Real Estate Legal Terms A Acceleration: A term of a loan that provides that the full amount of the loan is due and payable, regardless of maturity date, if there is a failure of a covenant or breach of a representation or warranty in the loan documentation. Acceptance: The indication that an offer of another is acceptable, thus forming a contract if the other element s are present. The action can be in writing or by action.
Base Rent: The rental obligation, expressed in dollars, as specified in a lease, per month or per year. The initial contract rent may change during the lease term because of specifically stated increases, or through adjustments based on changes in various published indices such as the consumer price index. Bill of Sale: The document used to transfer ownership of personal property. Blockbusting: The illegal practice of inducing panic selling in a neighborhood for financial gain.
Clerk's Fee: Fees paid to the clerk when instruments are recorded in addition to recordation taxes. Clerk's Office of the Circuit Court: Where real estate documents are recorded in Virginia, giving constructive notice to third parties of the contents. Closing: The delivery of the deed by the seller and of cash or other consideration by the buyer, causing title to pass from the seller to the buyer.
Boot: Amount in a 1031 exchange that does not qualify for deferral, so taxes are due on the amount.
Closing Checklist: A list of documents or actions outlining the items that need to be done prior to a closing.
Broker: A person or entity that facilitates buying and selling of real estate for a fee by bringing buyers and sellers together.
Commitment Letter: The letter issued by a lender outlining the terms under which the lender agrees to make a loan.
Agent: A person or entity designated to act on behalf of another person or entity.
Breach: When an agreement is not honored by one of the parties to a contract.
Ambiguity: Capable of two meanings or contract constructions.
Brownfield: An urban site that has been previously developed, often for industrial purposes, that either has or is perceived to have environmental contamination.
Common Area: The area within a property that is not designed for sale or rental, but is available for common use by all owners, tenants, and their guests, e.g., parking and its appurtenances, malls, sidewalks, landscaped areas, recreational areas, pubic toilets, truck and service facilities.
Adverse Possession: The acquisition of property as a result of “actual and exclusive, open and notorious, hostile and continuous” possession under a claim of right for a statutory period of time.
Anticipatory Breach: When one party to a contract communicates by actions or words that performance of an obligation will not take place but the time of performance has not occurred. Assignee: The person or entity to whom a claim, benefit, or right in property is made. Assignment: The act of passing all of one’s rights and responsibilities under a legal agreement to a third party. Assignor: The person transferring a claim, benefit, or right in property to another. AS IS: A term that means the sale is without any representations or warranties, whether written or not, and the buyer must to its own its own due diligence prior to purchase. Attachment: The granting of a security interest in property from one person to another.
Bundle of Sticks: The aggregate of rights, powers, and privileges that an owner of real estate has that are protected by law, some of which are saleable separately, such as an easement or a lease.
C Capital Gain: The amount calculated as net sale proceeds less original purchase price plus all depreciation deductions taken in previous years. Case Brief: The act of distilling the meaning from a court opinion used by lawyers to determine the common law in particular circumstances as compared to a persuasive brief filed with a court of law. CERCLA: The Comprehensive Environmental Response Compensation and Liability Act of 1980.
B Bankruptcy: A legal action filed by a person or entity whose obligations exceed its ability to pay.
Certificate of Occupancy: Written authorization given by a local government that allows a newly completed or substantially completed structure to be inhabited. Civil Action: A court action where both parties are private parties and monetary damages are awarded to the winning party.
