Browse the glossary using this index
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 | ALL
A |
---|
ABANDONMENT | |
ABSOLUTE FEE SIMPLE TITLEAbsolute and unqualified title; the ultimate one can hold. | |
ABSTRACT OF JUDGMENTA summary of a court order which when recorded creates a general lien upon real and personal property of a debtor in the county in which it was recorded. | |
ABSTRACT OF TITLEA condensed history of the title to a parcel of land consisting of the original grant and all subsequent conveyances and recorded instruments, together with a statement of all liens, charges, or encumbrances affecting title to that land. | |
ABUSUS - Civil Law TermThe right of the owner to the proceeds from a sale or mortgage. | |
ACCELERATION CLAUSEA clause in a mortgage or installment contract stating that upon default of payment due, immediate and full payment of the balance of the obligation becomes due and payable. | |
ACCEPTANCEThe indication by the offeree that he is willing to be bound by the terms of the offer, and the receipt on delivery of the instrument. | |
ACCESS RIGHT | |
ACCESSIONAcquisition of property by its joining or union with other property. | |
ACCORD | |
ACCRETIONGradual additions to land by deposits of sand or soil by bordering waters through natural causes. | |
ACCRUED DEPRECIATIONThe difference between the cost of a replacement new, on the date of the appraisal, and the present appraised value. | |
ACCRUED ITEMS OF EXPENSEThose incurred expenses which are not yet payable. The seller's accrued expenses are credited to the purchaser in a closing statement. | |
ACCUSATION | |
ACKNOWLEDGMENTA formal declaration made before a notary public or other authorized person, by a person who has executed an instrument, that such execution is his free act and deed. | |
ACQUISITIVE PRESCRIPTIONCivil Law Term: A concept existing in Louisiana Civil law which is similar to the Common Law concept of adverse possession. | |
ACREA measure of land equal to 160 square rods, 4,480 square yards, or 43,560 square feet. | |
ACRE FOOTThe volume of water equal to the quantity of water required to cover 1 acre 1 foot deep; 43,560 cubic feet. | |
B |
---|
BALLOON PAYMENT | |
BARGAIN AND SALE DEEDA deed used to convey title to real property, which may or may not include warranties; if any, they are generally limited to an assertion by the grantor that he has possession of the property. | |
BASELINE AND MERIDIANImaginary lines used by surveyors in locating and describing land under the rectangular survey method. The north-south line is the meridian, the east-west line is the baseline. | |
BENCHMARKA permanent reference mark or point established for use in measuring differences in elevation. | |
BENEFICIARY | |
BEQUEATHThe giving of personal property by will. | |
BEQUESTPersonal property given by a will. | |
BIANNUALHappening twice each year; semi-annual. | |
BIENNIALHappening once every two years. | |
BILATERAL CONTRACTA contract in which both parties have reciprocal obligations towards each other. | |
BILL OF SALE | |
BINDER | |
BLANKET MORTGAGE | |
BLOCKBUSTINGThe discriminatory practice of encouraging members of one race or creed to move into a neighborhood, and then exploiting the situation by persuading residents to sell their houses at deflated prices because of the alleged social deterioration of the neighborhood. | |
BONA FIDEIn good faith, without fraud; genuine; real. | |
BOND FOR DEED - Civil Law Term:An instrument used in conveying Louisiana properties whereby the seller retains title after execution until such time as a designated amount has been paid in by the buyer (deemed the bond) at which time title passes and the seller assumes the position of a mortgagee with a security interest and the buyer-mortgagor assumes title. | |
BREACH OF CONTRACT | |
BROKER | |
BUDGET MORTGAGE | |
BUILDING CODESRules established by local governments to regulate construction standards. | |
BUILDING LINEA line at a certain distance from the front and/or sides of a lot, beyond which no building may project. | |
BUILDING RESTRICTIONS | |
BUNDLE OF RIGHTS | |
C |
---|
CAPITALIZATIONThe act of converting future income into current equivalent value. | |
CAPITALIZATION RATEThe relationship or ratio between the net income from a real estate investment and the value of the investment, usually expressed as a percentage; the rate of interest which is considered a reasonable return on the investment. | |
CAUSE - Civil Law TermThe reason a person obligates himself. | |
CAVEAT EMPTORLet the buyer beware; the buyer must examine the goods or property and buy at his own risk. | |
CC and Rs | |
CERTIFICATE OF ELIGIBILITYThe document which verifies the entitlement of an individual to the benefits of the Servicemen's Readjustment Act of 1944 by establishing his service record qualifications with the government agency. | |
CERTIFICATE OF REASONABLE VALUECommonly known as C.R.V.; this is the appraisal commitment of the Veteran's Administration used to fix the value of a property being proposed for purchase by a veteran under the GI bill of rights. | |
CERTIFICATE OF TITLE | |
CERTIFIED PROPERTY MANAGERCommonly known as C.P.M.; this identification is bestowed upon any property manager who has met the requirements of the Institute of Property Management operated under the auspices of the National Association of Realtors. | |
CHAIN OF TITLEA sequential history of the conveyances and records of ownership to a piece of property through the years from the original grant to the present, as revealed through the public records. | |
CHATTELPersonal property which is tangible and movable. | |
CHATTEL MORTGAGEA mortgage covering personal property. | |
CIVIL CODECivil Law Term: In Louisiana, the system of law as distinct from the common law of other states; handed down from the French and Spanish settlers who established their system of laws before the Louisiana Purchase. | |
CLIENT | |
CLOSING | |
CLOSING STATEMENT | |
CLOUD ON TITLE | |
CO-OWNERSHIP - Civil Law Term | |
CODICIL | |
COLLATERAL - Civil Law TermA person with equal claim of inheritance; brothers and/or sisters from the same parents. This term is also used to indicate money or preferably real property pledged to guarantee the payment of a debt. | |
COLLATERAL MORTGAGE - Civil Law Term | |
COLOR OF TITLE | |
COMMINGLINGMixing money belonging to clients with personal funds. | |
COMMISSIONAn agent's compensation for performance of the duties of his agency; in real estate practice, a percentage of the selling price of the property, or percentage of rentals, etc. | |
COMMON ELEMENTIn a condominium, land and all parts of a building normally used by all of the owners for their mutual convenience or safety. | |
COMMON LAWLaws which have evolved from general usage and are legally established through court decision. | |
COMMON THINGS - Civil Law TermCommon "things" are those which may not be owned by anyone; things such as air and the high seas which may be freely used by everyone conformably with the use for which nature has intended them. | |
COMMUNITY PROPERTYPersonal and real property acquired by husband and wife through their joint efforts during marriage and owned equally by them. | |
COMPETENT PARTIESThose who are qualified or mentally competent to enter into a contract. | |
COMPOUND INTEREST | |
CONCURRENT OWNERSHIPThe ownership of property by two or more people. | |
