Albuquerque NM Real Estate Key Terms 721 Exchange is the IRS code, section 721 which permits an investor to contribute a property a partnership.  The investor obtains interest in the partnership called operating partnerships.  721 exchanges are often used by Real Estate Investment Trusts or REITs. 1031 Exchange is a section of the IRS code […]

Albuquerque NM Real Estate Key Terms Radon is a natural occurring gas that may cause health problems Ready, Willing, and Ready Buyer is one shoe is prepared to buy real estate on the seller’s terms and take the steps to consummate the transaction. Real Estate is a legal term that encompasses land along with improvements […]

Albuquerque Real Estate Key Terms Net Lease is a lease requiring the tenant to pay all costs including maintaining the property, property taxes, utilities, repairs, insurance, and the lease payment. Net Listing is a listing base on the net price the seller will receive if the property is sold. Net Operating Income is the income […]

Albuquerque NM Real Estate Key Terms Early Occupancy refers to the practice of allowing the buyer to take possession of real property before closing. Earnest Money the cash deposit paid by the prospective buyer of real property as evidence of a good faith intention to complete the transaction. Easement a right to use the land […]

Albuquerque NM Real Estate Key Terms Backup Offer an offer to buy submitted to a seller with the understanding that the seller has already accepted a prior offer. Balloon Payment a final payment of a mortgage loan that is considerably larger than the require periodic payments because the loan amount was not fully amortized Bankruptcy […]

Albuquerque NM Real Estate Key Terms Underwater Loan is a term indicating a higher loan balance than the proceeds available after the sale of the under lying asset. Underwriter in the loan industry is a person working for a lender who reviews a loan application and makes recommendation to the loan committee. Underwriting is the […]