Common Law: Principals established by a court system and not by statute or regulation. Conservation Easement: An easement granted to the government or a charitable foundation to preserve certain characteristics of the land, often for tax considerations. Consideration: In contract terms, money or a promise. Condemnation: The taking of private property for public use by a government unit, against the will of the owner, but with the payment of just compensation under the government's power of eminent domain. Condemnation may also be based on a determination by a governmental agency that a particular building is unsafe or unfit for use. Condominium (Condo): Individual ownership of a portion of a building, with common areas shared by all owners. Maintenance fees called assessments are paid to the condominium association to maintain, repair, or improve the property. Contingency: An event that must happen before a party must perform an agreed upon act. Examples include contingency fee, obtaining financing, inspections, investor or other approvals, zoning. 1
Real Estate Legal Terms Contract: An agreement between two or more parties that may or may not be in writing. Contract of Adhesion: A non-negotiable form contract that contains imbalanced terms that are in favor of the company that wrote it to the detriment of the individual that signs it.. Co-operative (Co-op): An arrangement in which a corporation made up of residents owns a building. The buyer owns a proprietary lease, rather than real property, and a corresponding number of shares in the corporation. Corporation: A form of business entity that has legal significance independent of its owners and affords the assets of those owners protection from the actions of the entity. Corporations are established by the filing of articles with a central state registration agency. Covenant: A promise, such as "I agree to keep this property free of bugs. " Criminal Action: An action brought by the government as a result of a wrong against society for which a person may lose their freedom or their life and an entity may be assessed punitive like damages. Cure Period: Period of time given a to party to a contract to cure a default.
D Damages: Money used to compensate for an injury or loss. In contract, damages are used to compensate the harmed party by putting it in the same place had the other party performed. The same concept is true in tort law, or compensating the victim for the cost of the harm, and there is also the possibility of punitive damages if deterrence is a goal. Deed in Lieu: When a lender takes title to a property directly as a result of a default instead of by foreclosure. Deeds - in - lieu do not clear title and must be voluntary. Deed of Trust: A security instrument similar to a mortgage whereby title to real property is conveyed to a trustee who holds title to the property in trust as security for the payment of the debt to a lender or beneficiary. If the borrower defaults, the trustee may sell the property at a public sale without having to file a court action. Deed: A formal written instrument by which title to real property is transferred from one owner to another. The deed should contain an accurate description of the property being
conveyed, should be signed and witnessed according to the laws of the State where the property is located, and should be delivered to the purchaser at closing day. There are two parties to a deed: the grantor and the grantee. (See also deed of trust, general warranty deed, quitclaim deed, and special warranty deed.) Default: Failure to fulfill a covenant or obligation, often used in connection with a payment (monetary default) or other (nonmonetary) obligation. Defined Terms: Used in technical drafting of legal documents for the same concept used throughout a document in order to avoid creating ambiguity by the same term being used in multiple ways within a document courts think different meaning are attached because different words are used. For example, Virginia Commonwealth University, Monroe Campus ("VCU- Monroe"), or B&B, LLC, a Virginia limited liability company ("B&B"). Depreciation: Decline in value of a property due to wear and tear, adverse changes in the neighborhood, or any other reason. Also for commercial property depreciation refers to the economic life over which the asset, excluding land, might be written off for the calculation of taxable income. Current economic lives for residential investment property are 27.5 years and 39.0 years for commercial property. Dicta or Dictum: Writing of a judge which do not embody the holding in the case; comments that are not necessarily essential to a determination. Dividends Paid Deduction: The manner in which a REIT is not taxes twice. To be a REIT, the REIT must pay at least 90% of its corporate taxable income to shareholders to maintain their REIT status. Most REITs pay 100% of their taxable income to shareholders resulting in no tax at the corporate level. Dominant Estate: The property benefited by an easement appurtenant. Down REIT: A REIT that owns property separately from those owned by an operating partnership that is controlled by the REIT. Due Diligence: The process whereby all the details of the investment property are examined by various professionals for items that may effect the purchase price of property. It came into use as a result of the Securities Act of 1933 as applied to broker-dealers because if the exercised "du diligence" on a company whose stock they were selling, they would not have liability for non-disclosure.
Due on Sale: A term in a deed of trust or mortgage that provides the full amount of the loan is due upon the transfer of the property that secures the loan.