CONDEMNATIONThe process by which property of a private owner is taken for public use, with just compensation to the owner, under the right of eminent domain. | |
CONDITIONAL SALE - Civil Law TermA sale which includes conditions. | |
CONDOMINIUM OWNERSHIPThe individual outright ownership of a single unit in a multi-unit property together with an interest in the common elements of that property. | |
CONFESSION OF JUDGMENT - Civil Law Term | |
CONFUSION - Civil Law TermThe merging of ownership of both dominant and servient estates by the same person. | |
CONSIDERATIONValuable consideration, a promise or an act of legal value bargained for and received in return for a promise; good consideration, love and affection. | |
CONSTRUCTION LOANA short term loan for building or repairing properties allowing the disbursement of funds at designated intervals as the work progresses. | |
CONSTRUCTIVE EVICTIONBreach of the covenant warranting quiet enjoyment in a lease; when a landlord performs an act depriving the tenant of quiet enjoyment of the premises thereby causing the tenant to move. | |
CONSTRUCTIVE NOTICENotice given by the public records; legal notice. | |
CONSUMABLEA thing which cannot be used without being consumed or its substance changed. | |
CONTINGENTDependent upon an uncertain future event. | |
CONTRACTA legal agreement between competent parties for a consideration to perform or refrain from performing certain acts. | |
CONTRACT, IMPLIEDOne in which, from the conduct of the parties, their mutual promises are implied - consulting a doctor or dentist implies a promise to pay the price of an office visit though no fees are mentioned. | |
CONTRACT, UNILATERALOne in which only one party is obligated to do something. | |
CONTRACT, VOIDABLE - Civil Law Term | |
CONVENTIONAL MORTGAGEA mortgage which is not FHA insured, or VA guaranteed. | |
CONVENTIONAL SERVITUDE - Civil Law TermBy contract; voluntary. May be established by judicial act, prescription, or destination of the owner. | |
CONVEYANCE - Civil Law TermThe transfer of the title of land from one to another; an instrument which carries from one person to another an interest in land. | |
COOPERATIVE OWNERSHIPOwnership that usually takes the form of shares of stock in a corporation owning the entire building and a proprietary lease giving the stockholder/tenant the right to occupy a unit for which he pays a proportionate share of the maintenance and operating expenses. | |
CORPORATION | |
CORPOREALPertaining to a right or group of rights of a visible and tangible nature. | |
CORRECTION LINEA system for compensating inaccuracies in the Government Rectangular Survey System which are caused by the curvature of the earth. Every fourth township line, at 24 mile intervals, is used as a correction line on which the intervals between the north and south range lines are re-measured and corrected to a full six miles. | |
COUNTER-LETTERAn agreement to re-convey property where the property has been sold with the intention that it shall serve as security only. | |
COUNTEROFFER | |
COVENANTAn agreement written into deeds and other instruments which promises or guarantees that something shall or shall not be done; an agreement stipulating certain uses or non-uses of property. | |
CUBIC FOOT METHODA means of estimating a building's value based on the cubic foot construction cost of comparable buildings. | |
CUL-DE-SACA passage way or street with only one outlet; a blind alley. | |
CURTESYThe right which a husband has in his wife's estate at her death. | |
D |
---|
DAMAGESThe indemnity recoverable by an injured party to compensate him for the loss suffered through an act or default of another. | |
DATION EN PAIEMENT - Civil Law TermGiving by the debtor and receiving by the creditor of something besides money for the payment of a debt. This is directly from the French which means "a gift in payment". | |
DEBENTURE | |
DEBT SERVICE | |
DECLARATIONTo make known openly and in definite terms; that which along with the by-laws, defines the rules by which a condominium will exist. | |
DEDICATIONAn appropriation of land by its owner for some public use, and acceptance for such use by authorized public officials on behalf of the public. In certain cases, five years of uninterrupted public use will be considered an acceptance. | |
DEED | |
DEED RESTRICTIONS | |
DEFAULTFailure to meet an obligation or promise when due. | |
DEFEASANCE CLAUSEThe clause in a mortgage that gives the mortgagor the right to redeem his property upon the payment of his obligation to the mortgagee, and declares the instrument null and void upon payment of debt when due. | |
DEFICIENCY JUDGMENTA judgment for the balance of a debt; issued when the difference between the indebtedness sued upon and the sale price obtained at the foreclosure sale is less than the debt. | |
DELIVERYThe act or intent of transferring an instrument from one person to another in such a way that it cannot be recalled. | |
DEMISE | |
DEPOSITMoney given by one to another as evidence of his good faith; evidence or security for performance of a contract. | |
DEPRECIATIONLoss of value brought about by physical deterioration or functional or economic obsolescence. | |
DEPTH TABLEA statistical table that may be used to estimate the value of the added depth of a lot. | |
DERELICTIONLand formed by water receding from a river or stream. | |
DESCENDANTSChildren, grandchildren, and great grandchildren to the Nth generation living at the time of a person's death who have rights or claims on the property of the decedent. | |
DESIGNATED AGENT | |
DEVISEA gift of realty by will. | |
DEVISEE | |
DEVISOROne who gives realty by will. | |
DIRECT REDUCTION LOAN | |
DISCOUNT POINTSA fee based on a percentage of a loan, charged by a lender, as a service charge, or as an amount needed to produce the same yield on an FHA or VA loan that he would receive in the conventional mortgage market; each point charged represents 1% of the loan amount and increases the interest rate by 1/8 of one percent. | |
DISINHERISON - Civil Law TermThe act of depriving a forced heir of the inheritance the law gives him. | |
DISPOSABLE PORTION - Civil Law TermThat amount of a person's property which he may freely dispose of without affecting the legitime (forced heirship portion). Donations inter vivos or mortis cause cannot exceed 3/4 of the property of the disposer, if he leaves, at his decease, one child; and 1/2, if he leaves two or more children. | |
DOCUMENTARY STAMP TAXA state tax on the transfer of real property. | |
DOMINANT ESTATEAn estate attached to and benefitting from the servient estate, e.g., an easement runs over the servient estate and serves the dominant estate; also called dominant tenement. | |
DONATION INTER VIVOS - Civil Law TermA gift between living persons. A donation inter vivos is an act by which the owner (donor) divests himself of presently and irrevocably of a thing in favor of another (donee) who accepts it. | |
DONATION MORTIS CAUSA - Civil Law Term | |
DONEEA person to whom a gift is made. | |
DONORA person who makes a gift. | |
DOWERThe legal rights that a widow possesses to her husband's estate. | |
DUAL AGENCY | |
DUE ON SALE CLAUSEThe clause which allows the mortgagee the option of calling the mortgage's unpaid balance immediately due if the mortgagor sells or otherwise alienates the mortgage property. Also called the alienation clause.
