Whether you are planning on Buying or Selling Owen Sound Homes for Sale there are several industry terms that you will hear toss around. Some of these will be common terms you will have heard before but others may be entirely new to you. Your Owen Sound REALTOR® will help to explain the terms you come across together. However knowing the lingo in advance will help communication progress much smoother and therefore make the process of buying Owen Sound Real Estate or Listing Homes for Sale in Owen Sound much easier. Communication is key to any relationship and that includes the REALTOR® / Client dynamic. If you are not able to communicate effectively you will not trust your Agent completely, and your Agent will not be able to assist you properly. Here are a few important terms that are used frequently in Owen Sound Real Estate transactions. Understanding these key terms will help you in your negotiations as well as in your understanding of every aspect involved in any offer.
- Appraisal – An Appraisal is a service provided by a licensed Appraiser to determine the estimated value of your property or the property you are intending to purchase. Many lenders will require an appraisal before they will consider providing a mortgage load to a potential buyer.
- Closing – This is the day, as scheduled in your Agreement to Purchase and Sale, on which the offer is to be officially finalized.
- Closing Costs – In every Real Estate deal there are associated costs that must be paid. Closing costs are due on or before the date the offer closes. Typically these include: REALTOR® fees, Lawyer Fees, Title Insurance Fees, Taxes, etc.
- Contingency – Contingencies are conditions added into the Buyer’s offer on a property that must be met before the Buyer and Seller enter into a legally binding contract. They are typically added in for the benefit of the Buyer. One of the most common contingencies is a Home Inspection, where in the case that the home has failed its inspection the Buyer is able to walk away for their offer with out losing any money.
- Counteroffer – A counter offer is usually from a Seller to the potential Buyer and is a written response to a submitted offer to purchase the property.
- Easement – The legal right to use or cross private property for a specific purpose. An example of this would be Hydro One working on existing power lines and needing to cross the back of private property for access.
- First Mortgage – A First Mortgage is simply the first or primary lien on Homes for Sale in Owen Sound. The First mortgage has priority over all other liens or claims that have been taken out on the property in the event of default.
- Lien – A lien is any legal claim to the property. This may be a first or second mortgage. They are held until an outstading debt has either been paid or forgiven.
- Real Estate Lawyer – There are many types of Lawyers and not all will deal with Real Estate in Owen Sound. The ones that do will market them selves as Real Estate Lawyers. This means that they specialize in the laws associated with the sale or purchase of Real Estate. A lawyer is an unavoidable part the transaction.
Understanding Real Estate Terminology on Owen Sound Homes for Sale
Once you have made your decision to join the market as a Buyer or Seller, and you have connected with your Trusted Owen Sound REALTOR®, you will be exposed to a barrage of new terms. Let me help you understand this lingo and make the over all experience easier and more comfortable.