What is a Purchase Price in real estate?

The offer you have received is typically contingent upon the results of a home inspection. The buyer...

The amount that the Buyer will be paying to the Seller in consideration for the Seller's real proper...

An addendum is a modification or revision to the executed Purchase And Sale Agreement (the "Agreemen...

The Contract Of Sale is the agreement between the Seller and Buyer wherein real property is being so...

A Trainee Appraiser is an individual training to become a licensed real estate appraiser who has com...

The Purchase And Sale Agreement ("PSA") between a Buyer and a Seller that outlines the terms of the ...

As Disbursed is a term used by private lenders when they are only charging interest for amount of a ...

A quadplex is a 4-unit house. Quadplexes are very attractive to rental property investors. There's m...

Net Operating Income ("NOI") = Revenue - Operating Expenses. Learn how to calculate NOI....

A Personal Financial Statement is a simple overview of your Assets, Liabilities and Income that is s...

Cash On Cash Return is the amount of cash flow your rental property generates as a percentage of the...

Gross Yield = Gross Annual Rent ÷ Current Market Value. Learn more about gross rental yield. ...

A Licensed Residential Appraiser is a licensed real estate professional who has completed at least 1...

A mortgagee clause is a provision included in a property insurance policy protecting the mortgagee (...

A double closing is when a buyer purchases a property from a seller and then immediately sells the p...

A Certified Residential Appraiser has completed at least 200 hours of appraisal education and accumu...

A mortgage loan originator or MLO is a licensed person or company who facilitates the mortgage proce...

The Nationwide Multistate Licensing System or NMLS is the system of licensure for mortgage companies...

A Certified General Appraiser has completed at least 300 hours of appraisal education and accumulate...

A short sale is a sale of real property in which with proceeds will not cover the outstanding mortga...

Dutch Interest is when a private lender charges interest on the full loan amount, including the cons...

Foreclosure is the legal process in which a lender attempts to recover the balance of a loan from a ...

Real estate appraisal is the process of developing an opinion of value for real property. Appraisals...

The Inspection Window is the amount of time (defined in the Purchase And Sale Agreement) that a Buye...

The After Repair Value (ARV) is the value of a property after completion of a renovation. ...

Tax lien certificates are financial instruments that transfer tax collection from the local governme...

Scope Of Work is a document used by private lenders and appraisers to evaluate a real estate investo...

Capitalization Rate ("Cap Rate") = Net Operating Income / Current Market Value. Learn how to calcula...

Single Room Occupancy or SRO is the renting of a house room by room. Learn more about single room oc...

What are wholesale properties? Learn about wholesale real estate and how anyone buying or selling re...

Turnkey rental properties are single family and multifamily houses that are sold to rental property ...

LTARV means Loan To After Repair Value. This acronym is commonly used by private lenders and commerc...

A home warranty is either a legal warranty or service contract that covers a homeowner in the event ...

Dispositions in real estate refers to selling or liquidating a financial interest in a property. Thi...

A HUD-1 is a settlement statement used to show the debits and credits for the buyer and seller in a ...

A cash out refinance is when a real estate investor or homeowner pulls a portion of the equity out o...

What is a Private Lender? Learn about private lending and how to find private lenders for your real ...

A duplex is a 2-unit house. The means there are two separate living spaces -- two separate entrances...

An eviction moratorium is a temporary halt in evictions imposed at the Federal and/or State governme...

A cash buyer is a person or business entity that is able to purchase real estate without using a len...

In the real estate world, to rehab means to rehabilitate or renovate a house. Learn more about rehab...

Comps are a real estate valuation method using comparable properties as the basis for estimating the...

Fix and flip is a real estate term to describe the activity of buying a house, rehabbing it, and sel...

Requiring proof of funds from prospective buyers is an important qualification step and filter to pr...

A general contractor or "GC" is a licensed professional who manages and is responsible for real esta...

PropTech means property technology and is the term used to describe companies focused on technology-...

Equity in real estate is ownership in a property. Equity is the value that is left to the owner once...

PMI stands for private mortgage insurance and is charged to homeowners when less than 20% down payme...

