Our guide to the most commonly used terms in real estate
Confused by all the real estate terminology? We’ve put together this handy dictionary of commonly used terms when buying or selling a property.
A written analysis of the estimated value of a property prepared by a qualified sales consultant
The written contract for the sale and purchase of property
A short-term loan (usually at a higher interest rate) taken out to cover the financial commitment between buying a new property and selling an existing one.
A standard day for conducting business: 9am – 5pm. Excludes weekends and Public Holidays.
When the demand for property is less than supply so the advantages shift to the buyers.
The financial gain on the sale of a capital asset.
Any structure or addition to a property erected as a permanent improvement.
Certificate of Title:
A description of a property with the name of the registered owner, encumbrance ie mortgages and / or easements on the property.
Moveable and removable items of personal property. In real estate transactions for the sale of homes this usually includes the stove, television aerial, carpets, blinds, curtains, drapes and light fittings. Unless chattels are specified in the agreement, they are not sold as part of the property.
Conditions (Special Conditions in a Sale and Purchase Agreement):
Cash out clause – a buyer can come in with a cash offer and over-ride the existing conditional offer
Conditional upon a specialists report Conditional upon the sale of the purchasers property
Conditional upon an existing agreement
Conditional upon a LIM report
Conditional upon finance
Conditional upon builders report
Conditional upon solicitors approval