|
Glossary of Terms
A
- B - C
- D - E
- F - G
- H - I
- J - K
- L - M
- N - O
- P - Q
- R - S
- T - U
- V - W
- X - Y
- Z
BALLOON
NOTE
A note calling for periodic payments
which are insufficient to fully amortize the face amount of
the note prior to maturity. so that a principal sum known as
a "balloon" is due at maturity.
BANKRUPT
One who is adjudicated a bankrupt by a
court having proper jurisdiction. The bankruptcy may be
voluntary (petitioned by the bankrupt) or involuntary
(petitioned by the creditors of the bankrupt).
BANKRUPTCY
Proceedings under federal bankruptcy
statutes to relieve a debtor (bankrupt) from insurmountable
debt. The bankrupt's property is distributed by the court to
the creditors as full satisfactions of the debts, in
accordance with certain priorities and exemptions. Voluntary
bankruptcy is petitioned by the debtor, involuntary by the
creditors.
BEFORE
AND AFTER METHOD
An appraisal method used in both
condemnation and modernization. In condemnation the method
is used in a partial taking. The value of the total land
owned by A, for example, is $1.00 per sq. ft. After a
partial taking, the remaining land of A is worth $.75 per
sq. ft. A should receive $1.00 per sq, ft. for the property
taken plus $.25 per sq. ft. for the remaining parcel. In the
event the remaining property is worth $1.25 after the taking
(increased value), the payment to A could be less than the
value of the property taken. In modernization, an appraiser
may take the value of property before and after remodeling
to determine if the value increased more than modernization
costs.
BLANKET
MORTGAGE
(1) A mortgage
covering more than one property of the mortgagor, such as a
mortgage covering all the lots of a builder in a
subdivision.
(2) A mortgage covering all real
property of the mortgagor, both present and future. When
used in this meaning it is also called a "general
mortgage."
BONA
FIDE PURCHASER
A purchaser in good faith, for
valuable consideration, without notice or knowledge of
adverse claims of others. Sometimes abbreviated B.F.P.
BOOK
DEPRECIATION
Depreciation reserved (on the
books) by an owner for future replacement or retirement of
an asset.
BOROUGH
A part of a city, having authority
over certain local matters. The best known boroughs are the
five boroughs of New York City.
BREACH
OF WARRANTY
In real property, the failure of the
seller to pass title as either expressed or implied (by law)
in the conveyancing document.
BREAST-HEIGHT
The height at which the diameter of a
tree is measured. A height of 4'/2 feet above the ground
level. The abbreviation D.B.H. (diameter-breast-height) is
usually used.
BROKER.
REAL ESTATE
One who is licensed by the state to
carry on the business of dealing in real estate. A broker
may receive a commission for his or her part in bringing
together a buyer and seller, landlord and tenant, or parties
to an exchange.
BUILDING
AND LOAN ASSOCIATION
An organization for the purpose of
accumulating a fund by subscription and savings of its
members, to assist them with loans for building or
purchasing real estate.
BUYDOWN
A payment to the lender from the
seller, buyer, third party, or some combination of these,
causing the lender to reduce the interest rate during the
early years of a loan. The buydown is usually for the first
1 to 5 years of the loan.
BUY-SELL
OFFER
An offer by one owner of a business or
real estate to buy out the interest of another owner of the
same business or real estate (a partner or other
shareholder), or to sell the offeror's interest at the same
price or proportionate price if unequal ownership. Example:
A and B each own an 'h interest in lot 1. A offers to buy
B's interest for $10,000 or to sell A's interest to B for
$10,000. Theoretically very fair, since B has the option to
buy or sell. However. B's interest may be worth $12,000, but
B is financially unable to buy A's interest (also worth
$12.000)
Thinking Of Selling Your Waterfront Property?
We Want You To Be Here!
|
RealtorŪ 
Equal Housing Opportunity 
