Key Real Estate Terms To Know When You Want To Sell Your House Fast in California

In order to sell your house fast in California, you need to be familiar with some real estate terms. The terms that you might hear when trying to sell a house in California are listed below. If you have any questions about the selling process, feel free to contact us. We are happy to answer all of your questions. (209) 743-0602

Appraised Price

An appraised value is a professional’s assessment of the value of a property. To determine the value of a property, this can be done during the mortgage origination process or privately by the buyer or seller. An appraisal can also be used for tax purposes or after a divorce.

Assessed Value

In order to calculate how much a homeowner will need to pay in property taxes, the assessment value of the property is considered. An appraiser will consider the location information, home inspection results, and recent sales in the area when determining the value of the property.

Carrying Costs

Carrying costs are the monthly expenses you incur to own the home. You will have to pay for things like taxes, insurance, utility bills, and maintenance.

Clear Title

A clear title means there is no other claim to ownership of the property, nor are any liens against it.

Comparative Market Analysis

A comparative market analysis, or CMA, provides information to help determine the value of the property. You can use it to find out what your house is currently worth by looking at recent sales.

Contingencies

Essentially, a contingency is a stipulation in the contract that must be met before it is legally binding.

Covenant

The assurances one party gives to the other in a formal agreement. A warranty deed might contain covenants of warranty.

Delinquency

A homeowner who defaults on their loan is referred to as a delinquent. An active lender will begin the collection process, possibly even initiating foreclosure.

Disclosures

Disclosures are documents that sellers provide to buyers informing them of any defects, problems, or known issues with their purchase. Fraud can be committed if you fail to disclose a problem with your home.

Encumbrance

The term encumbrance refers to a claim made against the property that restricts its transfer or use. An encumbrance is a lien on property.

Foreclosure

If a homeowner falls behind on their mortgage payments and does not make a payment for 90 days, he or she will be placed into foreclosure. The owner waives all rights to the property and the home becomes the possession of the bank.

Inclusions

The inclusions are the personal items that go with the house. The item can be anything from appliances to furniture to things outside.

Market Value

An accurate market valuation is one in which there is no pressure to close and all details of the house are known. Calculated by averaging the highest and lowest prices a buyer would pay and accept.

Mechanic’s Lien

The mechanic’s lien protects contractors, laborers, and those who provide materials.

Negative Amortization

Negative amortization occurs when you don’t make enough payments to cover the interest, thus increasing the amount you owe instead of decreasing it.

Quitclaim Deed

Transfer of real estate interest is achieved through a quitclaim deed.

Sale-Leaseback

When a buyer purchases a property and then leases it back to the occupant, it is called a sale-leaseback.

Short Sale

By selling a property for less than what is owed, a short sale allows the lender to recoup some of the loan’s cost, as opposed to foreclosure.

Title

Title refers to who has legal ownership of the property and who can use it legally. As with a car, it is how you claim ownership of the property.

Title Defect

A title defect occurs when there is an adverse claim in the chain of ownership. It can affect who has legal rights to the property.

Waiver

Giving up a right, claim, or privilege voluntarily. It removes liability for the other party in the agreement.

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When trying to sell your house fast in California, you will likely hear a lot of real estate jargon thrown your way. It’s important to know what is being said and how the terms used will impact you. Do your homework before selling your house fast in California so you don’t miss something you should have been aware of!If you have questions about these, or other real estate terms when selling your house in California, don’t be afraid to reach out! We are happy to answer all of your questions, providing you with the info you need! Contact us today to learn more! (209) 400-6500