Real estate agents use specialized language to describe properties and business concepts. It’s important to understand the basic terminology used in the industry to have a better understanding of the industry. In this page lets have the list of terms used to describe the Real Estate and Financial Terms.
Buying, selling or renting property in Australia and having trouble understanding what they’re saying? To help you figure it out, we’ve created brief explanations of the words used. For more complete information, see your local real estate agent, financial advisor or solicitor.
A B C DE F GH IJK L MN O PQ R S T UVWXYZ
– P – | |
passed in | A property is passed in at auction if the highest bid fails to meet the reserve price set by the vendor and consequently does not sell. |
payee | The person or entity to which a cheque is payable. |
portability | When a new property may be substituted as security for an existing loan. |
Power-of-Attorney | Having the authority to execute documents on behalf of the person granting the power. |
pre-qualification | The process to determine how much money a buyer will be eligible to borrow before they apply for a loan. |
prime rate | The interest rate that banks charge their preferred customers. Changes in this rate affects other interest rates including mortgages. |
principal | The amount borrowed or still to be repaid. |
private sale | The sale of a property by the owner without the services of a real estate agent. |
private treaty sale | The sale of property where the buyer negotiates on a price set by the seller. |
proxy | A person who represents another, particularly in some meeting or a document giving authority to another to represent their wishes. |
public housing | Government-owned housing for low-income individuals and families provided at no cost or for nominal rental rates. |
– Q – | |
qualified acceptance | An acceptance of an offer subject to a condition or conditions which must be met. |
qualified buyer | A buyer who has satisfied a lender that he or she is financially able to qualify for a loan. This is one of the primary steps taken in the loan process. |
Note: We assume no liability resulting from any errors or omissions. Translation . . . we’ve done our best to bring you accurate information. However, you should seek your own independent advice as to the accuracy of the information supplied.