Buying or selling FSBO homes: Real Estate terminology – Part – II

Knowing real estate terminology is really beneficial while you engage in selling and buying of FSBO homes and properties and match your steps with the ongoing real estate market opportunities.


6. Closing costs
Closing costs refers to the entire package of miscellaneous expenses paid by the buyer and seller in case the real estate deal closes. This package include the brokerage commission, mortgage-related fees, escrow or attorney's settlement charges, transfer taxes, recording fees, title insurance and so on. Closing costs generally are paid through escrow.

7. Contingency
A provision of an agreement that keeps the agreement from being fully legally binding until a certain condition is met. One example is a buyer's contractual right to obtain a professional home inspection before purchasing the home.

8. Fixture
Anything of value attached permanently to or a part of real property is called fixture. Fixtures include installed wall-to-wall carpeting, light fixtures, window coverings, landscaping and so on. Fixtures are a frequent subject of buyer and seller disputes.

9. Title insurance
An insurance policy that protects a lender's or owner's interest in real property from assorted types of unexpected or fraudulent claims of ownership is called title insurance. It's customary for the buyer to pay for the lender's title insurance policy.