See: Sheathing.

A fully enclosed section of the interior of a building, having access through a door or doorway. In residential property, rooms are described specifically, such as living room, dining room, etc.

The number of rooms in a residential property. There is no national method of counting but, generally, bathrooms are specified and counted separately.

A room or building, shaped in a circle, and usually with a domed roof.

Abbreviation used on many listing forms.

See: Renegotiable Rate Mortgage.

Principle that a property interest is void unless it must vest not later than the remaining time of a life or lives in being, plus gestation time, plus twenty-one years. (The time has been modified by statute and should be checked in each state).

The Rule of 78’s is a commonly used accounting method for allocating interest or insurance charges in a credit transaction. This allocation method assumes that the portion of the total charge contained in each credit installment payment is computed as a direct ratio of the number of the remaining unpaid installments to the sum if the original number of installments.

Usually concerned with easements and covenants. Passing with the transfer of the land.

Concerning the country, as opposed to urban (concerning the city).

An agency of the U.S. Department of Agriculture that helps rural communities and individuals by providing loans and grants for housing and community facilities. It provides fund-ing for single family homes, apartments for low-income persons or the elderly, housing for farm laborers, childcare centers, fire and police stations, hospitals, libraries, nursing homes, schools and other services.

A clause in a listing protecting the broker from having buyer and seller wait until the listing expires to make a deal, thereby avoiding the payment of commission. The clause states that if the property is sold during a specified period after the expiration of the listing (or any extension thereof) to a buyer provided during the listing period by the broker, the commission shall be paid.

A sale and subsequent lease from the buyer back to the seller. Although the lease actually follows the sale, both are agreed to as part of the same transaction.

See: Market Data Approach.

Another name for a sales agreement, purchase agreement, etc. Not to be confused with a land contract, which is a conditional sales contract.

Materials carried by a salesperson to aid in listings and sales. This is the “tool kit” of real estate, containing forms, maps, tape measure, amortization schedules, pens, paper, etc.

The ratio of the assessed value of a property to its selling price, which is presumed to be market value. This shows the percentage of assessed value to market value.

One who is licensed to work in real estate under a licensed broker.