E Easement: A non-possessory right to use someone else's land for a specific purpose. It is a property right, as opposed to a contract right. Easement Appurtenant: An easement benefitting an adjacent parcel that runs with the land. Examples are access to water or property, utilities, parking. Easement in Gross: A property right in favor of a person or entity instead of property, such as a utility, railroad or a billboard. Eminent Domain: The government’s power to take private property for public use upon payment of just compensation. Encroachment: An unauthorized invasion or intrusion of a fixture, building, or another improvement onto another person’s property. Encumbrance: Restriction or limitation on ownership rights, such as zoning ordinances, easement rights, claims, mortgages, liens, charges, a pending legal action, unpaid taxes, or restrictive covenants. Environmental Site Assessment or ESA: A study used to evaluate environmental risk and establish the innocent landowner defense in an action for environmental clean up. Equity: In real estate, equity is the difference between the fair market value of the property and the ---amount of debt. Escrow: Items, such as documents or cash, held by an independent third party in a transaction to facilitate a closing or other arrangement between the transacting parties
F Fair Housing Law: Title VII of the Civil Rights Act, prohibiting discrimination in residential housing on the basis of race, religion, color,
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Real Estate Legal Terms
sex, or national origin. Does not apply to commercial or industrial properties.
taxes, and insurance for the property during the period of the lease.
Fee Simple Absolute: The highest form of ownership of real property; possessing the most complete form of ownership with complete power to transfer and destroy it.
Gross Rent: A rate quoted as “gross” includes all operating costs: heating, ventilation and air conditioning (HVAC), property taxes, insurance, janitorial services, and maintenance charges. These can typically range from $3 to $9 per square foot, depending on the type, location and age of the building. With a gross lease the landlord bares the responsibility of variance in expected operating costs.
Financing Statement: The form filed with a central state agency to perfect, or to give public notice to, a security interest in personal property Fixture: Property that is permanently attached or affixed to real estate. Flood Hazard Area: Rating of potential Flood Hazard according to the Flood Insurance Rate Maps of the Federal Emergency Management Agency of the U.S. Department of Housing and Urban Development: Foreclosure: A legal term applied to any of the various methods of enforcing payment of the debt secured by a mortgage, or deed of trust, by taking and selling the mortgaged property, and depriving the mortgagor of possession. Funds from Operation or FFO: The accounting measure used by REITs to measure cash flow generated from operations by using net income, excluding gains or losses from sales and adding back depreciation.
G General Partnership: When two or more persons or entities join together for a single business purpose. A general partnership is assumed if not actions are taken to formalize an entity. All partners may bind the entity and have liability for the debts and actions of the partnership. General Warranty Deed: A deed which conveys not only all the grantor's interests in and title to the property to the grantee, but also warrants that if the title is defective due to the acts of a predecessor in title. the grantee may hold the grantor liable. Grantee: The party to the deed that buys the real estate. Grantor: The party to a deed that sells the real estate. Gross Lease: A lease contract stipulating that the landlord will pay all operating expenses,
Ground Rent or Lease: A long-term lease for a parcel of unimproved land. If improvements are built, they become the property of the landlord at the end of the lease term. Guaranty: The promise of a third party to perform the obligations of another.
Involuntary Lien: A lien imposed against property without consent of an owner. Examples include taxes, special assessments, federal income tax liens, mechanic’s liens, and material liens. A mortgage lien is a voluntary lien.
J Joint Venture: When two or more persons or entities join together to share in the profits and losses of a specific business idea. Usually the partied involved agree to form a separate entity as the "joint venture" is not a legally recognized separate entity. If the parties do not, the joint venture may be considered a general partnership. Judicial Foreclosure: A means of selling property through a court procedure to satisfy a lien.
H Holdover Tenant: A tenant that stays in possession of the leased property after the termination of a lease. Hybrid REIT: A REIT that owns assets in and UPREIT and in other entities so the equity interests differ.
