"E" Vocab

Question 1

Earnest Money

Answer 1

down payment made by a buyer of Real estate as evidence of good faith

Question 2

Easement

Answer 2

the right of one party to use the land of another for a particular purpose, such as to lay utility lines

Question 3

Easement Appurtenant

Answer 3

easements created for the beneficial use of an adjoining property. They are created in the name of the property, not the property owner. Appurtenant means ‘belongs to’, consequently, easements appurtenant belong to or run with the land

Question 4

Easement by Necessity

Answer 4

an easement, granted by law and requiring court action, that is deemed necessary for the full enjoyment of a parcel of land.

Question 5

Easement by Prescription

Answer 5

a means of acquiring an easement by continued, open, and hostile use of someone else’s property for a statutorily defined period of time

Question 6

Easement in Gross

Answer 6

a personal right granted by an owner with no requirement that the easement holder own adjoining land

Question 7

Economic Life

Answer 7

the period of time over which an improved property will generate sufficient income to justify its continued existence

Question 8

Effective Age

Answer 8

an appraister’s estimate of the physical condition of a building. The actual age of a building may be different than its effective age

Question 9

Emblements

Answer 9

Cultivated crops; generally considered to be personal property

Question 10

Eminent Domain

Answer 10

the right of a gov’t to take private property for public use upon payment of its fair market value

Question 11

Encroachment

Answer 11

a trespass caused when a structure, such as a wall or fence, invades another person’s land or air space

Question 12

Encumbrance

Answer 12

Anything that affects or limits the title to a property such as easements, leases, mortgages, or restrictions

Question 13

Equitable Title

Answer 13

the interest in a piece of real estate held by a buyer who has agreed to purchase the property, but has not yet completed the transaction; the interest of a buyer under a contract for deed

Question 14

Equity

Answer 14

the difference between the curent market value of a property and the outstanding indebtness due on it

Question 15

Erosion

Answer 15

the gradual wearing away of land by wind, water, and other natural processes

Question 16

Escalation Clause

Answer 16

a clause in a lease allowing the lessor to charge more rent based on an increase in costs; sometimes called a pass–through clause

Question 17

Escheat

Answer 17

the claim to property by the state when the owner dies intestate and no heirs can be found

Question 18

Escrow

Answer 18

the deposit of funds and/or documents with a disinterested third party for safekeeping until the terms of the escrow agreement have been met

Question 19

Estate

Answer 19

an interest in real property. The sum total of all the eral property and personal property owned by an individual

Question 20

Estate At Sufferance

Answer 20

exists when a tenant, without the consent of the owner, refuses to move out of a facility after the expiration of a lease

Question 21

Estate at Will

Answer 21

exists when a tenant stays in a facility after the expiration of a lease, but with the ownter’s permission. This may occur when the two parties are negotiating new lease terms

Question 22

Estate for years

Answer 22

a leasehold estate granting possession for a definite period of time

Question 23

Estoppel Certificate

Answer 23

a document that certifies the outstanding amount owed on a mortgage loan, as well as the rate of interest

Question 24

Exchange

Answer 24

a transaction in which property is traded for another property, rather than sold for money or other consideration

Question 25

Exclusive Agency Listing

Answer 25

a contract between a property owner and one broker that only gives the broker the right to sell the property for a fee within a specified period of time but does not obligate the owner to pay the broker a fee if the owner produces his or her own buyer without the brokers’s assistance. but Barred from appointing another broker within this time period.

Question 26

Exclusive right to sell

Answer 26

a contract between a property owner and a broker that gives the broker the right to collect a commission regardless of who sells the property during the specified period of time of the agreement

Question 27

Execution

Answer 27

the signing of a contract

Question 28

Executor

Answer 28

a person named in a will to administer an estate. The court will appoint an administrator if no executor is named

Question 29

Executory Contract

Answer 29

a contract in which one or more of the obligations have yet to be performed (executed)

Question 30

External Obsolesence

Answer 30

a loss in value of a property due to factors outside the property, such as a change in surrounding land use