General Real Estate Terms

Listing – A home or property put up for sale, usually represented by a real estate agent.

MLS (Multiple Listing Service) – Database where agents post and search available homes.

FSBO (For Sale by Owner) – A home sold directly by the owner without an agent.

Appraisal – Professional estimate of a property’s value, usually required by lenders.

Comparables (Comps) – Recently sold similar homes used to estimate a property’s value.

CMA (Comparative Market Analysis) – Report agents prepare using comps to suggest pricing.

Market Value – What a buyer is willing to pay and a seller is willing to accept.

As-Is – Property sold in its current condition, no repairs guaranteed by seller.

Contingency – A condition that must be met for a contract to move forward.

Ratified Contract – A contract signed and agreed upon by all parties (binding).

Closing Costs – Fees paid at closing (loan fees, title fees, taxes, insurance, etc.).

Clear to Close (CTC) – Final lender approval – buyer can now schedule closing.

Closing / Settlement – The final meeting where documents are signed, money is transferred, and keys are handed over.

Earnest Money Deposit (EMD) – Good faith deposit by the buyer to show commitment.

Escrow – A neutral third party that holds funds/documents until conditions are met.

Arrears – Payments made after the fact (ex: paying property taxes at year’s end for the past year).

Short Sale – Selling a home for less than what is owed on the mortgage, with lender approval.

Foreclosure – When a lender takes back a property due to missed mortgage payments.

Contract & Legal Terms

Addendum – An additional document added to a contract.

Amendment – A change to the original contract.

Breach of Contract – Failure to meet terms of the agreement.

Deed – Legal document transferring ownership from seller to buyer.

Title – The legal right to own and use property.

Title Insurance – Protects buyers/lenders against hidden ownership claims.

Lien – Legal claim against a property until debt is paid.

Encumbrance – Any claim or restriction on a property.

Easement – Legal right for someone else to use part of your property.

Right of First Refusal – Someone’s right to match an offer before the seller can accept another buyer’s.

Due Diligence – Time period when buyer can investigate property.

Loan & Mortgage Terms

Pre-Qualification – Estimate of what a buyer might borrow (not verified).

Pre-Approval – Lender verifies income, credit, and gives a stronger approval amount.

Mortgage – Loan used to buy real estate.

Principal – The actual amount borrowed.

Interest – Cost of borrowing money from the lender.

Escrow Account – Account lender uses to pay property taxes and insurance.

Amortization – Paying off a loan gradually with scheduled payments.

Fixed-Rate Mortgage – Interest rate stays the same for the loan’s life.

Adjustable-Rate Mortgage (ARM) – Interest rate changes after a set period.

FHA Loan – Loan insured by the Federal Housing Administration.

VA Loan – Zero down loan for veterans and service members.

Conventional Loan – Standard loan not backed by the government.

Debt-to-Income Ratio (DTI) – Percentage of income that goes toward debts.

PMI (Private Mortgage Insurance) – Insurance buyers pay if they put down less than 20%.

Loan-to-Value (LTV) – Loan amount compared to property value.

Title & Closing Terms

Settlement Statement (CD / HUD-1) – Document listing final closing costs and who pays what.

Recording Fees – Fees paid to county to record the deed and mortgage.

Survey – Map of the property showing boundaries.

Clear Title – Title with no disputes, liens, or claims.

Cloud on Title – Unresolved issue that could affect ownership.

Property Management & Rental Terms

Lease Agreement – Contract between landlord and tenant.

Security Deposit – Money held to cover damages/unpaid rent.

Rent in Arrears – Rent paid at the end of the period.

Eviction – Legal process to remove a tenant.

Gross Lease – Tenant pays rent, landlord covers expenses.

Net Lease – Tenant pays rent plus some expenses.

Triple Net Lease (NNN) – Tenant pays rent plus all expenses.

Cap Rate – Rate of return on an investment property.