Jurisdiction: Power, right or authority to interpret the law. Jurisdiction needs to be obtained over the person and the subject matter.
L
I
Land: 1. The earth's surface, both land and water, and anything that is attached to it; all natural resources in their original state, e.g., mineral deposits, wildlife, timber, fish, water, coal deposits, soil. 2. In law, the solid surface on the earth; as distinguished from water.
Impact Fee: A fee charged to a developer by a local government to cover the added government expenditures (fire, police protection, etc.) necessitated by the development. Improvements: Buildings or other relatively permanent structures or developments located on or attached to land. Incentive Zoning: A practice used by communities to encourage developers to provide certain publicly desired features in their developments in exchange for relaxed enforcement of the zoning code. Infrastructure: Investment in public facilities such as roads, schools, etc. done prior to the ground up improvements. Inverse Condemnation: A lawsuit initiated by a property owner to force the government to purchase a property whose value has been diminished by a governmental action.
Lease: A written document in which the rights to use and occupancy of land or structures are transferred by the owner to another for a specified period of time in return for a specified rent. Leased Fee Estate: The property owner’s interest when the property is leased. Leasehold Estate: A tenant’s rights to use and possess (but not own) a property as defined in a lease agreement. LEED or Leadership in Energy and Environmental Testing.: A certification system for environmentally conscious or "green" development.
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Real Estate Legal Terms
Lessee (Tenant): The person(s) holding rights of possession and use of property under terms of a lease.
Mineral Rights: Rights to minerals found in land that are separately transferable or severable from the real estate.
O
Lessor (Landlord): The one leasing property.
Mortgage: A legal document pledging property as security for the payment of a loan and a lien or claim against real property given by the buyer to the lender as security for money borrowed. Under government-insured or loanguarantee provisions, the payments may include escrow amounts covering taxes, hazard insurance, water charges, and special assessments. Mortgages generally run from 10 to 30 years, during which the loan is to be paid off.
Offer: An indication of one party's willingness to enter into a contract.
Letter of Intent: A letter signed by two parties stating the basic terms of a sale that can often be construed to be a binding contract if it contains all of the elements of a contract. License: A temporary non-possessory contract right. Lien: A charge or claim by one party on the property of another as security for the payment of a debt. Such claims may include obligations not met or satisfied, judgments, unpaid taxes, materials, or labor. Life Estate: An ownership interest in real property that normally ends upon the death of a named person.
Mortgagee: The lender in a mortgage loan transaction. Mortgagor: The borrower in a mortgage loan transaction.
N
Limited Liability Company or LLC: A hybrid entity that combines features of corporations and partnerships by allowing limitation of liability to its owners like a corporation and tax treatment of its owners like a partnership. It is a flexible form of ownership that can be easily adapted to the needs of its organizing owners.
Net-Net Lease: A lease that stipulates that the lessee will pay operating expenses and insurance for the property during the lease period.
Liquidated Damages: A fixed amount of damages used when damages are not easily ascertained. Liquidated damages cannot be used as a penalty. Loan Documents: All the documents used in connection with a loan, including, for example, a commitment letter, a note, a mortgage or deed of trust, a security agreement, financing statements, guaranties, and assignments.
M
Operating Partnership: A form of entity in an UPREIT or a DownREIT where an owner of real estate contributes the real estate to a partnership owned by the REIT in exchange for units in the partnership in a non-taxable transaction, with those units being exchangeable for REIT shares in a taxable transaction. Operating Agreement: The document that governs the relationship of members in an LLC similar to articles and bylaws of a corporation or a partnership agreement of a general or limited partnership.
P
Life Tenant: The person who holds the present interest in a life estate (may or may not be the person whose life the estate is tied to).
Limited Partnership: A form of partnership that has a general partner that can bind the partnership and allows limited liability for its limited partners that are not involved in the day to day management of the company.
