a consideration, and the buyer simultaneously leases the property back to the seller.

salvage value
The realizable value of goods or construction material that can be recovered and sold from a building that is being demolished. Example: doors, windows, marble slabs, steel rods, etc.

satisfaction
The repayment in full of debt or a payment in full and final settlement of an outstanding amount.

scale

sea level
The level of the surface of the sea; any surface on the same level with the sea.

seal(s)
Identifier used on a document as a mark of genuineness and authenticity

sealed bid
An offer usually in form of a tender, submitted in a sealed package on the understanding that it will be opened simultaneously with other competitive offers at a stated time and place. In some circumstances tenderers are permitted to be present when the bids are opened

search
The reviewing, of all recorded transaction in the public record, to discover any title defects, which could interfere with the transfer of ownership of a property.

second mortgage
A mortgage that has a lien position subordinate to the first mortgage.

secondary
Property which is below that of prime in relation to rentals, location, etc.

secondary market
The buying and selling of existing mortgages, usually as part of a "pool" of mortgages.

security agreement
Any loan agreement that includes a charge on a fixed asset

seller carry-back
An agreement in which the owner of a property provides financing, often in combination with an assumable mortgage.

seller’s market
A market in any property or commodity where the circumstances are such that the seller has an advantage over a potential buyer to the extent that he can command a higher price than otherwise would be obtainable.

service charge
The collective name for the cost of air-conditioning and other services and management charges passed on to the tenant.

service accommodation
Fully furnished apartment where tenants are provided services such as house keeping, security and concierge or reception or front office. Serviced apartments combine the features of a hotel and an apartment

servicer
An organization that collects principal and interest payments from borrowers and manages borrowers’ escrow accounts. The servicer often services mortgages that have been purchased by an investor in the secondary mortgage market.

servicing
The collection of mortgage payments from borrowers and related responsibilities of a loan servicer.

signage
Refers to anything that functions like a sign. The tenant and the landlord, on mutual discusiion, will agree on the location for the tenant to erect their signage. Usually signage is provided by the landlord in the building directory and on the common lobby of the demised premises

single family house
A house that is designed for occupation by one family only, as opposed to an apartment block that is designed for occupation by several families.

sinking fund
A sum of money set aside at regular interval to earn interest on a compound basis either: 1) to be set off against the diminution in value of a wasting asset, e.g., a lease; or 2) to meet some future cash liability. In property valuations, it is usually assumed that the money will be invested at a “risk free” which si regarded as appropriate according to market conditions. The total amount calculated to accumulate by the sinking fund may be the same as the original investment or liability but possibly with an adjustment to reflect the view taken on future fluctuations in the value of money

site analysis
An examination of a property to decide if it is suitable for a particular use. Or an examination of a property with the purpose of deciding its most appropriate use.

site development
Improvements made to a plot of land to make it suitable for building, such leveling uneven ground, laying of sewer and underground utility lines, etc.

site plans
Diagrams, sketches or maps showing the outline and location of a particular plot along with all features in it.

sky lease
A lease, securing exclusively use by a lessee and its nominees, of the air space above a plot of land. Example: nowadays, airport operators demand sky leases above the airports they develop or manage.

sole agency
A sole agency precludes all other agents from working on the sale of the property, although another agent may approach the sole agent if it has a suitable party. The sole agent would handle the approach to the principal.

space design
Layout plan for the interior of a building. Involves both construction as well as interior design

span
The distance between two pillars, walls or other load bearing structures.

stamp duty
A fixed tax chargeable on the execution of documents pertaining to certain transactions (e.g., leases)

statue of limitations
Law that stipulates that a legal action to redress a wrongdoing has to be brought before a judicial forum within a set time, after which no legal remedy will be available.

statutory lien
A lien or restriction created on the operation of land. Example: outstanding property taxes may create a lien against the property

subcontractor
A contractor engaged by a general contractor to execute specific job. The overall building contract is given to the general contractors, plumbing contractors, etc., to do specialized jobs.

subdivision
A housing development that is created by dividing a tract of land into individual lots for sale or lease.

