Broker
a licensed professional who acts as an intermediary between two or more persons engaged in a business transaction. Real estate brokers arrange sales between buyers and sellers. Mortgage brokers arrange loans between borrowers and lenders.

Contract of Sale
a legal document wherein the buyer agrees to purchase property from the seller and the seller agrees to convey interest under terms and conditions identified therein.

Deed
a written document describing a property executed by the seller/owner (grantor) and delivered to the purchaser (grantee) who then gains title or interest in the property.

Equity
the amount of value an owner has above any monies owed (outstanding mortgage, taxes, liens) against the property.

Exclusive right to sell
a listing agreement executed and agreed to between a broker and owner giving the broker the right to market and sell the property and collect a commission regardless of who sells the property over the term of the listing agreement.

Fixed rate mortgage
a mortgage where the rate of interest remains constant or fixed throughout the life or term of the loan.

Gross lease
a lease whereby the landlord/lessor pays some if not all of the expenses (taxes, insurance, water, heat, electric) charged to the property.

Lease
a written agreement executed by the landlord/lessor and tenant/lessee whereby the tenant acquires the right to possess, use and occupy the property over a period of time for a specific amount of money.

Mortgage
a conveyance of property as security for a loan which creates a lien on the property if recorded and the conveyance becomes void upon the payment and satisfaction of the terms of the mortgage.

Nincomeet
the remaining balance after operating expenses have been deducted from the gross income; sometimes referred to as net operating income.

Open listing
a listing giving the right to sell to a broker, not excluding any rights of another broker or the owner, who will be only be compensated in the event the broker procures a ready, willing and able purchaser under the terms of the listing agreement.

Tax sale
the sale of property for the non-payment of real estate taxes.

Time of the essence
the provision a contract or notification whereby the parties are required to perform punctually as provided in the contract of sale.

Title
proof or evidence that an owner of property is the rightful and proper owner.

Variance
the application and permission received by a property owner from zoning authorities permitting a use or structure prohibited under present zoning ordinances.