DURESS - Unlawful constraint or action against a person forcing him to perform some act against his will. | |
E |
---|
EARNEST MONEYInitial payment made by purchaser of real estate as evidence of good faith. | |
EASEMENTA right, privilege or interest which one party has in the land of another. | |
EASEMENT APPURTENANTAn easement that is attached to and runs with the land; it cannot exist apart from the particular land to which it is attached. | |
EASEMENT BY PRESCRIPTIONA method of acquiring a right to a portion of property by lapse of time, in the manner of adverse possession. | |
EASEMENT IN GROSSAn easement which does not attach to the land, and is usually given to a quasi-public corporation, such as the electric or phone company. | |
ECONOMIC LIFEThe period of time over which a property may be profitably used. | |
ECONOMIC OBSOLESCENCEA loss in value caused by factors apart from the subject property itself but nonetheless affecting the subject property. | |
EFFECTIVE AGEThe apparent rather than the chronological age of a property. | |
EFFECTIVE DEMANDConsumer desire for an item coupled with the consumers' financial ability to purchase that item. | |
EGRESSMeans of leaving property without trespassing the property rights of other surrounding owners. | |
EMBLEMENTSTrees or crops that are cultivated annually; the rights of a tenant to harvest the annual crop even after his tenancy has ended. | |
EMINENT DOMAINThe right of a government to take private property for public use upon the payment of just compensation. | |
ENCROACHMENTA building or fixture which intrudes partly or wholly upon the property of another. | |
ENCUMBRANCEA claim, line, charge, or liability attached to and binding upon real property which affects or limits the title thereof. | |
ENDORSEMENTThe placing of one's signature on a document, to make it negotiable or transferable. | |
EQUALIZATION FACTORA value used to adjust the market values of properties which have been assessed using differing assessment ratios. | |
EQUITABLE RIGHTS OF REDEMPTIONThe period of time between the point when the borrower goes into default and the actual foreclosure sale within which the borrower or another interested party can pay the current (or entire) indebtedness and redeem the property. | |
EQUITABLE TITLE | |
EQUITY | |
EROSIONThe gradual wearing away of land due to natural causes of wind and water. | |
ESCALATION CLAUSEThe clause in a mortgage which permits the holder to increase or decrease the interest rate during the term of the mortgage. | |
ESCHEATThe reverting of property to the state when heirs capable of inheriting are lacking, or the property is abandoned. | |
ESCROWThe deposit of instruments and funds with instructions to a third neutral party to carry out the provisions of an agreement or contract. | |
ESTATEThe degree, quantity, nature and extent of interest a person has in real property. | |
ESTATE FOR YEARS | |
ESTOPPELA doctrine which bars one from asserting rights which are inconsistent with a previous position or representation. | |
ESTOPPEL CERTIFICATE | |
ET ALLatin for "and others". | |
ET UXLatin for "and wife". | |
EVICTION | |
EXCHANGEA method of conveying real property by trading with another property. | |
EXCLUSIVE AGENCYA written instrument giving one agent the right to sell property for a specified time, but reserving the right of the owner to sell the property himself without the payment of a commission. | |
EXCLUSIVE RIGHT TO SELLA written agreement between owner and agent giving the agent the right to collect a commission if the property is sold by anyone during the term of his agreement. | |
EXECUTE | |
EXECUTED CONTRACTA contract that is fully signed or performed. | |
EXECUTOR | |
EXECUTORY CONTRACTA contract not yet fully performed. | |
EXECUTORY PROCESS | |
EXECUTRIXFeminine of executor. | |
EXPRESS AUTHORITYClearly stated duties of an agent set forth by his principal. | |
EXPROPRIATION - Civil Law Term | |
F |
---|
FEDERAL FAIR HOUSING ACTFederal legislation forbidding discrimination in the sale, rental, and financing of real estate on the basis of race, color, religion, sex, handicap, familial status. | |
FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC)A federal agency which buys mortgages in the secondary money market from commercial banks and federally insured savings and loan associations; "Freddy Mac". | |
FEDERAL HOUSING ADMINISTRATION (FHA)An agency of the federal government which insures certain real estate loans. | |
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA)A part public, part private corporation that buys and sells mortgages in the secondary money market. "Fannie Mae". | |
FEDERAL RESERVE SYSTEMThe national controller of the money supply, the Federal Reserve System regulates the printing of money, buys and sells bonds, and controls the reserve requirements of its member banks. | |
FEE CONDITIONALAn estate granted absolutely but only so long as a specified event occurs or does not occur. | |
FEE DETERMINABLE | |
FEE SIMPLE | |
FEE TAIL | |
FEE TITLE POLICYThe title insurance policy covering the property owner. | |
FEUDAL SYSTEMMedieval legal and social system in which ownership of the land was vested in the monarch. | |
FIDUCIARYA person in a position of great trust and confidence, as the relationship between principal and agent. | |
FINDER'S FEE | |
FISCAL YEARA year, used for tax, corporate, and accounting purposes which begins on a date other than January 1. | |
FIXTUREAn article of personal property which has been installed in or attached to land or a building thereon, in such a manner, that it is now considered to be a part of the real estate. | |
FORCED HEIR - Civil Law TermA child of a deceased person who has not attained the age of twenty-four, or of any age who because of a mental incapacity or physical infirmity is incapable of managing his person or his property. | |
FORCED PORTION - Civil Law TermThe portion of the property of a deceased person that his descendants must receive upon his death. | |
FORECLOSUREProcedure whereby property pledged as security for a debt is sold to pay the debt in event of default in payments or terms. | |
FRAUDThe intentional and successful employment of deception in order to cheat or deceive another person and to thereby gain some dishonest advantage. | |
FREEHOLDAn estate in real property for an indefinite and uncertain time. | |
FRONT FOOTProperty measurement by the front foot on its street line or waterfront line with each front foot extending the depth of the lot. | |