subdivision map
Detailed drawing of a real estate or administrative subdivision showing boundaries and other features

subject to
Conditional upon, for example, a buyer may agree to purchase a property subject to the existing title holder paying off all existing liens on it within particular period.

sublease
A lease granted by a person who himself enjoys only a lease interest over that property. Here, the sub-lessor cannot grant rights he does not have. Example: A leases a plot of land to B for 25 years. If allowed in his contract with A, B can sub-lease the land to C for the remaining period of his lease term, but cannot sub-lease it for 26 years.

sub-lease space
Vacant space which is available for lease from the contracted tenant of the premises

subordinate financing
Any mortgage or other lien that has a priority that is lower than that of the first mortgage.

survey
A drawing or map showing the precise legal boundaries of a property, the location of improvements, easements, rights of way, encroachments, and other physical features.

sweat equity
Contribution to the construction or rehabilitation of a property in the form of labour or services rather than cash.

tenancy in common
As opposed to joint tenancy, when there are two or more individuals on title to a piece of property, this type of ownership does not pass ownership to the others in the event of death.

tenant
A person who occupies real property owned by another based upon an agreement between the person and the landlord/owner, almost always for rental payments

tenant improvements
Charges, typically to a property, to accommodate specific needs of a tenant. The cost of such improvements may be borne by the landlord or shared by both, the tenant and the landlord as may be agreed upon by the two

tenure
the length of time or condition under which something, such as a piece of property, is held. The duration of ownership rights

term
The period of time during which something is in effect. A stated number of years. A condition specified in an agreement.

termination
The legal right of the lessee/licensee to vacate the demised premises and terminate the agreement. The right to termination of lease/license is described in detail in an agreement

third-party origination
A process by which a lender uses another party to completely or partially originate, process, underwrite, close, fund, or package the mortgages it plans to deliver to the secondary mortgage market.

time-sharing
Ownership for a specific period of time, of a property, by several persons. Applicable to condominiums and resorts. For example a unit or apartment in a resort may be sold to 12 persons or entities where each is given the right to the unit for a period of one month every year. Weekly ownership is the most common period of time share

title
A legal document evidencing a person's right to or ownership of a property.

title company
A company that specializes in examining and insuring titles to real estate.

title deed
the document showing ownership of the land and includes land title deed with map, pre-emption title deed and pre-emption certificate stamped “ALERADY PUT TO USE”.

title insurance
Insurance that protects the lender (lender's policy) or the buyer (owner's policy) against loss arising from disputes over ownership of a property.

title search
A check of the title records to ensure that the seller is the legal owner of the property and that there are no liens or other claims outstanding.

topographical survey
A survey of an area by mapping the physical features of the region

topography
Art of mapping the physical features of a region. The topography describes the characteristics of an area, such as its contours, flatness, mountains, etc.

trade in land
The acquisition and disposition of land for commercial profit by the sell, exchange or conditional sell (hire-purchase) of land

transaction costs
Taxes, legal fees and other costs incurred in transaction property

transfer fax
An assessment and imposition of tax by state or local government when a piece of property changes hands.

transfer of ownership
Any means by which the ownership of a property changes hands. Lenders consider all of the following situations to be a transfer of ownership: the purchase of a property "subject to" the mortgage, the assumption of the mortgage debt by the property purchaser, and any exchange of possession of the property under a land sales contract or any other land trust device.

transfer tax
State or local tax payable when title passes from one owner to another.

two-step mortgage
An adjustable-rate mortgage (ARM) that has one interest rate for the first five or seven years of its mortgage term and a different interest rate for the remainder of the amortization term.

two- to four-family property
A property that consists of a structure that provides living space (dwelling units) for two to four families, although ownership of the structure is evidenced by a single deed.

trustee
A fiduciary who holds or controls property for the benefit of another.

turn key
A development in which a developer completes the entire project on behalf of a buyer. All the new tenant or owner has to do is “turn the key” to the apartment or office in a newly constructed building becauseeverything is completed and ready for occupancy

underconstruction
Refers to a development where actual building construction has ben initiated

unimproved land
Raw land in its natural state has no installed improvements or structures.

