Where cozy means tiny and charming means needs work.
An additional fee charged by HOAs or municipalities for specific improvements or repairs not covered by regular dues or taxes. It's the surprise bill that reminds you that common ownership comes with uncommon expenses.
Zoning rules dictating the minimum distance a building must sit from property lines, streets, or other structures, preventing neighbors from building right up to your fence line. It's mandatory personal space for properties.
An official map filed with the county showing how land is divided into lots, streets, and easements. It's the government-approved blueprint that prevents you from accidentally buying someone's driveway.
A loan where the borrower remains personally liable even after foreclosure if the property sells for less than owed. It's the lender's insurance policy that you can't just walk away.
A seller-financed agreement where the buyer makes payments directly to the seller but doesn't receive the deed until paid in full. It's layaway for houses, with all the same risks.
A retail lease provision letting tenants break the lease or pay reduced rent if an anchor store closes or occupancy drops below a threshold. It's the commercial tenant's escape hatch from a dying mall.
Strategies employed by lenders to avoid foreclosure when borrowers can't make payments, including loan modifications, short sales, or forbearance. The bank's damage control department.
A house built by a developer on speculation without a specific buyer lined up. Building it and hoping they will come—the real estate field of dreams.
Foreign Investment in Real Property Tax Act—IRS rules requiring withholding from foreign sellers of US real estate. Because Uncle Sam doesn't trust foreigners to voluntarily pay capital gains taxes after they've left the country with the money.
A valuation method comparing a property to similar recent sales in the area, also known as 'pretending your house is worth what you want it to be.'
A publicly-traded company owning income-producing real estate, basically real estate democratized for stock market players.
Annual net income divided by annual debt payments, basically whether you're making enough money to pay your mortgage.
Breaking up a piece of real estate (or a company) into smaller parcels for resale—the real estate equivalent of carving up a turkey. Usually done to maximize profit rather than actual value.
The percentage of your gross monthly income that goes toward debt payments, used by lenders to determine if you can afford a mortgage. It's basically a mathematical judgment of your life choices.
A FEMA-designated area with specific flood risk levels that determine insurance requirements and costs. It's the government's way of telling you that 'waterfront property' might be more literal than you hoped.
When a seller (usually a family member) sells a property below market value and treats the difference as a down payment gift. It's nepotism in real estate form, and the IRS has feelings about it.
The guaranteed timeframe during which your mortgage interest rate won't change, typically 30-60 days. It's a race between closing and your lock expiring, with your financial future hanging in the balance.
A legal claim against a property by contractors or suppliers who weren't paid for work or materials. It's revenge served cold by your deadbeat seller's unpaid roofer.
An arrangement where sellers continue renting their former home from buyers after closing, usually for a short period. It's the awkward transition period where you're both landlord and confused.
A tax levied by state or local government when property ownership changes hands. It's the government's cut of your real estate transaction, because apparently they weren't getting enough already.
A legal doctrine where you can actually gain ownership of property by possessing it openly and continuously for a statutory period, essentially rewarding squatting with a deed. Also known as adverse possession, this concept turns 'finders keepers' into actual law, provided you're bold enough to act like you own something for long enough. It's the legal system's way of saying 'use it or lose it' to absentee property owners.
Ongoing expenses of property ownership including mortgage, taxes, insurance, utilities, and maintenance while holding property for investment. These costs literally 'carry' you financially from purchase to sale, often eating profits investors forgot to calculate.
A mortgage that meets Fannie Mae and Freddie Mac's size and underwriting requirements, making it eligible for government backing. Essentially, it's a loan that colors inside the lines and gets rewarded with better interest rates.
An even more secretive version of a pocket listing, shared only with a select few high-net-worth clients. It's so exclusive that talking about it too loudly could violate the whole point.