If you’re a newbie to the Real Estate world, you might feel a little overwhelmed when you hear all the real estate jargon! Whether you’re buying or selling, many real estate terms used can be quite confusing and hard to understand. To give you a head start and help you out, here are some of the most common real estate terms defined by iThink Sales and Marketing Consultant, Matt Hawkins.
The sale of a property held publicly and sold to the highest bidder. Properties usually have a reserve price and if not reached the property can be passed in.
A contract that is agreed to by the seller and buyer where a number of conditions need to be met, usually within a specified timeframe.
The legal process of transferring ownership of the property from one person to another.
COOLING OFF PERIOD
Set time where a buyer can withdraw from the contract, however penalties do occur.
A percentage of the purchase price, or an agreed amount, paid by the buyer and is held in the Trust account as confirmation of intention to buy.
A right held by someone to use land belonging to someone else for a specific purpose. Eg. Local Council needs access to sewer pipes that may be on the property.
Property is passed in at an auction if the bidding does not reach the reserve price.
The amount which a homeowner will sell from on the day of the auction.
The date the property is exchanged between the buyer and seller.
SUBJECT TO FINANCE
A common condition inserted into a contract for the benefit of the buyer. This clause gives the client time to organise a mortgage for the property they’re buying and relies upon the lender approving the amount of finance needed to purchase that particular property.
A contract that means once all parties have agreed on a price and the contract is dated – you are legally bound to the purchase of the property with a settlement on the agreed date and the agreed price, no matter what.
MATT HAWKINS – SALES & MARKETING CONSULTANT
0423 120 232
Destined for a career in Real Estate, Matt is the consummate salesman. Polished and professional, with a down to earth, no-nonsense attitude, Matt is the boy next door on steroids when it comes to selling property. A creative marketer and diligent researcher with vast local knowledge, he is across latest market trends and able to provide honest and accurate analysis of property values. His clients are constantly impressed and in awe of his communication and negotiation skills.
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