During your search for a new home, you’ll see all kinds of real estate terms. Knowing what all of the acronyms mean is extremely helpful when you’re looking at Patti Wagner real estate listings, and this short guide to real estate lingo and acronyms is designed to be your quick-reference tool.
BR/BA: Bedrooms and bathrooms. You’ll see listings that say 3 BR/2 BA (three bedrooms and two bathrooms) and 4 BR/2.5 BA (four bedrooms and two-and-a-half bath, and so on.
CMA: Comparative market analysis or competitive market analysis
FDR: Formal dining room
FPLC, FP, FRPL: Fireplace
FSBO: For sale by owner
Grmet Kit: Gourmet kitchen
HDW, HWF, Hdwd: Hardwood floors
HOA: Homeowner’s association
MLS: Multiple Listing Service
Real Estate Lingo
Appraisal: A professional estimate of a property’s value
Closing: The actual purchase transaction
Closing costs: The amount of money the buyer and seller must pay when the deal closes. Closing costs include commission, mortgage fees, title company charges and other miscellaneous fees
Contingency: The provision of the purchase agreement that prevents it from becoming legally binding until certain conditions are met, such as a home inspection
Contract: The document between a seller and a buyer that outlines the terms of your transaction
Debt ratio: The ratio of your debt to your income
Deed: The document that transfers ownership between two parties
Earnest money: A deposit you pay to the seller to show that you’re a serious buyer
Equity: The amount of value you own in a property after subtracting the outstanding loan
Escrow: A service offered by the lender so that you can easily pay your property taxes and insurance
FICO Score: The credit score lenders use to determine whether you qualify for a loan
Fixture: Anything of value that is permanently attached to the property
Good faith estimate: The estimate of closing costs that the lender is required to give you
Listing: The agreement between a real estate broker and a homeowner that allows the broker to market and sell the home
Lock box: A key-holding device that’s attached to a home for sale so that real estate agents can show it with permission from the listing agent
PMI, or private mortgage insurance: The insurance you must buy if your down payment is below 20 percent of the home’s sale price
Term: The length of a mortgage, which is usually 15 or 30 years
Title insurance: The insurance policy that protects the lender
Have More Questions?
Call me at 708.218.8102 or contact me online. I’ll be happy to answer your questions and put you on the right path to owning your own Patti Wagner home.
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