Every term you'll encounter buying or selling a home — defined simply, with no jargon. Bookmark this page for your reference.
Loan where the interest rate changes periodically based on a benchmark index.
Professional valuation of a property's worth, typically required by lenders.
Increase in a property's value over time.
Government valuation of a property for tax purposes.
A secondary offer accepted in case the primary contract falls through.
Real estate professional representing the buyer's interests in a transaction.
Final step where ownership transfers from seller to buyer.
Fees beyond the property price — typically 2-5% of loan amount.
Report comparing a home to recently sold similar properties to estimate value.
A condition that must be met for a contract to be binding.
Mortgage not insured by the federal government, typically requiring 5-20% down.
Percentage of monthly income that goes to debt payments.
Legal document transferring property ownership.
Cash paid upfront toward a home purchase.
When one agent represents both buyer and seller in a transaction.
Good-faith deposit showing buyer's commitment to a purchase.
The portion of a property's value owned outright by the homeowner.
Neutral third party holding funds and documents until closing.
Federal Housing Administration loan with low down payment requirements.
Loan with an interest rate that doesn't change over the loan's life.
Legal process when a lender takes ownership due to missed payments.
Homeowners Association — governing body of a planned community.
Professional assessment of a property's condition.
Internet Data Exchange — system allowing MLS listings to display on agent websites.
Clause allowing buyer to back out based on inspection findings.
Mortgage exceeding conventional loan limits set by Fannie Mae/Freddie Mac.
Contract between seller and listing agent.
Ratio of loan amount to property value, expressed as a percentage.
Multiple Listing Service — database of properties for sale.
Loan secured by real estate.
Private Mortgage Insurance — required for conventional loans with <20% down.
Lender's written commitment to lend a specific amount based on document review.
The original amount borrowed, excluding interest.
Real estate agent who is a member of the National Association of Realtors.
Replacing an existing mortgage with a new one, typically at a lower rate.
Document detailing known defects and material facts about a property.
Sale where proceeds are less than the mortgage balance owed.
Legal ownership of a property.
Insurance protecting against losses from ownership disputes.
Lender's evaluation of loan risk before approval.
Mortgage backed by the Department of Veterans Affairs for eligible service members.
Final inspection by buyer before closing.
Every buyer needs a lender who answers the phone, returns calls before closing, and structures the loan to work for them — not the algorithm. Georges has spent two decades doing exactly that across Southern California.