The Real Estate
Encyclopedia: A-E

In real estate, a cloud on title refers to any claim, lien, defect, or encumbrance that appears in the public record and could impair an owner’s clear ownership of property if it were determined to be valid. Although the encumbrance may be legally invalid or...

In real estate transactions, a closing statement is the detailed financial accounting that shows the final distribution of funds between the buyer and seller as of the day of closing. It itemizes all credits, debits, prorations, fees, and charges associated with the...

In real estate transactions, closing costs are the various expenses incurred by the buyer and seller that are necessary to complete the sale of property, in addition to the purchase price. These costs may include loan origination and discount fees, title search and...

In real estate transactions, closing is the formal process by which all parties finalize the sale or transfer of property and complete their contractual obligations. During closing, required documents (such as the deed, loan instruments, and settlement statements) are...

In real estate law, chattel real refers to a personal property interest that is closely connected to real property, most commonly a leasehold estate. Although it involves the use and possession of land or buildings, a chattel real is classified as personal property...

In real estate and finance, a chattel mortgage is a type of loan arrangement in which personal property is pledged as collateral to secure or guarantee a promissory note. Under this agreement, the borrower retains possession and use of the chattel—such as equipment,...

In real estate law, chattel refers to personal property, meaning items that are movable and not permanently attached to or considered part of real property. Chattel includes goods of every kind that are distinct from land and buildings, such as furniture, vehicles,...

In real estate, the chain of title refers to the complete, chronological history of ownership and transfers of a parcel of land, beginning with the original owner and continuing through each successive conveyance to the present owner. This record includes deeds, court...

In real estate transactions, caveat emptor, meaning “let the buyer beware” in Latin, is a legal principle that places the responsibility on the buyer to investigate and evaluate the condition of the property before completing the purchase. Under this doctrine, the...

In real estate transactions, cash out refers to a seller’s decision to receive the full amount of their equity in a property as cash at closing rather than retaining any continuing financial interest in the property. Instead of carrying back financing or holding an...