N Terms Flashcards Preview

Real Estate > N Terms > Flashcards

Flashcards in N Terms Deck (39):
1

notice of default

A notice given under a trust deed that sets the statutory period for the trustor to pay obligations.

2

nuncupative will

An oral deathbed will for personal property of low value. The witnesses must reduce it to writing. It is not valid in all states.

3

nuisance

A use of property that interferes with the quiet enjoyment by others of their properties. An abatement action can be taken to stop (abate) the nuisance.

4

novation

The substitution of one agreement for another, or the substitution of parties to the agreement.

5

not-to-compete clause

A clause in an employment or a sales contract that prohibits competition by former employees or sellers within a reasonable distance, and for a reasonable time period. If a court determines that the restrictions are unreasonable, such a clause is not enforceable.

6

notice of nonresponsibility

A notice filed by an owner to protect the property from liens for work authorized by another person; for example, a tenant.

7

notice to quit

A statutory notice given by a landlord to a tenant to vacate the premises.

8

net listing

A listing whereby the broker receives as a commission that portion of the sales price that exceeds the listing price. In some states, net listings are illegal.

9

notice of completion

A notice filed by an owner that starts a statutory period in which mechanics' liens must be filed.

10

note

A signed instrument that acknowledges a debt, and agrees to pay it either on demand or at a set date in the future. The mortgage or trust deed secures the note in real estate transactions.

11

nonrecourse loan

A loan for which the borrower is not personally liable (no deficiency judgment is possible).

12

nonjudicial foreclosure

Foreclosure under the power-of-sale provision of a mortgage or trust deed.

13

noninstitutional lender

A lender other than a bank, a savings and loan association, or an insurance company; for example, a pension fund or a private individual.

14

net operating income (NOD)

Gross annual income less operational costs (does not deduct for debt service or depreciation).

15

nonfreehold estate

A leasehold interest.

16

nondisturbance clause

A mortgage condition by which the mortgagee agrees not to terminate the lease (if the lessee is in compliance with lease terms) in the event of mortgage foreclosure.

17

noncumulative zoning

Zoning that allows only a specified category of use (not less restrictive uses).

18

net profit

The profit after all expenses (excludes payment on the principal of loans and taxes on the profit).

19

nonconforming use

A use existing before zoning that does not conform with the zoning.

20

nonconforming loan

A loan that fails to meet the purchase requirements of Fannie Mae or Freddie Mac; usually held by the lender as a portfolio loan.

21

nominal

(1) The rate stated in the instrument. (2) A minimum quantity.

22

nominal damages

A token amount awarded by a court when no actual damages result from a wrongful act.

23

net worth

The difference between total assets and total liabilities.

24

naked title

Legal title only, without another right of ownership; for example, a trustee under a deed of trust.

25

net lease

A lease under which the tenant pays all operational and maintenance expenses, and gives the lessor a net amount as rent.

26

neighborhood

An area of social conformity.

27

negotiable instrument

A written unconditional promise or order to pay a certain sum in money now or at a definite time in the future.

28

negative fraud

Fraud resulting from failure to disclose rather than from an affirmative act.

29

negative easement

An easement right that prohibits an owner from a use.

30

negative declaration

A statement that a development will not have a significant adverse effect on the environment.

31

narrative report

An appraisal written in a narrative form; the most comprehensive form of appraisal report.

32

negative covenant

A promise not to do something; for example, a restrictive covenant that prohibits detached garages.

33

negative cash flow

An investment or a business that requires a regular infusion of cash because the cash outlay exceeds the cash receipts.

34

negative amortization

A loan whose monthly installments are not sufficient to pay the interest, so the principal increases.

35

National Association of REALTORS® (NAR)

A trade organization dedicated to training real estate professionals and ensuring high ethical standards within the field.

36

natural monument

A surveying point for metes-and-bounds descriptions that is natural, as opposed to manmade; for example, a tree, rock, or river bank.

37

National Flood Insurance Act

Legislation that makes flood insurance available in communities that have developed a flood-protection plan.

38

National Environmental Policy Act (NEPA)

Requires an environmental impact statement (EIS) on federal projects that can significantly affect the environment.

39

National Do Not Call Registry

A Federal registry to protect residences from unwanted telephone solicitations.