FRUCTUS - Civil Law Term | |
FULL, COMPLETE AND PERFECT OWNERSHIP - Civil Law TermRefers to the owner's unrestricted power to dispose of the property. Similar to fee simple ownership in Common Law. | |
FUNCTIONAL OBSOLESCENCELack of desirability in terms of layout, style and design as compared with that of a new property serving the same function. | |
G |
---|
GENERAL AGENTAn agent authorized to handle specified matters for his principal. | |
GENERAL LIENA lien attaching claim to all property of a person, both real and personal. | |
GENERAL PARTNER - Civil Law TermAll partners are general partners, having the powers, rights, and obligations of partners, unless specified otherwise in the articles of partnership; a partner "in commendam" cannot be a general partner but may become liable as one under certain circumstances. | |
GENERAL WARRANTY DEED | |
GENUINE ASSENT | |
GOOD CONSIDERATIONPromises of intangibles (such as love and affection made to fulfill one requirement of a binding contract. | |
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA)A federal agency which provides special assistance for federally aided housing programs; active in the secondary money market for government subsidized housing programs; "Ginnie Mae". | |
GRADUATED LEASEA lease with fixed increases at stated intervals, or increases based upon periodic appraisals at stated times; also called a step-up lease. | |
GRADUATED LOANA loan featuring an unlevel, amortized repayment schedule in which payments start small and become larger as the loan is repaid; graduated payment mortgage. | |
GRANTEEThe purchaser; the person to whom an interest in realty is conveyed. | |
GRANTING CLAUSE | |
GRANTOR | |
GRATUITOUS - Civil Law TermA donation or contract made without consideration. | |
GROSS INCOMETotal income derived from a business or income property before expenses are deducted. | |
GROSS LEASE | |
GROSS MULTIPLIERA number which is used to determine the approximate selling price for income property by multiplying the gross income times this number. (Income X Multiplier = Selling Price). | |
GROUND LEASEA lease for the use of the land, usually providing for improvements to be placed on the land by the user. | |
GROUND RENTThe net rent paid for a parcel of unimproved land; that portion of the total rental is considered to represent a return upon the land only. | |
H |
---|
HABENDUM CLAUSEThe portion of a deed beginning "to have and to hold", which usually follows the granting clause, and explains or limits the estate granted. | |
HABITATION - Civil Law TermThe nontransferable real right of a natural person to dwell in the house of another. One of the three types of personal servitude, (others are usufruct and right of use). | |
HEIROne, generally in direct line of descendancy, who receives any property by action of law in intestate successions. | |
HEIRSHIP, FORCED - Civil Law TermLouisiana descendants are required to inherit certain portions of their deceased parents' property. | |
HIGHEST AND BEST USEThat legal use, which at the time of an appraisal is most likely to produce the greatest net return over a given period of time. | |
HOLDOVER TENANTA tenant who remains in possession of a property after expiration of the lease term. | |
HOLOGRAPHIC WILL | |
HOMESTEADThe house and adjoining land of a family. In Louisiana, statutory exemptions against the right of general creditors is set at a maximum of $15,000. Property tax exemptions is $7,500 of assessed value. | |
HOMOGENEOUSThe same or similar kind of structure; similar; as used in appraising, homogeneity tends to stabilize values in an area. | |
HYPOTHECATETo pledge property as security; to mortgage. | |
I |
---|
IMMOVABLE - Civil Law TermLand and/or buildings situated on the land; other improvements to the land (landscaping, fruit trees, or vegetable garden) belong as part of the immovable. | |
IMPLIED AUTHORITYThe authority an agent is assumed to have because of a course of conduct, or which is inferred from the fact that he has been authorized to perform certain acts. | |
IMPROVEMENT - Civil Law TermAn addition made to property. Generally refers to buildings, but may include any permanent structure such as streets, sidewalks, utilities, etc. | |
IN REMPertaining to property. Used to designate legal proceedings against the property. | |
INCAPACITYThe lack of legal qualifications making a person incapable of performing some act. Mental deficients, minors, etc. lack capacity to perform certain acts. | |
INCHOATEIncomplete; not perfected. | |
INCORPOREALIntangible; without physical existence. | |
INDEFEASIBLENot capable of being annulled or voided. | |
INGRESSAn entrance to property which does not trespass over the property rights of others. | |
INJUNCTIONA writ or order issued under the seal of a court to restrain one or more parties from performing an act which is deemed to be inequitable or unjust in regard to the rights of some other party. | |
INSTALLMENT CONTRACTA contract which provides for payment of a purchase price in installments. | |
INSTRUMENTA written legal document. | |
INTENTIONAL MISREPRESENTATIONThe act of making willfully inaccurate statements about a property or withholding essential information concerning it. | |
INTER VIVOSDuring one's life; from one living person to another. | |
INTERESTThe charge for the use of money over a period of time. Can be understood as the "rent" paid for the use of borrowed money. | |
INTEREST ESCALATION CLAUSEThe clause in a promissory note which pushes the note's interest rate to the maximum amount allowed by law in the event of the borrower's default. | |
INTEREST RATEThe percentage charged to use a sum of money. | |
INTERIM FINANCINGA short-term loan obtained to cover financing of the construction of a building. | |
INTESTATEA person who dies without a will, or with one which is defective in form. | |
INVOLUNTARY LIENA lien imposed against property without consent of an owner; e.g., taxes, special assessments, federal income tax liens, etc. | |
IRREVOCABLEIncapable of being recalled or revoked; unchangeable. | |
J |
---|
JOINT TENANCY | |
JOINT VENTUREA joining of two or more people in a specific business enterprise. | |
JUDGMENTThe final determination of the rights and liabilities of the parties by a court in an action before it. | |
JUNIOR MORTGAGE | |
