|
A / B
/ C / D /
E / F / G
/ H / I /
J / L /
M / O /
P / R /
S / T /
U / V /
W
Abstract of Title
A condensed history of the title to a particular piece of real estate showing,
in chronological sequence, matters such as conveyances, liens, and encumbrances
which have been recorded against the title in the office of the register of
deeds or other public recording place.
Adjustable Rate Mortgage
A mortgage with a fluctuating interest rate usually limited to one adjustment
each year. There are a set number of maximum increases over the life of the
loan, with the fluctuating rate based on a national index.
Agent
A person who is authorized by another to act on their behalf.
Asbestos
A mineral fiber which has been used in a variety of ways within the home, but
generally as an insulator around plumbing. Asbestos can be friable or
non-friable, and may be hazardous to health.
Assessed Value
The determination by the state of the property’s worth, for property tax
purposes. Assessed value is usually a percentage of the appraised value.
Back to Top
Balloon Payment
A lump-sum payment due at the end of a mortgage contract period.
Breach
A failure to perform as promised in a contract.
Broker
A person who is licensed to charge a fee to buy, sell, exchange, or lease real
property for others.
Brokerage
The business of bringing buyers and seller together in the marketplace.
Buyer Agency Agreement
A written employment agreement that creates an agency relationship between a
broker and a buyer. The buyer employs the broker to put forth a reasonable
effort to find a property for the buyer to purchase and to negotiate on behalf
of the buyer.
Buyer’s Broker
The firm that has entered into a buyer agency agreement with the buyer
indicating that the broker will be representing the interests of the buyer.
Back to Top
Cancellation Agreement
A contract which terminates the rights that the buyer and seller have in a
contract for sale.
Client
The person who employs an agent to perform a service on their behalf.
Closing
The final act in a real estate transaction, in which all financing is
distributed to the parties and rights to the property change from seller to
buyer.
Cloud on Title
A claim or encumbrance that would affect or burden an owner’s title to real
estate.
Contract for Sale
An agreement between buyer and seller for the sale and purchase of the seller’s
property.
Counter Offer
An offer which essentially terminates a prior offer and states only the new
terms to be negotiated.
Customer
A person who receives services given on behalf of and for the benefit of a
client.
Back to Top
Deed
A document which transfers ownership of title.
Dual Agency
An agent representing two principals in one transaction. Dual agency is legal in
Wisconsin only with informed written consent of both parties to the transaction.
Back to Top
Earnest Money
Up front cash or item of value from the potential buyer which indicates their
intention to make good on their offer to purchase.
Encumbrances
Any claim against a property that may diminish its value.
Back to Top
Fixture
An article that was once personal property but has been so affixed to real
estate that it has become real property.
Back to Top
Grantee
A person who is receiving an interest in real property.
Grantor
A person who is conveying an interest in real property.
Back to Top
Homestead
The primary residence including the land and building surrounding the main
house.
Back to Top
Improvement
A valuable addition to land such as buildings, sewers, and sidewalks.
Back to Top
Joint Tenancy
Two or more persons holding title to real property who are named on the same
deed, hold an equal interest which was obtained at the same time, and share an
undivided possession of the property. Joint tenants benefit by the "right of
survivorship".
Back to Top
Land Contract
A type of seller financing in which title does not transfer from seller to buyer
until the mortgage has been paid in full. Under a land contract the buyer gains
equitable title and seller maintains legal title.
Lead Poisoning
An illness caused by a toxic mineral which may be found in the home in paint or
water pipes.
Lien
A legal right to place a claim or encumbrance on property or have it sold for
payment of a debt.
Liquidation
A remedy for breach of contract, which is available only to the seller, whereby
he/she retains the buyer’s earnest money as liquidated damages.
Listing Broker/Agent
The listing broker is the firm that the seller has employed under a listing
contract. The listing agent is the agent within the employing firm who actually
acquired the listing.
Listing Contract
A written employment agreement that creates an agency relationship between a
broker and a seller.
Loan-to-Value Ratio
The relationship between the loan amount and the selling price.
