Every real estate term a Florida buyer, seller, or investor needs to know — defined in plain English, A to Z.
Real estate has a language of its own. Whether you are buying your first South Florida home, selling, or investing, this A–Z glossary defines the terms that matter — in plain English, with links to the Divito Real Estate Group guides that go deeper. Jump to any letter using the bar below.
A loan whose interest rate changes after an initial fixed period. Run scenarios in our mortgage calculator.
A licensed appraiser’s opinion of a home’s market value, usually required by the lender before funding.
Florida’s most common residential contract — the seller makes no repairs, but the buyer keeps an inspection period and the right to cancel.
A secondary offer that automatically moves to primary if the first contract falls through.
A licensed agent representing the buyer’s interests. Start with our buyer’s guide.
Fees due at closing beyond the price itself — title, lender, taxes, and prepaid items.
The federal form detailing final loan terms and costs, delivered to the buyer three business days before closing.
An agent’s pricing study using recent comparable sales. See our pricing strategy guide.
A condition that must be met for a contract to proceed — such as financing, inspection, or appraisal.
How long a listing has been active — a key signal of pricing and demand.
The portion of the purchase price paid up front, separate from closing costs.
When one brokerage represents both buyer and seller. Florida more commonly uses transaction brokerage.
A good-faith deposit the buyer puts down when going under contract, credited toward the purchase at closing.
A neutral party holding funds and documents until all closing conditions are satisfied.
A government-insured loan with low down payments, popular with first-time buyers. See our first-time buyer guide.
A loan whose interest rate stays the same for the entire term.
A “For Sale By Owner” listing, sold without a real estate agent.
Money from family used toward a down payment, allowed by most loan programs with a documented gift letter.
A homeowners association that governs a community and charges dues. Explore South Florida communities.
A Florida property-tax break of up to $50,000 on a primary residence. Read our property tax guide.
A company that buys homes directly with instant cash offers, usually below full market value.
A professional review of a home’s condition during the contract’s inspection period.
A mortgage above conforming loan limits, common on luxury South Florida homes.
The agent representing the seller. See our seller’s guide.
The loan amount as a percentage of the home’s value; a lower LTV usually earns better terms.
The Multiple Listing Service where agents share listings. Browse Florida homes for sale.
A lender’s written estimate of how much you can borrow, which strengthens your offer.
The National Association of Realtors — the trade group whose members may use the Realtor® designation.
A buyer’s proposed contract terms, including price, deposit, and contingencies.
Private Mortgage Insurance, charged when a conventional down payment is under 20%.
Transferring up to $500,000 of Florida Save Our Homes tax benefit to a new home. See property taxes.
A seller-ordered inspection done before listing to avoid surprises during the buyer’s due diligence.
Splitting taxes and HOA dues fairly between buyer and seller as of the closing date.
A deed transferring whatever interest the grantor has without warranties — common in family transfers.
A real estate licensee who is a member of the National Association of Realtors and bound by its code of ethics.
Filing the deed in county records to make the transfer public and official.
Florida’s 3% annual cap on assessed-value increases for homesteaded properties.
Money the seller credits the buyer toward closing costs or repairs.
A sale for less than the mortgage balance, requiring lender approval.
A policy protecting against ownership defects; the buyer’s owner’s policy protects their equity.
Florida’s default brokerage relationship, where the agent assists both parties without fiduciary loyalty to either.
The lender’s review of a borrower’s finances and the property before final loan approval.
A zero-down loan for eligible veterans and active service members.
Unimproved property; financing and due diligence differ from homes. See buying land in Florida.
The buyer’s final inspection just before closing to confirm the home’s condition.
A deed in which the seller guarantees clear title — the strongest deed for a Florida buyer.