JUST COMPENSATIONCompensation that is fair to both the owner and the public in condemnation proceedings. The theory is that to be just, the property owner should be no richer or poorer than before the taking. In Louisiana, just means the entire loss of property to the owner including moving expenses and loss of business. | |
L |
---|
LACHESDelay or negligence in asserting one's legal rights. | |
LANDMARKA monument or object used to establish the boundary line of a property. | |
LEASEA contract whereby the lawful owner of the property transfers his rights of use and possession to another for a specified term. | |
LEASEHOLD | |
LEGACYA gift of personal property, usually money, by will. | |
LEGAL CAPACITY | |
LEGAL DESCRIPTIONA description, recognized by law, that will definitely locate and identify the property. | |
LEGATEE - Civil Law TermOne, generally in direct line of descendancy, who receives any property through the will of a deceased person. | |
LESION BEYOND MOIETY - Civil Law TermA situation that exists when a sale of immovable property has been made for less than half of its market value. | |
LESSEE | |
LESSORAn owner who enters into a lease with a tenant. | |
LEVERAGE | |
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. | |
LISTING | |
LITTORALProperty which borders a large body of water, such as a lake, ocean, or sea. | |
LOAN ORIGINATION FEEThe charge made by a lender to make a loan. | |
LOT, BLOCK, AND SUBDIVISIONIn subdividing land, the tract is first assigned a name and each block and lot within that subdivision is numbered or lettered. A map of the subdivision is then recorded with the proper governmental authority. | |
LTVR | |
M |
---|
M.I.P. | |
MANDATE - Civil Law TermA mandate, procuration, or letter of attorney is an act by which one person gives power to another to transact for him and in his name, one or several affairs. | |
MARKET PRICEThe price a property brings in a given market. | |
MARKET VALUEThe highest price a ready, willing and able buyer, not forced to buy, will pay to a ready, willing and able seller, not forced to sell, allowing a reasonable time for exposure in the open market. | |
MARKETABLE TITLETitle free and clear of objectionable encumbrances; title which is free from reasonable doubts or defects, which can be readily sold or mortgaged. | |
MECHANIC'S LIENA lien which exists against real property in favor of persons who have performed work or furnished materials for the improvement of real estate. | |
MERGER OF TITLEThe absorption of one estate into another. | |
METES AND BOUNDSA method of describing or locating real property; metes are measures of length and bounds are boundaries; a description starting with a well-marked point of beginning and following the boundaries of the land until it returns once more to the point of beginning. | |
MILEA linear measurement of distance equal to 1,760 yards, or 5,280 feet, or 1,608 meters. | |
MILLOne-tenth of one cent. Used in some states to compute property taxes. | |
MINERAL RIGHTS - Civil Law TermThe rights of ownership of all minerals appearing in solid state beneath the surface of land to which one has title and the exclusive right to explore and develop the property for the production of fugitive or liquid state minerals and to reduce them to possession, hence ownership. May be reserved for 10 years in Louisiana unless activity occurs. | |
MINORA person who is under the legal age of competence; under 18 years of age. | |
MISDEMEANORA crime of lesser consequences than a felony which is subject to minor jail terms, fines, or both. | |
MISREPRESENTATIONA false statement made with the intent to induce some action by another party. | |
MISTAKES OF FACTErrors regarding the facts of a contract. | |
MISTAKES OF LAWErrors regarding the legal implications of the facts of a contract. | |
MONUMENTA fixed object and point established by surveyors to establish land locations; includes not only artificial objects such as posts and fences, but natural objects such as trees, mountains and water courses. | |
MORTGAGEAn instrument in writing which, when recorded, creates a lien upon property pledged as security for the repayment of a debt or obligation. | |
MORTGAGE BANKERA corporation or firm which makes, delivers, and services mortgage loans. | |
MORTGAGE BROKERA person or firm which acts as an intermediary between borrower and lender. | |
MORTGAGE GUARANTEE MORTGAGEE CORPORATIONA private corporation specializing in buying and selling mortgages; "Maggie Mae". | |
MORTGAGEEThe party who lends money and accepts a mortgage to secure the payment of the debt. | |
MORTGAGORThe party who borrows money and gives a mortgage on the property as security for his obligation to repay the debt. | |
MORTIS CAUSE - Civil Law Term | |
MULTIPLE LISTING SERVICE (M.L.S.) | |
N |
---|
NAKED OWNERThe person who owns the right of abusus of the property. | |
NEGOTIABLE INSTRUMENTA written instrument signed by its maker or drawer, containing an unconditional promise to pay a certain sum of money; can be passed freely from one person to another. | |
NET INCOMEWith reference to income producing property, the sum derived after a vacancy allowance and expenses have been deducted from the gross income; generally described as net income before depreciation, and usually defining the income a property will earn in a normal year's operation. | |
NET LEASEA lease in which the tenant pays rent for occupancy, plus maintenance and operation expenses, and usually including taxes and insurance. | |
NET LISTINGA listing which provides that the agent may retain all sums received over and above a net price to the owner as compensation for his services. | |
NET OPERATING INCOMEA property's gross income minus vacancy and unpaid rent losses and all other operating expenses except those due to interest and depreciation. | |
NON-CONSUMABLEA thing that can be enjoyed without altering its substance. | |
NON-HOMOGENEOUSUnlike any other. When referring to land, each parcel is unlike any other, therefore non-homogeneous. | |
NONCONFORMING USE | |
NOTARIAL WILL - Civil Law Term | |
NOTEA written instrument acknowledging a debt and promising payment. | |
NOVATIONThe substituting of a new obligation for an old one. | |
NULLITY - Civil Law TermAn act that has no legal force or effect. | |
NUNCUPATIVE WILLAn oral will. | |
O |
---|
OFFER | |
OLOGRAPHIC - Civil Law Term | |
OPEN END MORTGAGE | |
OPEN LISTINGA listing given to any number of agents without liability to compensate any except the one who first secures a buyer ready, willing and able to meet the terms of the listing. | |
