Here are explanations to some real estate terms you’re likely to hear when trying to purchase or sell real estate property.

Appraisal

This is the evaluation of a property by a licensed appraiser on its price based on sales of similar properties.  This appraisal also helps banks determine lending limits and also the property seller to determine the offering price during a sale.

Closing

This is the transfer of ownership of a property from the seller to a buyer per a sales contract.

Closing Cost

The expenses incurred in the purchase and sale of real property paid at the time of settlement or a closing. Examples are Attorney fees, appraisal fees, etc.

Closing Statement

An accounting of the funds received and distributed in a real estate transaction.

Collateral

The form of security put up in exchange for a loan, which can be taken by the bank if the loan is not paid.  In a mortgage loan, for example, the collateral is usually the property itself.

Commission

This is the payment to a broker for his or her efforts on marketing or selling a property.  In Ghana, this is usually a percentage of the total purchase or rental price.

Listing

This is a catalogue of real estate property being offered for sale or rent usually by real estate brokers.

Online (real estate) Market

This is a platform that lists and markets real estate listing for sale or rental usually via the World Wide Web.

Open Listing

This is where the owner has not assigned the listing of a real estate property for sale or rent to an exclusive broker.  In this case, several brokers may represent the seller or the seller may market the property independently

Real Estate Broker

This is an individual employed at a fee or commission basis as an agent market and brings buyers and sellers together and assist in negotiation of real estate contracts and transactions between them.

Sources:

www.worklife.columbia.edu

www.thefreedictionary.com