Valley Real Estate
Phone: (330) 629 - 9200
- earnest money deposit
- A deposit made by the potential home buyer to show that he or she is serious about buying the house. Earnest money is deposited under the terms of the contract by the buyer, to be forfeited if the buyer defaults, but applied to the purchase price if the house is closed. The contract should outline in detail what happens to the earnest money should either party default on an purchase agreement.
- A right of way giving persons other than the owner access to or over a property. There are four basic types of easements:
- easement appurtenant - allows the neighbor of a parcel of land the use of a specified portion of that land.
- easement by condemnation - the use of a parcel by a government entity under it's right of eminent domain.
- easement by prescription - an easement acquired by continuous, open, and hostile use of a parcel for a specified period of time. In Ohio the time period is 21 years.
- easement in gross - the right granted to particular person to use a parcel for a specified purpose.
- effective age
- An appraiser’s estimate of the physical condition of a building. The actual age of a building may be shorter or longer than its effective age.
- effective gross income
- Normal annual income including overtime that is regular or guaranteed. The income may be from more than one source. Salary is generally the principal source, but other income may qualify if it is significant and stable.
- eminent domain
- The right of a government to take private property for public use upon payment of its fair market value. Eminent domain is the basis for condemnation proceedings.
- Employer-assisted housing
- A special Fannie Mae housing initiative that offers several different ways for employers to work with local lenders to develop plans to assist their employees in purchasing homes.
- An improvement that intrudes illegally on another’s property.
- Anything that affects or limits the fee simple title to a property, such as mortgages, leases, easements, or restrictions.
- A person who signs ownership interest over to another party. Contrast with co-maker.
- e-PRO Certificate
- - (RE/MAX Valley REALTORS with e-PRO designation)
- Equal Credit Opportunity Act (ECOA)
- A federal law that requires lenders and other creditors to make credit equally available without discrimination based on race, color, religion, national origin, age, sex, marital status, or receipt of income from public assistance programs.
- equitable title
- The interest held by a vendee under an land installment contract or agreement of sale; the equitable right to obtain absolute ownership to real property when legal title is held in another's name.
- A homeowner's financial interest in a property. Equity is the difference between the fair market value of the property and the amount still owed on its mortgage (often referred to as the LTV (loan-to-value) percentage.
- See ► Negative Equity
- equity sharing agreement
- Equity Sharing is co-ownership of real estate and sharing of the equity and tax benefits. There are 3 forms of equity sharing: the traditional transaction, co-occupiers and the joint venture.
In the Traditional transaction, the Occupier lives in the property and pays all expenses; the Investor pays most of the down payment and does not live in the property. Co-occupiers live in the property and split the expenses. Joint venturors rent out the property and split the expenses.
- escape clause
- Any clause, term or condition in a contract that allows a party to that contract to avoid having to perform the contract. Typically, offers drawn up for the sale of real property often include some kind of escape clause or 'contingency' in the contract, allowing the purchaser to "escape" from the contract without being liable for breach of contract.
- An item of value, money, or documents deposited with a third party to be delivered upon the fulfillment of a condition. For example, the deposit by a borrower with the lender of funds to pay taxes and insurance premiums when they become due, or the deposit of funds or documents with an attorney or escrow agent to be disbursed upon the closing of a sale of real estate.
- escrow account
- The account in which a mortgage servicer holds the borrower’s escrow payments prior to paying property expenses.
- escrow analysis
- The periodic examination of escrow accounts to determine if current monthly deposits will provide sufficient funds to pay taxes, insurance, and other bills when due.
- escrow collections
- Funds collected by the servicer and set aside in an escrow account to pay the borrower’s property taxes, mortgage insurance, and hazard insurance.
- escrow disbursements
- The use of escrow funds to pay real estate taxes, hazard insurance, mortgage insurance, and other property expenses as they become due.
- escrow payment
- The portion of a mortgagor’s monthly payment that is held by the servicer to pay for taxes, hazard insurance, mortgage insurance, lease payments, and other items as they become due. Known as "impounds" or "reserves" in some states.
- 1. The degree, nature, quantity, and extent of ownership interest of an individual in real property.
