Definition: An auction event where some or all of the items are offered "absolute", which means that they will be sold to the highest bidder with no limitations or minimum price (known as a reserve or reserve price). Once a bidder in an absolute auction has offered the highest bid, the seller becomes contractually obligated to sell the item to that bidder. An absolute auction is also known as an absolute sale or an auction without reserve.

Terms, Definitions, and Concepts: Auction, Finance and Investment, Real Estate

A concise, summarized history of the title to a specific parcel of real property, together with a statement of all liens and encumbrances affecting the property. The abstract of title does not guarantee or assure the validity of the title of the property. It merely discloses those items about the property which are of public record, and thus does not reveal such things as encroachments, forgeries, and the like.

A clause in a promissory note, agreement of sale, or mortgage which gives the lender the right to call all sums due and payable in advance of the fixed payment date upon the occurrence of a specified event, such as a sale, default, assignment or further encumbrance of the property

That which has accumulated over a period of time such as accrued depreciation, accrued interest or accrued expenses.

Area measurement (square measure) used primarily in the United States. One (1) acre is equal to 43,560 square feet, 4,046.86 square meters, or 0.4047 hectares.

One (1) acre equals 43,560 square feet.
One (1) acre equals 0.4047 hectares.
One (1) acre equals 10 square chains.
One (1) acre equals 160 square rods.
One (1) acre equals 160 square poles.
One (1) acre equals 160 square perches.
One (1) acre equals 4,840 square yards.
One (1) acre equals 4,046.856 square meters.
One (1) acre equals 0.0016 square miles.
One (1) acre equals 0.0016 sections.
One (1) acre equals 0.004 square kilometers.
One (1) acre equals 0.0000434 townships.
One (1) acre equals 1.183676 arpents.
One (1) acre equals 4.0 roods.

A type of mortgage where the interest rate varies based on a particular index, normally the prime lending rate.

The date the interest rate changes on an adjustable rate mortgage.

A calculation used to determine an individual's likelihood of being able to meet the obligations of a mortgage for a particular property. Takes into account the down payment, closing costs and on-going mortgage payments.

Definition: One who is authorized to represent and to act on behalf of another person (called the principal). A real estate broker is the agent of his client, be it the seller or buyer, to whom he owes a fiduciary obligation. A real estate salesperson is the agent of his broker and does not have a direct personal contractual relationship with either the seller or buyer.

Terms, Definitions, and Concepts: Auction, Finance and Investment, Legal (Law), Management, Real Estate

Title to real property that is free of encumbrances and obligations, including taxation. It denotes absolute or supreme ownership. Strictly defined, allodial title is not subject to county, state, or federal codes, ordinances, or zoning regulations ("police power"), nor can it be taken through legal or regulatory means ("inalienable"). In practical use, title in the United States is often said to be allodial (as opposed to feudal), even though it does not meet all of the qualifications listed above.

Title to real property that is free of encumbrances and obligations, including taxation. It denotes absolute or supreme ownership. Strictly defined, allodial title is not subject to county, state, or federal codes, ordinances, or zoning regulations ("police power"), nor can it be taken through legal or regulatory means ("inalienable"). In practical use, title in the United States is often said to be allodial (as opposed to feudal), even though it does not meet all of the qualifications listed above.

1. Real property owned under allodial title - completely, independently, without rent, mortgage, encumbrances, taxation or any other obligation to another.
2. Freehold estate; land which is the absolute, inalienable property of the owner.
3. Real estate held in absolute independence, without being subject to any rent, service, or acknowledgment to a superior.

Features, both tangible and intangible, which enhance and add to the desirability of real estate

Definition:
1. The process of estimating, fixing, or setting the market value of real property. An appraisal may take the form of a lengthy report including detailed methods, a short completed form, a simple letter, or even an oral report.
2. An estimate, opinion, or judgment about the value, quality, or quantity of something.

Terms, Definitions, and Concepts: Appraisal, Auction, Finance and Investment, Legal (Law), Management, Real Estate, Taxes and Taxation

Definition:
1. One form of a shell lease, an arctic shell is a commercial or residential building with an unfinished interior and lacking heating, ventilating, and air conditioning (HVAC), and usually without insulation, lighting, plumbing, ceilings, electricity, elevators, or interior walls. An arctic shell is ready for warm shell or vanilla shell improvements (VSI) as well as tenant improvements (TI's), which are to be completed by the tenant once the lease agreement has been negotiated and executed. In many cases, the landlord will offer financial incentives in the form of a tenant improvement allowance (TIA), which pays for or at least partially defrays the cost of any improvements necessary for the tenant to occupy the building itself. Tenant improvement allowances do not usually include furniture, fixtures, and equipment (FFE) or trade fixtures necessary for the tenant to conduct business. Usually vanilla shell improvements (VSI), or those improvements necessary to upgrade the building from a cold shell or base shell state, are not completed until the lease agreement between the tenant and landlord has been negotiated and executed. This ensures that the landlord does not pay for improvements that are unnecessary or that the tenant does not want.

2. The lease agreement or contract for an arctic shell building. A proper arctic shell lease should describe in detail the vanilla shell improvements (VSI) and tenant improvements (TI's) that are to be completed, and any other information necessary for construction of the building to be completed (commonly known as build-out) prior to tenant occupancy.

More or less the same as Cold shell, Bare shell, Base shell, Cold dark shell, Cold dark box, Dark shell, Dark box, Grey shell, or Grey box.


