A phrase used to describe a single property landlord who is a landlord only because of changes in their personal circumstances. An example would be a property owner who moves abroad for a job opportunity and therefore lets out their home.
Acreage is the amount of land, measured in acres, that a property occupies. One acre is equivalent to 0.4047 hectares, 43,560 ft², or 4,046.86 m². Acreage normally refers to agricultural land as opposed to residential plot size.
The Advised Minimum Value (AMV), is the lowest value suggested for a property by a competent professional.
Affordable housing describes property for sale or rent at a substantial discount to the private market.
Also known as an Estate Agent, an Agent is a property professional who facilitates transactions between buyers and sellers, or landlords and tenants. Agents typically represent the seller or landlord in the transaction.
An estate agent who deals primarily or exclusively with letting property can also be known as a Letting Agent.
An Agreed Price is the price at which a property is agreed to be sold or let.
An Agreement in Principle is the preliminary agreement from a lender stating how much money they would be willing to lend to a potential borrower.
Agricultural is a term used to denote land zoned for agricultural use or buildings being used for agricultural purposes such as food storage and processing.
An Agricultural Covenant is a restriction placed on a property to ensure it is used for agricultural purposes.
An Alternative Dispute Resolution Service (ADR) is a process provided by independent bodies for resolving disputes without going to court.
ADR schemes are free to use and commonly used in property disputes.
The Annual Percentage Rate (APR) is the annual cost of a loan expressed as a percentage, including interest and fees.
The Annual Returns are the profit or income generated from an investment such as property, often calculated as a percentage of the initial outlay.
An Annuity is a financial product which offers a regular fixed payment in return for a lump sum. Often used as a method for funding retirement.
Also known as a Flat, an Apartment is a self contained unit within a larger building often with access to spaces shared with other units such as the main entrance, lifts, green spaces, hallways etc.
An apartment is often legally described by a lease within the freehold of the building.
An API is an Application Program Interface and describes a method and syntax allowing data transfer between two parties.
API's can be open and free to use, or closed and require various forms of authentication.
An Appraisal or Market Appraisal is an assessment of property value carried out by a competent professional such as an Estate Agent.
An appraisal is distinct from a valuation which is carried out by an Royal Institution of Chartered Surveyors accredited surveyor.
Appreciate is a term used to designate the increase in the value of a property over time.
An Approval in Principle is a preliminary confirmation from a lender that they are likely to approve a mortgage for a buyer.
An Arrangement Fee is a fee charged by a lender for arranging a mortgage or loan.
Arrears is a term used to denote monies that are overdue, often referred to in relation to rental or mortgage payments.
The Asking Price is the price at which a property is being marketed for sale or let by the owner or owners representative. It is not to be confused with the property value.
An Asset is an investment such as a property or a stock which can either generate ongoing income or increase in value over time or both.
An Assignable Contract is a contract that allows either party to transfer their rights and obligations to another party.
The Association of Professional Inventory Providers provides training and certification for companies and individuals conducting property inventory checks.
A property inventory is a comprehensive list of items within a property, often accompanied by a description and evidence as to the internal condition.
The Association of Professional Inventory Providers is part of an umbrella body called Propertymark who provide guidance, advice and research to the property sector.
The Association of Residential Lettings Agents (ARLA) was formed in 1981 as the professional and regulatory body for letting agents.
ARLA is now part of an umbrella body called Propertymark who provide guidance, advice and research to the property sector.
An Assured Shorthold Tenancy (AST) is a common form of tenancy agreement for rental properties and typically lasts for 12 months.
An Assured Tenancy is a tenancy agreement that offers more protection for tenants compared to other forms of tenancies. In some cases assured tenancy's can offer tenancy for life.
An Auction is a public sale where properties are sold to the highest bidder. The person responsible for conducting property auctions is called an Auctioneer.
An Automated Valuation Model (AVM) is a statistics-based computer program that uses real estate data, such as comparable sales, property characteristics, and market trends, to provide a rapid, instant estimate of a property's market value without human involvement.
The Bricks&Logic platform has a ground breaking AVM at it's heart, computing likely sale and rental values for every property in England & Wales.
Bailiffs are enforcement agents who carry out evictions or recover debts on behalf of landlords or courts.
A Bankers Draft is a cheque guaranteed by a bank, often used for property purchases.
Base Rate, also known as the Bank Rate or Bank of England Rate, the is the interest rate set by the Bank of England, affecting other interest rates, including mortgages.
The Best and Final Offer Procedure is a process to choose a buyer for a property from among competing buyers.
It is designed to remove any further negotiation and to quickly determine which buyer is willing to pay the most.
Each candidate buyer states the maximum price they are willing to offer allowing the seller to then choose their preferred buyer.
Also known as an Offer, a Bid is a proposal by a prospective buyer in an auction or private negotiations to purchase a property.
The person making a bid is called a bidder and that person could engage in bidding against other people to secure a property.
A Booking Deposit or Booking Fee, which can also be known as a Holding Deposit or Holding Fee is normally a fee which can be charged by a landlord or their agent to a prospective tenant in order to reserve a property pending the finalisation of a Tenancy Agreement.
These fees are often non-refundable should the tenant change their mind.
A Booking Fee or Booking Deposit, which can also be known as a Holding Fee or Holding Deposit is normally a fee which can be charged by a landlord or their agent to a prospective tenant in order to reserve a property pending the finalisation of a Tenancy Agreement.
These fees are often non-refundable should the tenant change their mind.
A Borough is a town, or a district within a large town, which has its own council.
A Borrower is a person or business that obtains money from a lender under an agreement to repay the money within a specific time period.
