Listing Price – The price being asked by the Seller as shown when “listed” for sale
LTV Ratio – Loan to Value
Market Value – The price a willing buyer will pay in an arms- length transaction. MLS: Multiple Listing Service – An on-line data service where real estate professionals post or “list” properties for sale and the proposed terms of such sales
NAR – National Association of Relators
Prorated costs – Some fees related to a property are incurred over time (e.g. taxes are annual). When those time periods do not end on the closing date of a transaction, some portion of such fees must be allocated between the buyer and seller proportionally based on each party’s days of usage of the property. E.g., if taxes are pre-paid for the year and if the buyer takes possession with three months left in that year, the seller (who already paid the taxes) would be due a credit from the buyer for the taxes for those three months. Real Estate Commission – The monies paid to the real estate professionals for assisting buyer and/or seller in the transaction
ROI – Return on Investment
Sale Price – The actual price a property sells for in a given transaction Seller Financing – When the seller of a property finances some of the purchase price usually in the form of a loan
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