Nonconforming Use: A use of land that does not conform to the current land-use controls imposed by the government. Nonjudicial Foreclosure: A situation in which the security instrument grants the lender power of sale should the borrower default. Nonrecourse Loan: A type of loan in which the borrower (mortgagor) is not personally liable for payment of the debt if the value of the property securing the loan is less than the amount necessary to repay the loan. Note: The document that includes the unconditional promise of a borrower to pay the amount loaned by a lender at a time certain. If a note meets certain conditions under the Uniform Commercial Code, it can be like a check and "negotiated" or signed and sold like a check or stock certificate. Notes can also be considered securities.
Material Defect: Any attribute affecting property value that is not readily observable but might be known by the seller of such property that must be disclosed to residential buyers under most state laws using state mandated disclosure forms.
Parole Evidence Rule: Rule that prevents one party to a contract from using evidence that what is included in the contract is not what is meant. Percentage Rent: Commercial retail leases usually include a fixed minimum rent and a percentage rent provision. The latter requires the tenant to pay additional rent also known as overage based on a percentage of the sales exceeding a certain level known as the breakpoint. Perfection: The step necessary to establish the priority of a secured creditor in property over the interests of other creditors. Personal Property: Movable private property. Plat: A map or chart of a lot, subdivision, or community drawn by a surveyor showing boundary lines, buildings, improvements on the land, and easements. Police Power: That right by which the state or other government authority may take, condemn, destroy, limit the use of, or otherwise invade property rights. It must be shown affirmatively that the property was taken for the public interest in a reasonable and equitable manner. Potentially Responsible Persons or PRPs: The party or parties that are responsible for
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Real Estate Legal Terms cleaning up dirty property under CERCLA regardless of fault. Precedent: Common law that involves the application of earlier decisions to resolve disputes in later cases. Priority: The order in which claims of creditors or possessors are paid or honored. Privity: A mutual or successive relationship in the same property or right. In contracts, it means only the parties to the contract can enforce the contract and in real property, it means the landlord has to consent to the delivery of possession of real estate for it to be enforceable against the landlord. Public Company: Generally, a company that is owned by the public and is subject to registration and oversight of the Securities and Exchange Commission. Puffing: The classification of a statement as opinion and not as a statement of fact generally be a sales person, such as "this is a great piece of real estate" or "this product will make you look and feel 10 years younger and thinner, too."
Q Quitclaim Deed: A deed which transfers whatever interest the maker of the deed may have in the particular parcel of land. A quitclaim deed is often given to clear the title when the grantor's interest in a property is questionable. By accepting such a deed the buyer assumes all the risks. Such a deed makes no warranties as to the title, but simply transfers to the buyer whatever interest the grantor has.
R Real Estate: Physical land and appurtenances affixed to the land, e.g., buildings and other improvements. Real Estate Investment Trust or REIT: An organized association whereby individual investors pool funds for the purpose of investing in real estate. If the tax requirements are met, there is deduction for all dividends that are paid to the owners resulting in the elimination of income taxes at the corporate level as compared to other corporations that
pay income taxes on corporate income and the shareholders paying taxes on their income from the company. Real Property: The aggregate of rights, powers, and privileges inherent in the ownership of land and appurtenances, including anything of a permanent nature. Reciprocal Easement Agreement: The basic agreement relating to the development, construction, and operation of a shopping center entered into between the developer and the major department stores’ anchor tenants around which the center is planned and developed. Recording: The filing of a copy of a legal instrument or document, e.g., a deed, in a government office provided for this purpose; creates a public record of the document for the protection of all concerned and gives constructive notice to the public at large. Recording Taxes: Fees paid when recording a transfer. Redlining: The practice by lenders of refusing to make loans in certain risky or traditional neighborhoods. Rent: Payments made by a tenant to a landlord for the use of real estate owned by the landlord. Rent from Real Property: A term used with REITs that classifies the types of income that will be treated as rent for the purposes of the Internal Revenue Code. As a general rule, it is rent from the box of real estate only (base rent with out services such as internet services) and not services to the real estate (like monthly parking) unless they are customary in the market where the real estate is located. Representation: A statement of fact made in a contract that if found to be false, there can be a cause of action for damages by the one to whom the representation was made. A representation speaks when it is made as compared to a warranty speaking as to some future obligation. Representations and Warranties: The section in generally all written contracts where statements of fact are made by one party to the other that are important to each of them before committing to be obligated to perform the contract. Some are the same for each party, like authority to enter into the contract, and others are different, like representing and warranting that the seller owns the property and has the right to convey it..