Discussion: Like many real estate terms and phrases, practical use and meanings of those terms associated with shell leases (e.g., vanilla shell, base shell, cold shell, warm shell, etc.) differ by location and situation, sometimes even within the same region or municipal area. As they say, the devil is in the details. The lease or sales contract should clearly and exactly specify the degree to which construction of any sort of "shell" or "box" building has been or will be completed prior to tenant occupancy. As either a tenant or landlord, you should not assume that the other party's definitions of shell lease terminology are the same as yours. Get it in writing, and make sure you understand and agree with all the terms and conditions of the shell lease agreement before you sign. If necessary, have a real estate attorney review the contract prior to its execution.

Shell leasing and its various forms (warm, cold, base, etc.) are used primarily in commercial real estate, but are gaining popularity in upscale condominiums and townhouses and other high-end residential real estate transactions. The idea is to attract either tenants or buyers, or both, by offering customizable living units. Financial incentives in the form of tenant (or buyer) improvement allowances afford new residents the opportunity to select nearly all aspects of interior decor, including relatively large projects such as plumbing and fixtures, wiring, and interior walls.


Terms, Definitions, and Concepts: Real Estate, Construction and Building, Appraisal, Auction, Finance and Investment, Management

1. Any transaction in which the two parties are unconnected and have no overt common interests. Such a transaction most often reflects the true or fair market value of a property. 2. Completion of a sales contract between a seller who is willing but not compelled to sell and a buyer who is willing but not compelled to buy, both parties being fully informed of all the purposes to which the property is best adapted and is capable of being used, under normal conditions on the open market.

Any item of value which a person owns.

The transfer of the right, title and interest in the property of one person, the assignor, to another, the assignee. In real estate, there are assignments of mortgages, contracts, agreements of sale, leases, and options, among others.

The act of acquiring title to property which has an existing mortgage on it and agreeing to be personally liable for the terms and conditions of the mortgage, including payments

The legal process of seizing the real or personal property of a defendant in a lawsuit, by levy or judicial order, and holding it in the custody of the courts as security for satisfaction of the judgment which the plaintiff may recover in any action upon a contract, express or implied

Natural Sciences: 1. The steep, sloped sides of a river or stream that create the channel in which streamflow is carried; the sloped sides of any drainage or irrigation channel.
2. A ledge or other elevated formation under the surface of a sea or ocean that forms an area of relatively shallow water.
Finance: 3. An institution where funds are deposited and held in various types of accounts. Banks usually allow account holders to issue checks or notes on funds held by the bank; banks may also lend funds or even issue money.

Terms, Definitions, and Concepts: Ecology, Economy, Finance and Investment, Hydrology, Science, Water

Definition: A document from a bank or other financial institution attesting to the credit worthiness of an individual, allowing the holder to make purchases without currency, as at a real estate or art auction. Such a letter may be required before bidding privileges are granted at such an auction, or before making an offer on an expensive parcel of real estate.

Terms, Definitions, and Concepts: Auction, Finance and Investment, Management, Real Estate

Definition: Unimproved land; land in its unused natural state prior to development or construction of improvements such as streets, lighting, sewers, and the like. Same as raw land.

Terms, Definitions, and Concepts: Agriculture, Appraisal, Auction, Construction and Building, Management, Real Estate, Survey, Taxes and Taxation, Zoning

Definition:
1. One form of a shell lease, a bare shell is a commercial or residential building with an unfinished interior and lacking heating, ventilating, and air conditioning (HVAC), and usually without lighting, plumbing, ceilings, elevators, or interior walls. A bare shell is ready for warm shell or vanilla shell improvements (VSI) as well as tenant improvements (TI's), which are to be completed by the tenant once the lease agreement has been negotiated and executed. In many cases, the landlord will offer financial incentives in the form of a tenant improvement allowance (TIA), which pays for or at least partially defrays the cost of any improvements necessary for the tenant to occupy the building itself. Tenant improvement allowances do not usually include furniture, fixtures, and equipment (FFE) or trade fixtures necessary for the tenant to conduct business. Usually vanilla shell improvements (VSI), or those improvements necessary to upgrade the building from a cold shell or bare shell state, are not completed until the lease agreement between the tenant and landlord has been negotiated and executed. This ensures that the landlord does not pay for improvements that are unnecessary or that the tenant does not want.

2. The lease agreement or contract for a bare shell building. A proper bare shell lease should describe in detail the vanilla shell improvements (VSI) and tenant improvements (TI's) that are to be completed, and any other information necessary for construction of the building to be completed (commonly known as build-out) prior to tenant occupancy.

More or less the same as Arctic shell, Cold shell, Base shell, Cold dark shell, Cold dark box, Dark shell, Dark box, Grey shell, or Grey box.


Discussion: Like many real estate terms and phrases, practical use and meanings of those terms associated with shell leases (e.g., vanilla shell, base shell, cold shell, warm shell, etc.) differ by location and situation, sometimes even within the same region or municipal area. As they say, the devil is in the details. The lease or sales contract should clearly and exactly specify the degree to which construction of any sort of "shell" or "box" building has been or will be completed prior to tenant occupancy. As either a tenant or landlord, you should not assume that the other party's definitions of shell lease terminology are the same as yours. Get it in writing, and make sure you understand and agree with all the terms and conditions of the shell lease agreement before you sign. If necessary, have a real estate attorney review the contract prior to its execution.

Shell leasing and its various forms (warm, cold, base, etc.) are used primarily in commercial real estate, but are gaining popularity in upscale condominiums and townhouses and other high-end residential real estate transactions. The idea is to attract either tenants or buyers, or both, by offering customizable living units. Financial incentives in the form of tenant (or buyer) improvement allowances afford new residents the opportunity to select nearly all aspects of interior decor, including relatively large projects such as plumbing and fixtures, wiring, and interior walls.


Terms, Definitions, and Concepts: Real Estate, Construction and Building, Appraisal, Auction, Finance and Investment, Management