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

Program of Arizona Department of Water Resources Office of Assured and Adequate Water Supply. This program operates within designated Active Management Areas (AMA) to ensure the availability of water for new subdivisions for the next 100 years. A public report from the Arizona Department of Real Estate (ADRE) that allows subdivision lots to be sold will only be issued if the 100-year water supply has been demonstrated to be legally, physically, and continually available.

Any number of houses or other dwellings which are physically attached to one another, but are occupied by a number of different people. The individual houses may or may not be owned by separate people as well.

An evaluation of the status or validity of a title to real property by an attorney qualified to examine such titles.
See also "Certificate of title", "Chain of title", and "Abstract of title".

Definition: A public sale of real or personal property conducted by a professional auctioneer. Offers are made and items are purchased through a competitive bidding process.

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

Definition: At an open outcry auction, the person who verbally offers for sale items at auction and takes bids on the items until they are sold or withdrawn. The auction "call" is characteristically conducted in a rapid cadence in order to encourage bidding. The person who calls the auction may be the auctioneer, or she may be a professional auction caller employed by the auctioneer.
Also known as "auction crier".

Terms, Definitions, and Concepts: Auction, Real Estate

Definition: The price paid for a particular item or parcel of real estate at an auction. Also known as clearing price or auction value.

Terms, Definitions, and Concepts: Auction, Real Estate

Definition: The applied science which includes the body of knowledge and field of study of auctions, specifically the actions and behavior of the auction participants. Auction theory is a sub-discipline of game theory that seeks to explain the nature and properties of auction markets.

Terms, Definitions, and Concepts: Auction, Real Estate, Science

Definition: The price paid for a particular item or parcel of real estate at an auction. Also known as clearing price or auction price.

Terms, Definitions, and Concepts: Auction, Real Estate

Definition: A person or company contracted by a person wishing to sell property or items at auction (the "seller"). The auctioneer conducts the auction on behalf of the seller or sellers, and provides a financial report to the seller after the auction, called an "accounting of sale". The auctioneer, who has a fiduciary obligation to the seller, conducts the auction event, and may or may not be the person who "calls" or "cries" the auction.

Terms, Definitions, and Concepts: Auction, 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

Definition:
1. One form of a shell lease, a base 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 base 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 a base shell building. A proper base 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, Bare shell, Cold 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

Definition: An offer to purchase property for sale at auction, made by a prospective buyer, known as a bidder. The bidder competes with other bidders for the property, increasing the amount of each offer in increments determined by the auctioneer until there are no more bids. At this point the item(s) for sale has been successfully purchased by the bidder who offered the most money, known as the highest bidder, provided the reserve price has been met. A bid made during an auction is considered a binding contract as soon as the auctioneer's hammer or gavel falls on the auction block.

Terms, Definitions, and Concepts: Auction, Real Estate

Definition: An auction process in which bidders receive information about offers made by other bidders. In dynamic auctions, bidders use this information to modify previous offers. Also known as price discovery.

Terms, Definitions, and Concepts: Auction, Real Estate

Definition: A type of auction or sale in which the winning bidder (also known as the high bidder) chooses a property from among a grouping of similar or like properties. The remaining properties are offered in subsequent rounds of bidding, with the high bidder in each round choosing a property. This process continues until all properties are sold or there are no more bids.
Also known as high bidder's choice.

Terms, Definitions, and Concepts: Auction, Real Estate

Sometimes known as an offer to purchase or an earnest money receipt. A binder is the acknowledgment of a deposit along with a brief written agreement to enter into a contract for the sale of real estate.

Definition: One who engages in the illegal practice of blockbusting, or attempting to profit by telling homeowners that "undesirable" people - those of a different race, religion, etc. - moving into a neighborhood will lower home values or create other negative conditions. A blockbuster hopes to intimidate homeowners into selling their homes to the blockbuster at reduced prices, so that he or she may then resell those homes at profit.

Example: A real estate investor spreads rumors in a predominantly Asian neighborhood that a Latino family is considering purchasing a home there, which will bring undesirable elements and lower nearby property values. The investor hopes that people in this area will sell their homes to him at a price that is less than market value because they are alarmed the arrival of the newcomers will result in even lower home values or other undesirable neighborhood conditions. Under the Federal Fair Housing Act, it is illegal even to suggest that changes will occur in a neighborhood because persons of a protected class have moved there or will move there.


Terms, Definitions, and Concepts: Real Estate, Legal, Management

Definition: The act of creating or causing panic among homeowners with the intent to make them sell their homes by stating or implying that persons of a protected class moving into the neighborhood will have negative results such as lowered home values or increased crime. Blockbusters attempt to profit from this tactic by purchasing the homes of panicked people at less than market value, then reselling those homes at a greatly increased price. Blockbusting is illegal according to the Federal Fair Housing Act (1968, 1974, 1988), which lists as protected classes race, skin color, national origin, religion, handicap status, familial status, and gender.
Same as Panic selling.

Example: A real estate investor spreads rumors in a predominantly Asian neighborhood that a Latino family is considering purchasing a home there, which will bring undesirable elements and lower nearby property values. The investor hopes that people in this area will sell their homes to him at a price that is less than market value because they are alarmed the arrival of the newcomers will result in even lower home values or other undesirable neighborhood conditions. Under the Federal Fair Housing Act, it is illegal even to suggest that changes will occur in a neighborhood because persons of a protected class have moved there or will move there.


Terms, Definitions, and Concepts: Real Estate, Legal, Management

Bounds refers to definite boundary markers such as natural landmarks. Natural landmarks may often consist of such things as a specific tree or stream. Part of an old system of measuring land and establishing boundaries, commonly referred to as Metes and Bounds.

Broker's Price Opinion.
A real estate valuation performed by a local, licensed real estate professional. It is used in situations where a formal appraisal is not required. It usually is based on such information as an exterior examination, estimates of necessary repairs, tax records, recent comparable home or business sales, property sale history, and current comparable listings.
A common abbreviation used in classified advertising and real estate listings.

Definition: A broker's price opinion, or BPO, is a real estate valuation performed by a local, licensed real estate broker or salesperson. A BPO is used in situations where a formal appraisal is not required. It usually is based on such information as an exterior examination, estimates of necessary repairs, tax records, recent comparable home or business sales, property sale history, and current comparable listings. Similar to a Drive-by appraisal.


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

An area of land, usually open space, intended to mitigate land use effects and serve as a physical separation, transition, or screen between adjacent zoning districts. The most common examples include parks, greenways, or retention ponds between residential, commercial, or industrial zoning districts.

Definition: The completion of construction of a shell lease building according to the terms agreed upon by the landlord (lessor) and the tenant (lessee). Like many real estate terms, the definition, description, and details of a "build-out" are relative to the location and situation. For example, one shell lease may include tenant improvements (TI's) in the build-out description; a different shell lease may not.


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