Terms L

Question 1

Rounded columns that serve as a structural post. Typically found in basements and are made of steel or iron.

Answer 1

Lally Columns

Question 2

A land lease-also called a ground lease-is a lease agreement that permits the tenant to use a piece of land owned by the landlord in exchange for rent.

Answer 2

Land Lease

Question 3

A supreme title to land which was originally acquired within the United States of America by a treaty. It grants the rights to the described land under the treaty to the individual person named on the patent and to their heirs and their assigns forever.

Answer 3

Land Patent

Question 4

A person who has oral or written authority, either express or implied, to act for or on behalf of a landlord.

Answer 4

Landlord’s Agent

Question 5

Setup to protect consumers from dishonest attorneys.

Answer 5

Lawyer’s Fund for Client Protection

Question 6

A material used in pipes and paint of many older homes. We now know that lead is hazardous to health. The local environmental protection agency should be consulted for guidelines on handling, removal and applicable laws.

Answer 6

Lead

Question 7

The governmental agency that oversees the environmental impact process and makes final decisions.

Answer 7

Lead Agency

Question 8

A contract whereby, for a consideration, usually termed rent, one who is entitled to the possession of real property transfers such rights to another for life, for a term of years, or at will.

Answer 8

Lease

Question 9

A contract provision allowing for one to pass an increase in costs to another party. Escalation clauses are usually related to influences beyond both parties control, such as inflation.

Answer 9

Lease Escalation Clause

Question 10

The interest or estate which a lessee of real estate has therein by virtue of the lessee’s lease.

Answer 10

Leasehold Estate

Question 11

A payment to a mortgage broker by a lender.

Answer 11

Lender Rebate

Question 12

A person to whom property is rented under a lease.

Answer 12

Lessee

Question 13

One who rents property to another under a lease.

Answer 13

Lessor

Question 14

Generally an agreement to agree. It outlines the terms between parties who have not formalized an agreement into a contract. LOIs are generally not binding and unenforceable.

Answer 14

Letter of Intent (LOI)

Question 15

The use or borrowed capital (mortgage) to increase the potential return of an investment.

Answer 15

Leverage

Question 16

An assessment of tax.

Answer 16

Levy

Question 17

Policy that covers civil liabilities to third parties, arising from bodily injury, property damage, or other wrongs due to the action or inaction of the insured.

Answer 17

Liability Insurance

Question 18

Permission granted by a party to another party as an element of an agreement between both parties.

Answer 18

License

Question 19

A legal right to claim upon a specific property which attaches to the property until a debt is satisfied.

Answer 19

Lien

Question 20

The conveyance of title property for the duration of the life of the grantee.

Answer 20

Life Estate

Question 21

Some mortgages have interest rate ceilings (or limits) which are similar to, and sometimes referred to as, lifetime caps.

Answer 21

Lifetime Cap/Ceiling

Question 22

A provision in certain legal contracts that allows for the payment of a specified sum should one of the parties be in breach of contract.

Answer 22

Liquidated Damages

Question 23

A legal document, filed in the office of the county clerk giving notice that an auction or proceeding is pending in the courts affecting the title to the property. (Not applicable in commission disputes.)

Answer 23

Lis Pendens

Question 24

An employment contract between principal and agent, authorizing the agent to perform services for the principle involving the latter’s property.

Answer 24

Listing Agreement

Question 25

The right of a property owner whose land borders on a body of water, such as a lake, ocean or sea, to reasonable use and enjoyment of the shore and water the property borders on.

Answer 25

Littoral Rights

Question 26

A financial term used by lenders to express the ratio of a loan to the value of an asset (property) purchased.

Answer 26

Loan To Value ratio (LTV)

Question 27

Method of identifying legal description of property.

Answer 27

Lot and Block

Question 28

An agent’s duty to place the clients’s interest above those of all others, including the agent’s own self-interest.

Answer 28

Loyalty