Where cozy means tiny and charming means needs work.
The Federal National Mortgage Association, a government-sponsored enterprise that buys mortgages from lenders to increase housing market liquidity. Despite the folksy nickname, it's a massive financial entity that basically keeps the mortgage market from seizing up.
Someone meeting SEC wealth requirements ($200,000+ annual income or $1M+ net worth) eligible for private real estate securities—basically the rich kids' club.
Buying a property exactly as it is without repairs—the seller's way of saying 'don't say I didn't warn you.'
A three-digit number between 300-850 that essentially determines your financial destiny and your ability to borrow money at reasonable rates.
A provision allowing an owner to sell individual parcels from a larger mortgaged property, common in land development. It's how developers avoid having all their eggs in one very large, very financed basket.
An organization governing a residential community with rules designed to maintain property values and busybody neighbors' quality of life.
Foreign Investment in Real Property Tax Act—IRS rules requiring withholding from foreign sellers of US real estate. Because Uncle Sam doesn't trust foreigners to voluntarily pay capital gains taxes after they've left the country with the money.
The minimum time you must own a property or have a mortgage before certain transactions are allowed. Real estate's way of preventing you from flipping too fast.
A financing technique where someone pays upfront to reduce the interest rate on a mortgage, either temporarily or permanently. It's like paying for a discount on your discount.
The actual square footage tenants can occupy and must pay for, excluding common areas, mechanical rooms, and structural elements. It's why your 'thousand square foot' office feels like eight hundred.
A reduction or elimination of property taxes for a specified period, typically offered as an incentive for development or renovation in targeted areas. It's the government's way of bribing you to improve neighborhoods they've neglected.
A hybrid property that functions as both a condominium and a hotel, where owners can occupy their units part-time while renting them out through hotel operations. It's vacation ownership that pretends to be a legitimate investment strategy.
Debt-to-Income ratio—the calculation that determines if you're financially responsible enough to borrow money, by comparing your debts to your income. It's how lenders mathematically judge your life choices.
Money or perks the seller agrees to provide the buyer at closing, typically covering closing costs or repairs. It's the real estate equivalent of throwing in floor mats when buying a car.
When you refinance your mortgage for more than you owe and pocket the difference, essentially using your house as a personal ATM. It's a way to access home equity while simultaneously increasing your debt and monthly payment—what could go wrong?
The painful difference between what a buyer offered and what the property actually appraised for, requiring either price renegotiation or the buyer coughing up extra cash. It's the financial buzzkill of hot markets where emotions outbid mathematics.
Industry slang for properties with minor cosmetic issues that scare away typical buyers but are catnip to investors and DIYers. Think ugly carpet and dated wallpaper, not structural disasters—though agents sometimes blur that line.
A seller's request for all interested buyers to submit their absolute top offer by a deadline, usually because multiple lowballers are circling. It's the real estate version of 'final answer' from Who Wants to Be a Millionaire.
A mortgage exceeding conforming loan limits set by Fannie Mae and Freddie Mac, typically requiring better credit and larger down payments. It's called 'jumbo' because both the loan and the payments are supersized.
A public notice that legal action affecting a property's title has been filed, essentially a warning sign that there's drama ahead. Latin for 'suit pending' and headaches imminent.
The charge lenders levy for processing your loan application and creating your mortgage. It's basically an admission fee to the debt party, typically 0.5-1% of the loan amount.
Upfront fees paid to the lender at closing to reduce your interest rate, where one point equals 1% of the loan amount. It's buying a discount on money you're borrowing—capitalism at its finest.
The ethically questionable act of accepting a higher offer on a property after already agreeing to sell to someone else but before contracts are signed. It's the real estate equivalent of leaving someone at the altar for a richer suitor.
The actual floor space a tenant can occupy, excluding common areas like lobbies and hallways. In commercial leases, this differs from rentable square footage through a multiplier that ensures you pay for space you can't actually use.