Restrictive Covenant: A private agreement limiting the use or occupancy of real estate that can be part of a conveyance and, if recorded, is binding on all subsequent purchasers. Restrictive covenants may be imposed by the developer in order to increase marketability of the development and may involve control of lot size, setback, placement of buildings, architecture or cost of improvements. Reversion: A right to future possession retained by an owner at the time of a transfer of the owner’s interest in real property. Right of First Refusal: Landlords undertaking to offer space to existing tenants on the same terms and conditions as a bona fide offer they may have received for that space. Risk of loss: The allocation of loss of property to a buyer or a seller prior to closing. The common law is that the loss of the property is on the purchaser unless negated in the contract.
S SARA: The Superfund Amendments Reauthorization Act of 1906.
and
Securities and Exchange Commission (SEC): The federal agency formed by the Securities Exchange Act of 1934 to oversee all aspects of the securities industry. Its mission is to protect investor, to maintain fair and efficient market and to facilitate capital formation. See: www.sec.gov/about/whatwedo.shtml Security: A tradable financial instrument that represents some kind of value. Security Agreement: The document that grants a lender a security interest in personal property collateral for a loan. Servient Estate: The property burdened by an easement appurtenant.
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Real Estate Legal Terms Signature Block: The manner in which documents are signed by entities in order for the person signing to avoid personal liability. For example: SurfaceBurks, LLC, a Virginia limited liability company By: Katheryn E. Surface Burks Sole Managing Member
Special Warranty Deed: A deed where the grantor only warrants that it has not done any acts, other than the ones that are disclosed, to the title to the real property. This is the type of deed that is most frequently used in commercial transactions due to the availability of title insurance.
Survival: If a contract does not state that it “survives” the closing and delivery of the deed, the law considers that contract to have merged into the deed and is not in effect after closing.
T Taxable REIT Subsidiary or TRS: A wholly owned subsidiary of the REIT that can pay taxes in order to participate in non- real estate related income activities.
Specific Performance: A requirement that the terms of a contract be exactly complied with.
Tenancy at Will: The possession real estate belonging to another with their permission for an indefinite period of time which can be terminated by the lessor (owner) or lessee (tenant).
Statute of Frauds: A state law requiring that certain contracts be in writing and contain certain essential elements to be enforceable. A contract for the sale of real estate must be in writing to be enforceable.
Tenancy by Entirety: A special form of joint tenancy, limited to husband and wife, where both are viewed as one person under common law. This form also provides for the right of survivorship.
Strict Foreclosure: A situation in which the lender is entitled to immediate ownership of the property should the borrower default.
Tenancy in Common: In law, the type of tenancy or real estate created when real or personal property is granted, devised, or bequeathed to two or more persons, in the absence of expressed words creating a joint tenancy. There is no right of survivorship.
Strict Liability: When it is not necessary to prove fault in order for a person to be responsible for paying damages in order to address a harm. Subdivision: A tract of land that has been divided into blocks or plots with streets, roadways, open areas and other facilities appropriate to its development as residential, commercial, or industrial sites. Sublease: A lease transferred by a lessee to a third person for a term no longer than the remaining portion of the original lease. Subordination: A clause which may be included in a written recorded instrument in which the mortgagee (lender) agrees to permit a lateracquired debt to have priority. Subordination may apply not only to mortgages, but also to leases, real estate rights, and any other type of debt instruments. Survey: A map or plat made by a licensed surveyor showing the results of measuring the land with its elevations, improvements, boundaries, and its relationship to surrounding tracts of land. A survey is often required by the lender to assure him that a building is actually sited on the land according to its legal description.