LTV stands for loan-to-value and is a metric used by lenders to determine loan limits....

Net Yield = Net Annual Rent ÷ Current Market Value. Learn how to calculate net yield and how it's us...

FSBO means For Sale By Owner. These are real estate listings where a listing agent or realtor is not...

House hacking is the process of buying a house that you live in and rent out in order to cover part ...

PITI stands for mortgage principal, interest, taxes and insurance. Learn more about PITI at OfferMar...

A draw request is how construction loans (fix and flip, bridge) are ...

A fourplex is a 4-unit house. Fourplexes are very attractive to rental property investors. There's m...

A triplex is a 3-unit house. Triplexes are attractive to rental property investors. There's more to ...

PUD means planned unit development. A PUD is a community of single family homes where every homeowne...

Landlord insurance, commonly referred to as rental property insurance, covers dwellings from a prope...

Real estate syndication is the pooling of investment capital from multiple investors to purchase an ...

A pocket listing is a property that a real estate agent has a listing agreement for but has not synd...

HOA means Homeowners Association and it is an organization that governs a community, typically of si...

A motivated seller is an owner of real estate that needs to sell fast. Motivated sellers on OfferMar...

Free cash flow, FCF, the the cash generated by a real estate investment after all expenses are accou...

A 203k loan is a loan issued by the Federal Housing Administration (FHA) that includes purchase pric...

An assignment of contract is when the Buyer in a real estate transaction assigns their role to anoth...

Buy, Rehab, Rent, Refinance. This is a highly effective methodology for high ROI rental property in...

A real estate bird dog is someone to finds distressed properties and sellers of distressed propertie...

Deferred maintenance is any required maintenance on a property that has not yet been performed. Ther...

Off market real estate is one or more properties that are not widely marketed as being available for...

A power buyer is a company that enables cash offers for consumer home buyers....

The Multiple Listing Service or MLS is a brokerage listing syndication service....

A buyers list is a list of buyers to whom wholesalers market their deals. In traditional wholesaling...

A "REIT" is a real estate investment trust. REITs are tax-efficient financial vehicles that hold rea...

REIA stands for Real Estate Investors Association. This is a local network of real estate investors ...

Mortgage loans are repaid over time, usually in equal monthly installments, based on an amortization...

Mortgage forbearance is a program most lenders and servicers offer to homeowners to temporarily paus...

Virtual staging is gaining popularity as a low-cost alternative to expensive traditional staging. Th...

Real Estate Auctions are ways of selling and buying real estate properties. The main difference in a...

Through cash-backed offers, power buyers provide buyers the ability to make what is effectively a c...

An SFR is a single family residence. This is either a detached house or a townhome. There's more to ...

An ADU is an Accessory Dwelling Unit, which is also referred to as a "granny flat". There's more to ...

AVM stands for Automated Valuation Model, a proprietary algorithm used by iBuyers such as Offerpad, ...

ISAOA/ATIMA means "its successors and/or assigns as their interests may appear". There's more to lea...

iBuying is short for "instant buying" and is a term used in the real estate industry for fast cash o...

Debt Service Coverage Ratio ("DSCR") = NOI ÷ (Mortgage + Taxes + Insurance). Learn how to calculate ...

USPAP stands for Uniform Standards of Professional Appraisal Practice. USPAP is the ethics and perfo...

ALTA stands for the American Land Title Association. In real estate closings, the ALTA is a settleme...

In real estate investing, CC means closing costs. There's more to learn at OfferMarket....

Direct To Seller doesn't exactly mean that it implies. Usually it's not exactly direct to seller. Th...

Full Boat is a term used by private lenders when they are charging interest for the full amount of a...

A Schedule Of Real Estate Owned, or SREO, is a list of real estate a borrower owns that is submitted...

Collateral Desktop Analysis or CDA is a 3rd party review of an appraisal often required by private l...

Hard money is a loan from a non-bank lender, typically offered to experienced real estate investors ...

Advanced draws allow fix & flip and fix & rent BRRR investors to receive funds in advance for each s...

MERS stands for Mortgage Electronic Registration System and tracks mortgage servicing rights and ben...