Glossary of Terms

Agency: The relationship that a real estate agent has with a customer or client.

Amendment: An attachment to the Purchase & Sale Agreement to make any changes to the original contract.

Buyer Broker: An agent who represents the buyer in a transaction.

Closing or Possession Date: The day the title of the property is legally transferred and the transaction of funds finalized via the lawyers.

CMA: Comparable Market Analysis, or an opinion of a home’s value.

Comps: Properties used as comparables on a CMA.

Deposit: Money submitted with the offer to show good faith, which will be applied against the purchase price of the home when the sale closes.

Disclosure: Verbal and/or written communication regarding agency, property, condition, etc.

Down payment: Initial investment on a home loan paid upon closing.

List (Listing): When a seller signs a listing agreement with a broker to market their property.

Listing Agent: Agent who takes a listing on behalf of the broker.

Lock-box: A box on the property that holds the key(s) to enter the home.

Lock-in: A term to obtain the interest rate at today’s rate, or lock-in a current interest rate.

MLS: Multiple Listing Service. An organization that distributes information on properties listed by MLS member brokers.

Offer to Purchase: A legal document which specifies the terms and conditions of your offer to purchase that home.

Property Profile: An informational/fact sheet about a property on the market.

Purchase and Sale Agreement: A contract between a buyer and a seller to purchase real property.

Transaction: A listing sold or the sale of real property.