OPTIONA right given for consideration to purchase or lease a property upon specified terms within a specified time. | |
OPTIONEEThe one obtaining the option right. | |
OPTIONORThe one granting the option to another. | |
ORDINANCEA legislative enactment of a city or county, such as zoning. | |
ORDINARY PROCESS - Civil Law TermThe normal (as opposed to the executory) process of court action, with delays, appeals, and requests for more evidence. | |
OWNERSHIPThe condition of having the right to possess, use and dispose of property. | |
OWNERSHIP, IN INDIVISION - Civil Law Term | |
OWNERSHIP, SOLE - Civil Law Term | |
P |
---|
PACKAGE MORTGAGEA mortgage commonly used in subdivision developments whereby chattels such as appliances are "packaged" into the mortgage along with the real property. | |
PARTITION | |
PARTITION BY LICITATION - Civil Law TermA judicial order to sell property at a cash sale to the highest bidder and divide the proceeds fractionally among co-owners. | |
PARTITION IN KIND - Civil Law TermA judicial order to divide the property physically and place each undivided owner in sole ownership of 100 percent of a portion of said property. | |
PARTNERSHIPA contract between two or more persons to carry on as co- owners of a business, and to share the profits in certain proportions. | |
PARTNERSHIP IN COMMENDAM - Civil Law TermA Louisiana term for the limited partnership as known in Common Law. | |
PARTY WALLA wall erected on the line between adjoining properties which are under separate ownership, for the use of both owners. | |
PATENTA conveyance for the transfer of title to land owned by the government; land patent. | |
PERCENTAGE LEASEA lease of property in which the rental is based upon the volume of gross sales made on the leased premises. | |
PERIODIC TENANCYTenancy of property for an indefinite period which can be terminated by either party with proper notice. | |
PERSONAL PROPERTYAny property not real property; movables. | |
PERSONAL SERVITUDE - Civil Law TermA charge on a thing for the benefit of a person. The Code identifies three classes: usufruct, habitation, and the rights of use. | |
PHYSICAL DEPRECIATIONAny loss to property values caused by normal wear and tear or usage. Also includes such things as termite damage, dry rot, and the like. | |
PHYSICAL LIFEThe period of time over which a building is able to function without falling down. | |
PITI MORTGAGE | |
PLATA plan or map of a certain piece or pieces of land. | |
PLOTTAGEThe land increment produced by combining smaller individually owned plots into a larger tract under a single ownership; see assemblage. | |
POLICE POWERThe inherent right of a government to enact such legislation as may be deemed necessary to protect and promote the health, safety and general welfare of the public. | |
POWER OF ATTORNEYA written instrument authorizing a person to act as the agent on behalf of another to the extent indicated in the instrument. | |
PREDIAL SERVITUDE - Civil Law TermA charge on a subservient estate for the benefit of the dominant estate. The two estates must belong to different owners. A predial servitude is a real right burdening immovables. There are three classes: natural, legal, and voluntary (conventional). | |
PREPAYMENT CLAUSE | |
PRESCRIPTIONTitle obtained by possession for a prescribed period; prescriptive rights. | |
PRIMA FACIE EVIDENCEEvidence which is good and sufficient on its face ("at first view") to establish a given fact or case, unless rebutted or contradicted. | |
PRIMARY MONEY MARKETThe source of loan funds available directly to borrowers, whether for first or second mortgages. | |
PRINCIPAL | |
PRINCIPAL MERIDIANA meridian which serves as a reference for other meridians; a part of the rectangular method of survey. | |
PRINCIPLE OF CONTRIBUTIONThe economic principle which holds that if a single improvement on a property does not result in a greater net return from the whole property, the cost of the improvement cannot be justified. | |
PRINCIPLE OF HIGHEST AND BEST USEThe appraisal principle which holds that the best use of a property is that which will produce the highest and most durable return on an owner's investment. | |
PRIVATE GRANTConveyance of property from one private person to another. | |
PRIVATE THINGS - Civil Law TermIn the Code, "things" are divided into common, public, and private; corporeals and incorporeals; and movables and immovables. private things are owned by individuals, other private (juridical) persons, and by the state or its political subdivisions in their capacity as private persons. | |
PRIVILEGE - Civil Law TermA right that the nature of a debt gives to a creditor and entitles him to preference above other creditors. | |
PROBATE | |
PROCURING CAUSEThe cause of a series of events which leads to the consummation of a sale. | |
PROMISSORY NOTEA written promise to pay a certain sum of money at a definite date in the future. | |
PROPRIETORSHIPA business held by a person who has legal title or exclusive right thereto. | |
PRORATETo divide or distribute proportionately; to divide monies, usually at the time of closing, proportionately between seller and buyer. | |
PROTECTIVE ZONINGZoning regulation the size and placement of buildings and other improvements on their land and the overall use of space within an area, having the end of putting land to its highest and best use. | |
PURCHASE MONEY MORTGAGEA mortgage on property given by a buyer, either to the seller or to a third party in order to secure a portion of the purchase price. | |
Q |
---|
QUANTITY SURVEY METHODA method of finding an improvement;s replacement or reproduction cost new by tabulating the cost of all building materials plus costs for design, labor, and management. | |
QUIET ENJOYMENTThe right of an owner or tenant legally in possession of the use of property without interference from the landlord, or grantor, or anyone claiming through him. | |
QUIET TITLE | |
QUITCLAIM DEED | |
R |
---|
RANGE | |
READY, WILLING AND ABLE | |
REAL PROPERTY | |
RECEIVERA court appointed custodian who holds property for the court, pending final disposition of the matter before the court. | |
RECISSION | |
RECISSION CLAUSE | |
RECORDINGThe act of writing or entering an instrument into a book of public records, which constitutes notice to all persons of the rights or claims contained in the instrument; often called constructive notice or legal notice. | |
RECTANGULAR SURVEY | |
REDEMPTIONBuying back one's property after default or a judicial sale. | |
REDHIBITION | |
