Real Estate Vocab list 5

Question 1

Sale and Leaseback

Answer 1

The selling of property to an investor while at the same time leasing it back for a specified period.

Question 2

Salvage Value

Answer 2

The estimated economic value of an asset at the end of its economic life.

Question 3

Sandwich Lease

Answer 3

A lease in which a lessee rents the property to another party, putting himself in the middle position.

Question 4

Satisfaction of Judgment

Answer 4

A document which, when recorded, releases the judgement lien.

Question 5

Satisfaction of Mortgage

Answer 5

A document stating that the mortgage debt has been paid in full.

Question 6

Schedule “A”

Answer 6

Description page of a preliminary title report and the type of insurance being issued.

Question 7

Schedule “B”

Answer 7

The portion of a title insurance policy that lists the exceptions to coverage by the policy.

Question 8

Scheduled Gross Income

Answer 8

The maximum potential income a property can generate before any deductions or expenses.

Question 9

Seasoned Loan

Answer 9

A loan repayment record that is consistent.

Question 10

Secondary Market

Answer 10

Agencies which purchase mortgages from primary lenders thereby creating funds for additional mortgages.

Question 11

Section

Answer 11

In the Government Rectangular Survey System, a parcel of land one mile square containing 640 acres.

Question 12

Security Agreement

Answer 12

Under the U.C.C., a document used to secure personal property.

Question 13

Servient Estate

Answer 13

The land against which an easement has been granted for the benefit of the dominant estate.

Question 14

Setback

Answer 14

The distance a structure must be from a given point such as a street or an easement.

Question 15

Settlement Sheet

Answer 15

A full disclosure of all charges and disbursements in a real estate transaction.

Question 16

Sheathing

Answer 16

The inner covering of boards on the roof or the outside walls of a frame house.

Question 17

Sheriff’s Deed

Answer 17

Deed given by the Sheriff at the completion of a mortgage foreclosure sale.

Question 18

Sherman Antitrust Act

Answer 18

Prohibits certain business activities that are anti-competitive, such as price fixing.

Question 19

Short Term Capital Gain

Answer 19

The gain on the sale of a capital asset usually held for 12 months or less.

Question 20

Sill

Answer 20

The lowest horizontal board in a window or door frame

Question 21

Simple Interest

Answer 21

Interest paid only on the unpaid principal balance.

Question 22

Sinking Fund

Answer 22

A fund made up of sums of money set asked to pay a debt or meet depreciation expenses.

Question 23

Situs

Answer 23

Land has an economic value due to its location.

Question 24

Soft Money Mortgage

Answer 24

A mortgage given to finance a specified property. Usually a carryback between the seller and buyer that reflects an extension of credit.

Question 25

Sole and Separate

Answer 25

Owned by one person-Severalty.

Question 26

Special Service Properties

Answer 26

Properties such as churches and theaters having a single purpose and little demand.

Question 27

Special Warranty Deed

Answer 27

A conveying deed in which the grantor guarantees the title of real property for only as long as he has owned it.

Question 28

Specific Lien

Answer 28

A lien which encumbers only a certain parcel of property.

Question 29

Specific Performance suit

Answer 29

A court action that forces a party to comply with the contract as promised.

Question 30

Square Foot Method

Answer 30

Estimating the value of a building using the exterior measurements.

Question 31

Statute of Frauds

Answer 31

A law that states all real estate contracts must be in writing to be enforceable (except a lease for one year or less).

Question 32

Statute of Limitations

Answer 32

A time limit during which a legal action must take place.

Question 33

Statutory Law

Answer 33

Laws passed by a legislative body.

Question 34

Statutory Lien

Answer 34

A lien placed against property by operation of law.

Question 35

Statutory Period of Redemption

Answer 35

The mortgagor's last chance to redeem the property after the foreclosure sale by paying the entire debt.

Question 36

Steering

Answer 36

An illegal practice that guides home buyers to a particular area of town.

Question 37

Stepped-Up Basis

Answer 37

The basis of the property acquired from a decedent will equal the value at the time of death.

Question 38

Straight Line Depreciation

Answer 38

A method of depreciation in which the asset is written off evenly over its useful life.

Question 39

Straight Note

Answer 39

A note that calls for payments of interest only followed by a balloon payment of the principal.

Question 40

Straw Man

Answer 40

One who acts for another for the purpose of concealing the other's identity-or a third party used to create a Joint Tenancy.

Question 41

Stud

Answer 41

The vertical supports in a wall of a frame house.

Question 42

Sub-surface Rights

Answer 42

The right to use the land below ground level to the center of the earth.

Question 43

Subagent

Answer 43

A licensee who represents a designated Broker but does not have the direct contractual obligation to Buyer or Seller.

Question 44

Subdivision

Answer 44

A large tract that has been divided into smaller parcels for sale. Six or more parcels improved or unimproved any of which are less that thirty-six acres each.

Question 45

Subject to

Answer 45

A buyer takes over real property but is not liable for the mortgage on the property.

Question 46

Subjective Value

Answer 46

Value that is created in the minds of people.

Question 47

Sublease

Answer 47

A re-renting of space held under a lease to a third party.

Question 48

Subordination Clause

Answer 48

A clause in which the lien holder agrees to be secondary to a future encumbrance.

Question 49

Subpoena

Answer 49

A written order directing a person to appear in court or produce documents.

Question 50

Subrogation

Answer 50

The substitution of a claim for monies paid.

Question 51

Substitution

Answer 51

An appraisal concept that states that the value of ones property is set by the cost of buying an equally desirable property.