Glossary of Real Estate Terms
The language of real estate is like that of other industries. Some words and phrases may seem foreign, others are ones that you hear every day. Following is a glossary that hopefully will allow you to better understand the real estate transactions with which you are involved.
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- Sale Agreement
A contract entered into between a buyer and seller, setting forth the terms, provisions and conditions of a sale of real estate.
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- Sale and Leaseback
The sale of an asset to a buyer who immediately leases it back to the seller.
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- Search
The careful exploration and perusal of the public records in an effort to find all recorded instruments relating to a particular chain of title.
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- Second Mortgage
A mortgage ranking in priority immediately below a first mortgage.
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- Subordination
The act or process by which a person’s rights are ranked below the rights of others. For example, a second mortgagee’s rights are subordinate to those of the first mortgagee.
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- Surety
(1) A person who agrees to be responsible for a debt or obligation of another. (2) The pledge or agreement by which one undertakes responsibility for the debt or obligation of another.