Common Real Estate Lingo Explained

Check out this list that explains common lingo used in Real Estate. 

What is Earnest Money? 

When you make an offer on a home, you will be required to write a check that goes with the offer (this check is known as earnest money). The earnest money shows the seller that you are serious about your offer on the home. 

What’s REP C?

Rep C is an abbreviation for the Real Estate Purchase Contract. Utah law requires licensees to use a specifically designed Real Estate Purchase Contract. The great news for both buyers and sellers in Utah is that the Utah Real Estate Purchase contract is written in such a way that it is easy to understand. 

What is a Mortgage Pre Approval? 

A mortgage pre approval means that a lender has analyzed your finances and has figured out how much money you are able to borrow, what your interest rate will be and how much money you could pay per month (for a house). Once you’ve been pre approved for a mortgage, your lender will give you a pre approval letter that you can present to the property seller, showing them that you are capable of following through with your presented offer. 

What does Under Contract Mean?

Under contract means that the seller have accepted an offer from a buyer, but the sale has not become final. When the transaction has been completed, the home status will show that the property has been sold. Houses that are listed as under contract are considered off market, but it if still possible for the home to go back on the market if the buyer and/or seller doesn’t meet one of the conditions for the sale to be final. 

What are Agency Agreements? 

A buyer’s agency agreement is a document signed by the buyer that gives permission and authority to a licensed brokerage firm (and typically a Real Estate agent at the firm) to be the representative for the buyer when buying a home. This agreement shows the agency/Real Estate agent that you are committed to working with them and that the agent or firm will be compensated if there is a sale. A listing agreement is a contract between the listing Real Estate agent and seller. This agreement states that the Real Estate agent has the exclusive right to list the house.

What do Title Companies Do?

A Title Company reviews insurance policies, titles, facilitates closings, and more. Title Companies research the property and people involved to make sure that there are no incumberences, leans and judgements that would prevent the legal transfer of property ownership. They issue title policies that protects the buyer from any undiscovered issues after closing and they also prepare and facilitate the signing of all closing documents, including (if applicable) the paperwork associated with the buyer’s loan. Once everything is in order, they record the transfer of ownership at the county recorder’s office. 

About Settlers Square 

In name and value, Settlers Square honors the rich pioneering history of Enoch, Utah. Even though Enoch is now the second largest community in Iron County, it continues to maintain the charm of a small town. Settlers Square offers pre-built, semi-customer, or fully customized homes by Alex Meisner Construction. Choose the lot, floorplan, and design package that’s perfect for you! Contact Jenny Vossler, ERA Realty Center, at 435-559-1260 or [email protected] for more information. 

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