Real Estate Terms It Helps to Know
These are a few real estate terms that you may want to understand when it comes time for closing.
- Adverse Possession
- The technical term for squatting, or occupying a property without the owner’s consent. Title of the land could vest in the squatter after a certain number of years of peaceful occupancy have passed.
- Annual Percentage Rate- The yearly rate of interest paid on a loan.
- An educated property value estimation based on facts about the property.
- Someone acting as agent for another to negotiate sale or purchase of a property.
- Closing Disclosure
- A document disclosing any issues with the property that the seller should know. See our previous post on disclosure laws here in Colorado.
- Closing Statement
- A balance sheet showing the assets and debts accrued by each party to a real estate transaction.
- Contingencies in deeds or other real estate instruments required to allow a deal to occur. See our earlier post on how kick-out clauses in contingencies work.
- Promises and assurances made as part of a transaction.
- Failure to live up to an agreement by either not paying or not performing by the covenants.
- Defective Title
- An irregular or faulty title due to a lien, judgment, mortgage or other obstacle to the property’s transfer.
- Loss of property value over time from normal wear and tear, natural disaster, or neglect.
- The right to a path of exit from a property.
- Eminent Domain
- The government’s right to take private property for public use in exchange for reasonable market value.
For Title Insurance in Highlands Ranch
Before you get to your closing, you will want to have the best closing services and title insurance coverage in Colorado. Contact Colorado Professionals Title at (303) 268-4278 or visit us online to find out more.