Thursday, May 16, 2024, 11:16 PM
Site: Burk Baker School of Real Estate & Appraising
Course: DEMO (DE101)
Glossary: Real Estate Glossary
L
LESSORAn owner who enters into a lease with a tenant. |
LEVERAGEThe use of borrowed funds in financing, with the anticipation that the property acquired will increase in return so that the investor will realize a profit, not only on his own investment, but on the borrowed funds as well. |
LICENSEA personal privilege to perform some act on the land of another. |
LIENA right, given by law, whereby a creditor may satisfy a debt out of the proceeds of the sale of real or personal property belonging to the debtor; an encumbrance, usually naming property as security for payment of a debt or for the discharge of an obligation. |
LIEN THEORYThe theory of collateral property which gives the lender a lien against the borrower's property until the debt is repaid. Title is said to be hypothecated to the lender, i.e., if the borrower defaults, the lender can foreclose. |
LIFE ESTATEAn estate or interest in real property held for the duration of the life of a certain person. Upon the expiration of that life, the estate will automatically be vested in a remainderman or reversioner. |
LIMITED PARTNERSHIPA partnership composed of general and limited partners whose contribution and liability are limited and specifically defined. |
LIQUIDATED DAMAGESAn amount pre-determined by the parties to an agreement that will be forfeited as compensation for breach of contract. |
LIS PENDENSA legal document giving constructive notice that an action at law is pending; a notice of pendency. |
LISTINGA written employment agreement between a property owner and a broker authorizing the broker to sell, lease or exchange the realty. |