REDLININGThe unethical, sometimes illegal, practice of systematically refusing to make loans in certain neighborhoods. | |
REGULATION ZPassed to enforce the Truth in Lending Law, Regulation Z establishes guidelines for disclosure of loan costs, the borrower's right of recission, and fair advertising practice regarding personal, agricultural and family loans. | |
RELATION BACK | |
RELEASE CLAUSEA clause in a blanket mortgage which gives the property owner the right to pay off a portion of the indebtedness, thereby freeing a portion of his property from the mortgage. | |
RELEASE OF MORTGAGEThe instrument given by the mortgagee to the mortgagor indicating discharge of the mortgage, stating that the obligation has been fulfilled and the debt paid off. | |
RELICTIONGradual recession of water from the usual watermark. | |
REMAINDER ESTATEAn estate created by single grant simultaneously with another which vests with a third party after termination of the prior estate; such as a life estate. | |
REMAINDERMAN | |
REPLACEMENT COST NEW | |
REPRODUCTION COST NEWThe cost, at today's prices, of constructing an exact replica of the subject improvement using the same or very similar materials. | |
RESCINDTo annul; cancel. | |
RESPAAcronym of the Real Estate Settlement Procedures Act, federal legislation passed to regulate disclosure of the buyer's settlement costs. | |
RESTRICTIONA clause in a deed or other written instrument limiting the use to which the property may be put. | |
REVERSION | |
REVERSIONARY INTERESTA present right to future possession of an estate. | |
RIDERAn addition, amendment or endorsement to a contract or other document. | |
RIGHT OF SURVIVORSHIPThe right to acquire the interest of a deceased joint owner; distinguishing feature of a joint tenancy. | |
RIGHT OF WAYAn easement or right of passage over another's land. | |
RIPARIAN RIGHTSThe right of a landowner to the use of water on or adjacent to his land. | |
RUNNING WITH THE LANDA covenant which extends beyond the original parties to an agreement and binds all subsequent parties. | |
S |
---|
SAFETY CLAUSEA clause in a sales contract entitling the broker to a commission for the sale of the property by the owner himself for an extended period of time after the contract has expired. | |
SALE AND LEASEBACKThe sale and subsequent leasing back by the seller- lessee. | |
SALE WITH WARRANTY - Civil Law TermSimilar to General Warranty Deed. Gives best guarantee of title. | |
SALE WITHOUT WARRANTY - Civil Law TermSimilar to Quitclaim Deed. Gives no guarantee of title. | |
SANDWICH LEASE | |
SATISFACTION OF MORTGAGEAn instrument used when a lien is paid off and satisfied on the records; also called satisfaction piece. | |
SECONDARY MONEY MARKETThe marketplace for the sale and purchase of existing mortgages. | |
SECTION | |
SECURITY DEPOSIT | |
SEIZIN | |
SEPARATE PROPERTYProperty owned by a husband or wife which is not community property; property acquired by either spouse prior to marriage or by gift or devise after marriage. | |
SERVIENT ESTATE | |
SERVITUDE - Civil Law TermA servitude is the alienation of one of the elements of ownership of one estate in favor of another. An easement under the common law is not necessarily the same legal right as a servitude under Louisiana law. Servitudes may be lost through the failure to use them. There are two classes: personal and predial. | |
SETBACK | |
SEVERALTYSole or independent ownership. | |
SEVERANCE DAMAGESDamages paid to an owner when his property has been partially taken by condemnation, thus reducing the highest and best use of the remaining property. | |
SIMPLE INTEREST | |
SITUSThe site, place, location or position occupied by real property. | |
SPECIAL AGENTA person who is authorized to perform only certain specified functions on behalf of his principal. | |
SPECIAL ASSESSMENTAn assessment generally made against only those specific parcels of realty directly benefiting therefrom. | |
SPECIAL WARRANTY DEED | |
SPECIFIC LIENA lien which is applicable to one property in particular versus a general lien which applies to all property of the individual involved. | |
SPECIFIC PERFORMANCE | |
SPOT ZONINGA zoning practice allowing certain portions of an area to be sued for purposes not generally permitted within that area. | |
STATUTEA law established by an act of the legislature. | |
STATUTE OF FRAUDS | |
STATUTE OF LIMITATIONSlaws setting forth the period of time in which suit can be brought for a particular act. | |
STATUTORY RIGHTS OF REDEMPTIONThe rights which prescribe the period of time after a foreclosure sale within which the borrower allowed to redeem his property by paying the debt in full. | |
STEERINGDirecting prospective buyers or tenants into or away from certain areas on illegal discrimination grounds. | |
STEP-UP LEASEA lease with fixed increases at stated intervals, or increases based upon periodic appraisals at stated times; graduated lease; graded lease. | |
STRAIGHT LEASE | |
STRAIGHT LINE DEPRECIATIONSetting aside or allowing a fixed sum of money each year to offset replacement or improvements when needed. | |
STRAIGHT LOAN | |
STRAW MANOne who purchases property for another to conceal the identity of the real purchaser; a dummy purchaser. | |
SUBDIVIDINGThe process of apportioning a parcel of land into individual lots. | |
SUBDIVISION REGULATIONSThe governmental regulation of the ways in which subdivided property must be planned and completed. | |
SUBLEASE | |
SUBORDINATION CLAUSEA clause in a mortgage or lease stating that the rights of the holder shall be secondary or subordinate to a subsequent encumbrance. | |
SUBROGATIONThe substitution of one person in place of another with reverence to a lawful claim, demand or right, so that he succeeds to such rights of the other. | |
SUMMARY POSSESSIONA process whereby the landlord may terminate a lease for good reason and the tenant must appear and show cause why he would not be evicted. Also called Dispossess Proceeding or Unlawful Detainer. | |
SURETYOne who becomes a guarantor for another. | |
SURRENDER | |
SURVEYThe process by which a parcel of land is measured and its area ascertained. | |
SYNDICATIONMultiple ownership of an investment, usually in the form of a limited partnership. | |
T |
---|
TAKE-OUT FINANCINGPermanent or long-term financing of individual condominium units for their respective buyers. | |
TAX DEEDA deed for property sold by a government unit for non-payment of assessed taxes. | |
