|
Fair Market Value |
The highest monetary price which a property would bring, if
offered for sale for a reasonable period of time in a competitive
market, to a seller who is willing but not compelled to sell, from a
buyer, 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. |
| Farm Area |
A selected geographical area or one specific
building to which a real estate salesperson devotes special
attention and study. |
| Feasibility Study |
An analysis of a proposed project with emphasis
on the attainable income, probable expenses, and most advantageous
use and design. |
| Federal Housing
Administration (Fha) |
The FHA was set up in1934 under the National
Housing Act to encourage improvement in housing standards and
conditions, to provide an adequate home financing system by
insurance of housing mortgages and credit, and to exert a
stabilizing influence on the mortgage market. |
| Federal Tax Lien |
A federal lien which attaches to real property,
either if the federal estate tax is not paid, or if the taxpayer has
violated the federal income tax or payroll tax laws. |
| Federal Trade Commission
(Ftc) |
A federal agency created to investigate and
eliminate unfair and deceptive trade practices in business. |
| Fee Simple |
The largest estate one can possess in real
property. A fee simple estate is the least limited interest and the
most complete and absolute ownership in land: it is of indefinite
duration, freely transferable and inheritable. Fee simple title is
sometimes referred to as "the fee. |
| Fiduciary |
A relationship which implies a position of trust
or confidence wherein one is usually entrusted to hold or manage
property or money for another. Among the obligations a fiduciary
owes to the principal are duties of loyalty; obedience; full
disclosure; the duty to use skill, care and diligence; and the duty
to account for all monies. |
| Filled Land |
An area where the grade has been raised by
depositing or dumping dirt, gravel or lava rock. |
| Finance Charge |
The total of all costs imposed directly or
indirectly by the creditor and payable either directly or indirectly
by the customer, as defined under the federal Truth-in-Lending
Law. |
| Finance Fee |
A mortgage brokerage fee to cover the expenses
incurred in placing the mortgage with a lending institution; a
mortgage service charge or origination fee.
Financial Statement
- A formal statement of the financial status and net worth of a
person or company, setting forth and classifying assets and
liabilities as of a specified date. |
| Finder's Fee |
A fee paid to someone for producing a buyer to
purchase or a seller to list property; also called a referral
fee. |
| Firm Commitment |
A definite undertaking by a lender to loan a set amount of money
at a specified interest rate for a certain term. |
| First Refusal, Right
Of |
The right of a person to have the first
opportunity either to purchase or lease real property. |
| Fiscal Year |
A business year used for tax, corporate or
accounting purposes, as opposed to a calendar year. |
| Fixture |
An article which was once personal property but
has been so affixed to the real estate that it has become real
property (e.g. stoves, bookcases, plumbing, etc.). If determined to
be a fixture, then the article passes with the property even though
it is not mentioned in the deed. |
| Flag Lot |
A land parcel having the configuration of an
extended flag and pole. The pole represents access to the site which
is usually located to the rear of another lot fronting a main
street. |
| Floor Area Ratio |
The ratio of floor area to land area expressed
as a percent or decimal, which is determined by dividing the total
floor area on a zoning lot by the lot area. |
| Floor Duty |
A frequent practice in real estate brokerage
offices of assigning one sales agent the responsibility for handling
all telephone calls and office visitors for a specified period of
time. |
| Foreclosure |
A legal procedure whereby property used as
security for debt is sold to satisfy the debt in the event of
default in payment of the mortgage note or default of other terms in
the mortgage document. |
| Fraud |
Any form of deceit, trickery, breach of
confidence or misrepresentation by which one party attempts to gain
some unfair or dishonest advantage over another. |
| Free And Clear
Title |
Title to real property which is absolute and
unencumbered by any liens, mortgages, clouds or other
encumbrances. |
| Frontage |
The length of a property abutting a street or
body of water; that is, the number of feet that "front" the street
or water. |
| Functional
Obsolescence |
A loss in value of an improvement due to
functional inadequacies, often caused by age or poor
design. |