1031 Exchange: A method used to exchange one asset for another and defer capital gains tax on the profit from the sale if reinvested in another asset. Third Party Beneficiary: The right of person or entity to sue in specific circumstances in spite of not being a party to a contract. Time is of the Essence: A term included in a real estate contract that means the closing must take place on the date stated in the contract and not a reasonable time thereafter as provided by common law. If this phrase is not in the contract, then the common law rule applies. Title: Lawful ownership of property. As generally used, the rights of ownership and possession of particular property. In real estate usage, title may refer to the instruments or documents by which a right of ownership is established (title documents), or it may refer to the ownership interest one has in the real estate.
the title to the real estate. Schedule B2 reflects all the exceptions to title. Title Policy: Insurance that protects real property owners from any mistakes made in the title to the property in prior ownership, such as failure to get all of the heirs to consent to a transfer or fraud by a closing agent. Tort: A personal wrong to another party without agreement. An example of a tort is negligence, or not taking reasonable care to avoid harm to another person. Trade Fixture: Personal property or fixtures installed by a tenant and used in a trade or business. Trade fixtures are different in that they are considered real estate since they may be permanently attached to the real estate but may be removed by the tenant a reasonable time after the termination of a lease. Triple Net Lease: With a triple net or “NNN” lease all operating expenses are paid for directly by the tenant. Some leases are “net” or include partial payment of operating costs. Trustee: A party who is given legal responsibility to hold property in the best interest of or “for the benefit of” another. The trustee is one placed in a position of responsibility for another, a responsibility enforceable in a court of law.
U Uniform Commercial Code or UCC: Legislation enacted individually by states with the goal of creating some consistency concerning commercial sales transactions. UPREIT: A REIT where all of the assets are held and operations are conducted by an "operating partnership" in which the general partner or managing member is the REIT. Assets are contributed in a tax free or substantially deferred transaction under Section 721 (not 1031) of the IRC.
V Vested Rights: A right that may not be taken away by the legislature. Used often in zoning cases.
Title Commitment: A contract to issue a title policy that is prepared by a title insurance company in due diligence to show the state of
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Real Estate Legal Terms
W Warranty: A statement of fact made in a contract that if found to be false, there can be a cause of action for damages by the one to whom the warranty was made. Warranties tend to speak to future performance with respect to personal property. They can be express or implied, with implied warranties being governed by the UCC. Waste: The destructive use of property by someone in possession who holds less than full and clear title such as a tenant or mortgagor. Water Rights: The right to withdraw water from the land. Wetland: Land that has a predominance of soils that is inundated or saturated by surface or groundwater at a frequency and duration sufficient to support, and that under normal conditions does support, a prevalence of hydrophytic vegetation typically adapted for life in saturated soil conditions.
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For Educational Purposes: The opinions and statements stated herein reflect the views of the author at the time of publication. This publication is for educational purposes with the understanding that the author and publisher are not engaged in rendering legal, accounting, or other professional services. Portions of this document are taken with permission from Real Estate Glossary prepared by Robert W Taylor, Copyright © 2012 Others portions are Copyright © 2013 Katheryn E. Surface Burks
Y Your Honor: How one addresses one's real estate law instructor at VCU.
Z Zoning: The public regulation of the character and intensity of real estate use through police power; accomplished by establishing districts or areas with uniform restrictions relating to improvements, structure heights, areas, bulk, density of population and other limitations on the use and development of private property. Zoning Variance: Administrative relief that allows an owner to deviate slightly from a strict interpretation of the zoning ordinance.
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