Cash Flow – Money left after paying expenses on rental property.

Appreciation – Increase in property value over time.

Depreciation – Tax deduction for property’s wear and tear.

Investment & Development Terms

Equity – Difference between property’s value and what is owed.

ROI (Return on Investment) – Profit compared to investment amount.

1031 Exchange – IRS rule allowing investors to re-invest property sales tax-free.

Hard Money Loan – Short-term, high-interest loan often used by investors.

REIT – Company that owns and manages real estate investments.

Zoning – Government regulations on property use.

Variance – Permission to use property differently than zoning allows.

Eminent Domain – Government’s right to take private property for public use.

The Miracle Morning for Real Estate Agents — Hal Elrod, Michael J. Maher & Michael Reese

How to Win Friends and Influence People — Dale Carnegie

The Power of Habit — Charles Duhigg

The ONE Thing — Gary Keller & Jay Papasan

The Millionaire Real Estate Agent — Gary Keller, Dave Jenks & Jay Papasan

The Millionaire Real Estate Investor — Gary Keller, Dave Jenks & Jay Papasan

The Magic of Thinking Big — David J. Schwartz

Eat That Frog! — Brian Tracy

SHIFT: How Top Real Estate Agents Tackle Tough Times — Gary Keller

Sell It Like Serhant — Ryan Serhant

The Compound Effect — Darren Hardy

The Entrepreneur Roller Coaster — Darren Hardy

Ikigai: The Japanese Secret to a Long and Happy Life — Héctor García & Francesc Miralles

Rich Dad Poor Dad — Robert T. Kiyosaki

The 7 Habits of Highly Effective People — Stephen R. Covey

Never Split the Difference - Chris Voss

The Subtle Are of not giving a F*ck - Mark Manson

Everything is F*cked - Mark Manson

Leaders Eat Last - Simon Sinek

Getting to Yes - Roger Fisher, William Ury

The 7 Levels of Communication - Michael J Maher

The Go Giver - Bob Burg and John David Martin

The E-Myth Revisited - Michael Gerber

What go you here wont get you there - Marshall Goldsmith

The 12 week year - Moran/Lennington

Beyond Referrals - Bill Cates

The Greatest Salesman in the World - OG Mandino

Atomic Habits - James Clear

Extreme Ownership - Jocko Willink and Leif Babin

The 21 Irrefutable Laws of Leadership — John C. Maxwell

Good to Great — Jim Collins

The Hard Thing About Hard Things — Ben Horowitz

Influence — Robert Cialdini

Exactly What to Say — Phil M. Jones

Fanatical Prospecting — Jeb Blount

The Conversion Code — Chris Smith

The Psychology of Selling — Brian Tracy

The Psychology of Money — Morgan Housel

The Richest Man in Babylon — George S. Clason

Man's Search for Meaning — Viktor E. Frankl

Can't Hurt Me — David Goggins

1) Offer presentation matters, make sure it's in a nice, easy to read, professional format, with a summarization of the offer in the body of the email.

2) Make sure the offer is written completely and correctly with good punctuation and spelling.

3) Add a professional cover sheet to summarize the offer.

4) Have the buyer write a love letter to the sellers (if your brokerage allows this).

5) Have the buyers lender call the sellers agent as soon as the offer is submitted.

6) Offer to Pay the seller back for the Home owners association documents cost at settlement (addendum is needed showing this).

7) Build rapport with the sellers agent - ask what's important to them and use it in your offer/style of communication.

8) Ask the listing agent what is important to the seller and factor that in to your offer.

9) Close during the sellers preferred timeline.

10) Pay the sellers transfer taxes at settlement.

11) Write the offer while its in coming soon status (site unseen).

12) Do a walk and talk home inspection before you write the offer to be able to fully waive the home inspection.

13) Use an Escalation addendum.

14) Put an expiration date on the offer.

15) Offer to use the listing agents title company.

16) Be uber professional with the agent.