TAX LIENA claim against real property going into effect when taxes are assessed against that property. | |
TAX SALEA sale of property, usually at auction, for non-payment of assessed taxes. | |
TAX, TAXATIONA charge or burden to support government, levied upon persons or property by legislative authority. | |
TENANCYA state of ownership. | |
TENANCY AT SUFFERANCEA tenancy arising when the tenant wrongfully holds over after the expiration of his term. The landlord has the choice of evicting the tenant or accepting him for a similar term and under the conditions of the previous holding. | |
TENANCY AT WILLPossession and occupancy of land terminable at the will of either party. | |
TENANCY BY THE ENTIRETY | |
TENANCY FOR YEARSLeasing of a property for a fixed period of time. | |
TENANCY IN COMMONownership by two or more persons who hold undivided interest, without right of survivorship. Upon the death of one tenant, his interest goes to his heirs. Interest need not be equal, and each owner is possessed of the whole of an undivided part. | |
TENDERTo offer; to present. | |
TENEMENTAll rights in land which pass with conveyance of the land. | |
TESTAMENTThe written declaration of one's last will. | |
TESTATELeaving a will upon death. | |
TESTATOROne who leaves a will in force at his death. | |
TIME OF THE ESSENCEIn a contract, a requirement of punctual performance. | |
TITLEEvidence that an owner of land is in lawful possession thereof; an instrument evidencing such ownership. | |
TITLE DEFECTA legal right or claim against a property registered on the title. | |
TITLE INSURANCEA policy of insurance which indemnifies the holder for loss sustained by reason of a defect in the title, provided the loss does not result from a defect excluded by the policy provisions. | |
TOPOGRAPHYThe nature of the surface of land. | |
TORRENS SYSTEMSystem of title recordation and protection provided by the laws of some states. | |
TORTA negligent or intentional wrong; a wrongful act; violation of a legal right. | |
TOWNHOUSEA structure whose common elements may be shared by two or more unit occupants. | |
TOWNSHIP | |
TRADE FIXTUREArticles of personal property annexed to real property, but which are necessary to the carrying on of a trade and are removable by the owner or tenant when he leaves. | |
TRANSACTTo conduct business affairs; to carry out, perform or manage. | |
TRANSFER TAXThe tax required by a governmental agency when real property is transferred from one party to another. | |
TRESPASSWrongful invasion of land by one having no lawful right to enter. | |
TRUST DEED | |
TRUSTEEOne who holds property in trust for another to secure the performance of an obligation. | |
TRUSTORThe borrower in a trust agreement. | |
TRUTH-IN-LENDINGA federal law designed to let borrowers know the exact cost of obtaining credit; a disclosure device. | |
U |
---|
UNDIVIDED INTEREST | |
UNDUE INFLUENCETaking any advantage of another by playing on his weaknesses or distress. | |
UNIFORM DECLARATION OF RESTRICTIONSA document recorded by a subdivider to place restrictive covenants on all property within the subdivision. | |
UNILATERAL CONTRACTA contract whereby only one party is obligated to perform his obligation to another. | |
UNIT-IN-PLACE METHODThe method of finding an improvement's replacement or reproduction cost new by itemizing the cost of each component part of the improvement, i.e., the cost of flooring, plastering, the electrical system, etc. | |
UNITIES OF TITLENecessities usually required in the formation of a joint tenancy or tenancy by the entirety; time, title interest and possession. | |
UNIVERSAL AGENTAn agent authorized to handle all types of matters for his principal. | |
UNMARKETABLE TITLE | |
USUFRUCT - Civil Law TermThe right to the use and the fruits of a Louisiana ownership. It is a combination of two of the three bundles of rights in Louisiana, namely usus and fructus; the right of enjoying the use of property, and the income produced by the property, the substance of which is owned by another. | |
USURYCharging a rate of interest on a loan greater than that permitted by law. | |
USUS - Civil Law Term | |
UTILITYThe usefulness of an item; its ability to satisfactorily function for the purpose for which it was intended. | |
V |
---|
VA GUARANTEE | |
VALIDHaving binding force; legally sufficient and authorized by law. | |
VALUABLE CONSIDERATION | |
VALUATIONThe estimated worth of property. | |
VALUEThe worth of one thing in comparison with another; the market value; something desirable and therefore having worth. | |
VARIABLE RATE LOANA loan in which the interest rate rises or falls according to an indicator of market interest such as the Prime Lending Rate. | |
VARIANCEPermission obtained from zoning authorities permitting the construction of a building or structure that is forbidden by present zoning ordinances; a departure from the general rule. | |
VENDEEThe buyer. | |
VENDORThe seller. | |
VESTED INTERESTA present right of title to realty, but with possession delayed to some uncertain time in the future. | |
VOIDTo have no force or effect; that which is unenforceable. | |
VOIDABLE | |
VOLUNTARY LIEN | |
W |
---|
WARRANTY DEED | |
WASTE | |
WILLA legal declaration of a person's wishes as to the disposition of his property after his death. | |
WRAP-AROUND MORTGAGEA wrap-around mortgage is a vehicle sometimes used to provide secondary or additional financing. It is a mortgage which includes within its lien an existing or prior mortgage. The wrap-around mortgage assumes the existing or prior mortgage, includes it with any additional financing being provided, creates a new mortgage for the total amount and therefore, advances to a primary position. The mortgagor then makes one payment for the total amount to the wrap-around mortgagee, who in turn maintains the debt service on the prior obligation. | |
WRIT OF EXECUTIONA writ or court order authorizing and directing an officer of the court to carry out the judgment or decree of the court. | |
Y |
---|
YIELDThe return on an investment; the amount of profit made as a percentage of the amount invested. | |
Z |
---|
ZONINGAn act of the city or county authorities by exercise of police power in regulating, controlling or specifying the type of use to which property may be put in specific areas. | |
ZONING EXCEPTIONA permit allowing the non-conforming use of a property if this use benefits the general public. | |
ZONING ORDINANCEThe acts of an authorized governmental body which regulate land use. | |