Real estate dictionary for homeowners in Okemos MI, East Lansing, Grand Ledge, Haslett, Holt, Saint Johns, Mason and surrounding Lansing Michigan cities:
What did my realtor say?” Are you confused by real estate terms and terminology used by your licensed agent, broker, or realtor? We provide an easy and simple way to understand commonly used real estate terms:
Appraisal: a report that outlines the value and worth of a home that will be bought or sold. Mortgage companies and lenders often require a professional and licensed appraiser to appraise the home.
Is my realtor a Buyer’s Agent or Listing Agent? Buyer’s Agent represents the interest of the buyer. They work with clients who are interested in buying property rather than selling. If you are selling your house then you work with a Listing Agent. Listing agent represents the interest of the seller and their commission is paid by the seller.
Dual Agent: The realtor represents both parties, she or he acts as both the Buyer’s Agent and Listing Agent. In this case, the realtor may receive twice the commission.
Closing Costs: total expenses paid at closing by either the buyer or seller, or both. the These costs may include title transfer fees, credit report fees, inspections, appraisals, property taxes, deed recording fees and homeowners insurance.
Earnest Money Deposit (EMD) or ‘Good Faith Deposit’: amount of money (often in the form of a check) that is paid by the buyer to purchase the property. This money is presented to the seller during an offer.
Deed: written proof that shows title has been transferred from one party to the another. In this
case, the ‘grantor’ has transferred ownership of the house to the ‘grantee’.
Grantor: The Seller
Grantee: The Buyer
Asking Price or Purchase Price: the price that a buyer offers to purchase the property.
Listing Price: the price that a seller is asking to sell their home.
Listing Contract: paperwork required and signed by the seller and listing agent in order to sell the property. Then the home, condo or land is advertised in the multiple listing service (MLS) and online.
Hazard Insurance: same as homeowner’s insurance. You pay a monthly or annual fee for home insurance which covers your property in case of fire, burglary, basement floods, roof leaks, trees falling on the house, etc.