Back to Top
Marital Property
Property ownership recognized in Wisconsin that views the married couple as a
single unit. It establishes ownership rights and the right to manage and control
the property. Marital property is the real and personal property of all married
persons.
Market Price
The price a ready, willing, and able buyer actually pays for a property.
Market Value
The price at which a property would sell in the open market to a buyer who is
under no duress, is not related to the seller, is well-informed about the
property and who has been found within a reasonable amount of time.
Marketable Title
A title which is free from defects and encumbrances and may be transferred to
another party.
Mirror Image Offer
An Offer to Purchase that is written at the price and on substantially the terms
set forth in the listing. Even if the seller does not accept this offer the
broker may be owed a commission.
Misrepresentation
Any statement of fact by one person to another, either by words or actions,
which is not in accordance with the actual facts.
Mixed Marital Property
A combination of both individual and marital property that will always be
treated as marital.
Mortgage
Financing instrument used to purchase property, comprised of the mortgage
document and mortgage note.
Mortgagee
Lender
Mortgage Document
The document pledging real estate as security for the repayment of a debt.
Mortgage Note
The note is the borrower’s actual promise to repay the loan.
Mortgagor
Borrower
Multiple Listing Service (MLS)
An agreement whereby brokers pool their listings and offer to cooperate and
compensate other brokers and in some cases buyer’s brokers.
Back to Top
Offer to Purchase
A promise made, usually by a buyer, to purchase a seller’s property under
certain terms.
Option to Purchase
An agreement to keep open, for a set period, an offer to sell or lease real
property.
Origination Fee
The dollar amount charged by the lender to cover the time and expenses incurred
to arrange a loan. The fee covers the lender’s overhead for the processing of
the loan throughout the loan term.
Back to Top
Personal Property (
Property that is portable or unattached to the real estate.
Points
Prepaid interest that is collected at closing. This money is used to buy down the
interest rate of a mortgage.
Power of Attorney
A written instrument giving a person the authority to act on behalf of another
(the principal).
Primary Market
The market where loans generally are originated and sold.
Principal
1. One who has permitted or directed another to act for his/her benefit and
subject to his/ her direction and control; 2. The amount of money which is
borrowed, not including the payment of interest.
Private Mortgage Insurance
An insurance policy written to insure a portion of a mortgage amount for a
borrower.
Purchase Money Mortgage
The seller takes a mortgage from the buyer for all or a portion of the purchase
price. Seller has equitable title and buyer gets legal title.
Back to Top
Radon Gas
An odorless radioactive gas which may enter a home through cracks in the
foundation or drains in the floor.
Back to Top
Secondary Market
A market for the purchase and sale of existing mortgages.
Selling Broker/Agent
The selling broker is the firm which procured the buyer for a seller. The
selling agent is the actual person, within the selling broker’s firm, who
actually procured the buyer.
Specific Performance
An action brought by a court to force a party to carry out the terms of a
contract.
Subagent
An agent who works under another agent.
Sue for Damages
A remedy for breach of contract whereby a party sues the breaching party for
cash damages.
Sue for Specific Performance
A remedy for breach of contract whereby one party to a contract sues the other
party to carry out the agreement of the contract.
Back to Top
Time is of the Essence
The specified date in the contract by which agreed-upon acts must be completely
performed or the non-performing party will breach the contract.
Time Share
Ownership of real property for a limited time period, usually one week each
year.
Title Insurance
An insurance policy which protects the insured against loss or defects which may
occur in the title.
Back to Top
Underground Storage Tank
Tanks used in the storage of fuel or heating oil for noncommercial purposes or
consumptive use.
Unenforceable Contract
A contract whereby neither party can sue the other for performance. However, an
unenforceable contract may be valid between the parties by their mutual
agreement.
Back to Top
Valid Contract
A contract that contains all of the necessary elements and is enforceable in a
court of law.
Variance
Grants permission to deviate from a zoning restriction.
Void Contract
An unenforceable contract that lacks legal purpose or essential requirements.
Void able Contract
A contract that can be voided by an injured party.
Back to Top
Wetland
An area where water is at, near or above the land surface long enough to be
capable of supporting aquatic or hydrophytic vegetation.
| 