- See ► Fee Simple, Leasehold, and Life Estates
- 2. The sum total of all the real property and personal property owned by an individual at time of death.
- An agreement made between a customer and purveyor of goods or services that approximates services and costs.
- eviction (a.k.a. unlawful detainer , summary possession , or forcible entry and detainer)
- The lawful expulsion of an occupant from real property. It most often refers to the removal of a tenant from rental property by a law enforcement officer. Depending on the jurisdiction involved, before a tenant can be evicted, a landlord must win an eviction lawsuit or prevail in another step in the legal process. It may also apply to the removal of a home owner whose home has been lost via judicial foreclosure.
In Ohio landlords can evict tenants for the following reasons:
- Tenants’ failure to pay rent when due.
- Tenants’ false complaints to a governmental agency about housing violations which were really caused by the tenants or guests.
- The landlords compliance with housing laws would require alteration or demolition of the building which would deprive the tenant of effective use of the premises.
- The lease has expired.
- Tenants’ violations of important terms of the lease.
- Tenants’ failure to comply with proper notice to correct situations which materially affect health or safety.
- Tenants’ refusal to permit landlords reasonable access to the unit, unless the landlord hasn’t given prior 24 hour notice.
- Holding over beyond the term of the rental agreement.
To bring an eviction action, the landlord must first serve the tenant with a three (3) day notice to vacate. This notice must set forth the reason for the demand to vacate and also notify the tenant that:
"You are being asked to leave the premises. If you do not leave, an eviction may be initiated against you. If you are in doubt regarding your legal rights and obligations as a tenant, it is recommended that you seek legal assistance."
After three days has passed (the three days does not include the day on which the notice is served, nor does it include Saturdays, Sundays, or official holidays), on the following day, the landlord may file the complaint for "forcible entry and detainer" in the property's court of jurisdiction. A hearing will then be scheduled to determine the landlord's right to regain possession of the premises. If the court sides with the landlord an eviction will be granted and the landlord may then ask the court to issue a Writ of Restitution.
The court will than send a bailiff out to the premises to remove the tenant and their possessions from the property. The bailiff testifies to the the changing of the locks on the unit and notes any personal items left behind by the tenant. The landlord may not take possession of the tenant's belongings in payment of overdue rent or damages inflicted on the property by the tenant. The court may demand that the landlord provide for storage of the property in a garage, attic or through a storage company for a reasonable length of time. The bailiff may also instruct the landlord to set tenant's belongings curbside.
Disclaimer: Legal procedure for the eviction process may vary from state to state and jurisdiction to jurisdiction. We discuss the law in generalities here. To see how to the law for your jurisdiction applies specifically to your situation consult with your attorney.
- examination of title
- The report on the title of a property from the public records or an abstract of the title.
- exclusive listing
- A written listing contract that gives a licensed real estate agent the exclusive right to sell a property on the owner's stated terms for a specified period of time, but reserving the owner’s right to sell the property alone without the payment of a commission.
- exclusive right-to-sell
- A listing contract under which an owner appoints a real estate broker as his or her exclusive agent for a designated period of time, to sell the property on the owner's stated terms, and agrees to pay the broker a commission when the property is sold, whether by the broker, the owner, or another broker.
- expense-to-income ratio
- This ratio compares the sum of monthly housing expenses to monthly gross income. The mortgage industry's guideline is that housing expenses should be no more than 28% of gross monthly income.
Monthly housing expenses include payments for principal, interest, property taxes, hazard insurance, private mortgage insurance (if required), and condo or homeowner's fees (if required).
A ratio lower than 28% may be required by lenders for low down payment loans (for example, if the down payment represents 5% of the home price, a 25% housing expense-to-income ratio may be required).
On the other hand, a lender may use an even higher ratio, such as 34%, if other factors are thought to compensate for the higher risk of the loan. An example would be, if you've made timely rent payments that are close to the projected mortgage payment; or perhaps if you make a large down payment, a lender may use higher ratios.
- executor (executrix)
- A person named in a will to administer an estate. The court will appoint an administrator if no executor is named. "Executrix" is the feminine form.