unit
Segregated part of a structure i.e., one apartment in an apartment building or an office in a commercial building.

unlawful detainer
1) keeping possession of real property without a right, such as after a lease has expired, after being served with a notice to quit (vacate, leave) for non-payment of rent or other breach of lease, or being a "squatter" on the property. Such possession entitles the owner to file a lawsuit for "unlawful detainer," asking for possession by court order, unpaid rent and damages.
2) a legal action to evict a tenant or other occupier of real property in possession, without a legal right, to declare a breach of lease, and/or a judgment for unpaid rent and other damages. Such lawsuits have priority over most legal cases, and therefore will be calendared for trial promptly.

use density
The ratio of the number of buildings or floor area of built-up space of a particular use to a given area

usury
Levy of excessive rate of interest on a loan that is considered illegal as it is not accepted by law.

utilities
Services such as water, gas, electricity, etc., provided to land or private utility companies

utility charges
Utility such as water and power for the demised premises is separately charged/meters to the tenant. The tenant is usually responsible to pay to the concerned utility company the charge for such utilities as per the bills raised by the the utility company.

utility room
Room that contains the appliances necessary for the maintenance of of that establishment such as a room used for laundry, heating equipment telephone wiring, janitorial purposes, etc.

vacancy
A house or apartment or shop space or office space that is available for rent or sale.

vacate
To move out of a house, apartment, office, retail or industrial space

the process of making an estimate of the worth of real property or other assets for a particular purposes, e.g., letting, purchase, sale audit, rating, compulsory purchase of taxation. That purpose and the relevant circumstances will determine assumptions and facts that are appropriate and hence the process used.
A statement, usually in writing, setting out the facts, assumptions, calculations and resultant value.’
Colloquially, the value arrived at as a result of valuation process

value-added tax (VAT)
Value-added tax is a form of sales tax. It is a tax on consumption levied on the sale of goods and services.

waive
To give up, renounce, submit or surrender a right, benefit, privilege or claim

waiver
Refers to a legal document that proves the relinquishment of rights or claims. It may also mean deliberate relinquishment of rights or claims

warehouse
Building that is used specifically for the purpose of storing or keeping merchandise

warehousing
The act of holding mortgages for the purpose of later securitizing and selling the same to other investors or lenders

warranted price contract
An agreement between parties to design and construct a facility for a maximum price to an agreed brief where any savings maybe shared between the parties.

warranty
Legally binding agreement given at the times of sale , by the seller to the buyer, containing certain assurances as to the terms and condition of the property being sold

water rights
The legal right of a landowner to the water found on his property.

waterfront
Property with a body a water in front of it. Alternatively, a contiguous area of similar properties near the large body of water which has a commercial port.

wear and tear
Deterioration or decline in the value of a property due to use, physical damage, old age or environmental factors

weathering
The wear and tear of the exterior of a building caused by exposure to the weather

wing
Building part, which is concerned to, but leading away from the main structure.

withholding tax
A phrase used to enable parties to negotiate an agreement or settle a dispute, either orally or in writing, without any statement or admission made being subsequently quoted or produced in evidence at any legal hearing bearing on the subject-matter of the proposed agreement or dispute. In claiming this privilege, care must be taken to avoid statements which are untrue or of a defamatory nature, which might entitle the court to allow their admission in evidence at the request of the other party. In any event, the privilege applies only to the proceedings in question, so that “ without prejudice” statements (verbal or written) can, in certain circumstances, be produced in evidence in some other, unrelated, dispute.

without recourse
A company is not responsible to a third party when an account or financial instruments is not honored by the debtor with creditor’s only recourse being to the debtor’s property

yield
The return on an investment compared to the total cost of investment over a given period of time: e.g., if an investment of $1,000 gives return of $ 100 in one year, the yield on the investment is 10%

zone
Geographically location with designated boundaries such as district. May also refer to a specific land use within a designated boundary or area as a part of the master plan for a large scale development such as a township. E.g., residential zone or commercial zone, etc.