In the case of property, the loan is often secured against a property and is known as a mortgage.
A Break Clause is a provision in a contract which allows one or both parties to terminate the agreement early.
Break Clauses are often used in tenancy agreements.
A Bricks&Logic Partner Agent utilises the Bricks&logic applications to power their property research and price analysis, to enhance their website functionality and to provide their clients with amazing digital reports.
They also can contribute to and improve the information on the Bricks&Logic website, making data better for everyone.
A Bridging Loan is a short-term loan used to 'bridge' the gap between buying a new property and selling an existing one.
A Budget is a plan detailing income and expenditure, often used by property buyers to assess affordability.
Build to Rent (BtR) describes the investment strategy of building new homes for the purpose of holding and renting them for the medium to longer term as opposed to selling them for immediate profit.
Also known as an Inspection, a Building Survey is an examination of a property's general structure and condition.
There are multiple types of surveys which vary in their level of detail.
The Royal Institute of Chartered Surveyors describe them as follows:
1. A Homebuyers Report Level 1
- This is typically a visual inspection of a normal residential property built from common materials and presenting in a reasonable condition. It does not look further into inaccessible spaces or test in anyway the fabric of the building
2. A Homebuyers Report Level 2
- This is a more detailed inspection and would normally include the opening and inspection of roof and other crawl spaces and basements.
3. A Homebuyers Report Level 3
- Also commonly known as a Structural Survey, this is a full inspection of a property checking and testing the fabric of the building including the foundations and performing tests when necessary.
4. A Valuation
- A Valuation is an inspection sufficient to determine the market value of a property. In some cases these can be done remotely if there is sufficient evidence available. All the reports and surveys previously mentioned can include a simultaneous valuation.
A valuation alone would not be expected to account for any but the most obvious property defects.
One of more of these surveys are typically carried out on behalf of the buyer or their lender to identify potential issues prior to a property purchase.
Buildings Insurance is an insurance covering the structure of a property against risks like fire, flood, or damage.
A Bungalow is a single-storey house.
The word bungalow is derived from the Hindustani word for a thatched house and originated in India where they were devised as light dwellings with verandahs for the British administrators there.
Buy to Let is a term used for property purchased with the intention of renting it out for income rather than living in it.
A Buy to Let Mortgage is designed for landlords buying property to rent out for income.
This type of mortgage typically requires a larger deposit and has higher interest rates than residential mortgages.
A Buyer is the person or entity purchasing a property.
Capital is the wealth or value invested in a property, often used to calculate profit or growth. Also a term used to indicate the loan amount upon which the interest on that loan is calculated.
Also known as a Repayment Mortgage, Capital and Interest Mortgages are mortgages where both the capital (loan amount) and interest are repaid over the term of the loan.
Capital Gains Tax is a tax on the profit from selling an asset, such as a property, when it has increased in value.
A Capped Rate Mortgage is a mortgage where the interest rate is capped at a certain level, providing protection against rate rises.
A Caveat is a formal notice or warning, often related to property disputes or claims.
Caveat Emptor is a Latin term meaning 'let the buyer beware,' indicating that the buyer is responsible for checking the condition of the property and title.
The term encapsulates the legal principles behind the conveyancing of residential property in the UK.
A Chain is a series of linked property transactions, where each sale is dependent on another.
Chain Free is a term used for a property sale where the seller is not dependent on buying another property, making it simpler and faster to complete.
A Charge on a property title is a legal or equitable security interest over property in England & Wales.
A mortgage lender will typically add a charge over the property for which they have provided the mortgage, allowing them to seize the property in the case of mortgage default.
In Scotland this principle is known as a Standard Security.
A Client is the person or entity represented by a professional such as an estate agent or a solicitor in a property transaction.
A Client Account is an account held by a professional, such as a solicitor or an estate agent, to hold client funds separately from the business’s own funds.
The Closing Date is the last date on which something can be done.
In property, this can often be the date and time set by the seller by which offers must have been received from any interested parties.
Collateral is where assets, such as property which are pledged as security for a loan.
Commercial property refers to buildings or land used for business purposes or zoned for future business use.
Commonhold is a term introduced by the 2002 Commonhold and Leasehold Reform Act, Commonhold is a type of property ownership in England and Wales that allows individuals to own freehold units in a building.
Each unit-holder owns their unit in freehold, and has joint responsibility for the common parts of the building such as the walls, roof, stairs, and lift, as well as shared areas like corridors and entrance halls.
A residents' association typically owns and manages these common areas.
Despite being established over 20 years ago, commonhold remains rare due to challenges like mortgage lender reluctance and concerns about commonhold association insolvency.
The most common form of shared area management and ownership is the leasehold - freehold framework.
Community Living projects are led by community groups to meet local housing needs. They are a housing model that shares the roles of landlord and property management among all their tenants.
A Company is a legal entity that can own property in its own name. A limited company is a company where it's liabilities are limited to its assets.
In Comparative Market Analysis analysts use the selling and letting prices of similar properties in a locale to help determine a value for a target property.
The term Completion is the final step in a property sale, where the buyer pays the full purchase price and ownership is transferred.
This date is formally known as the Completion Date and on this date a document known as a Completion Statement is issued showing the amounts paid by the buyer and any outstanding balances.
A Compulsory Purchase Order (CPO) is a legal order that allows the government or local authority to acquire private property for public use.
Conditions of Sale are the terms under which a property is sold, including price, completion date, and any contingencies, and any other terms set out in a sale agreement, including the responsibilities of both the seller and the buyer.
Contents Insurance is a type of insurance covering the personal items inside a property, such as furniture, electronics, and clothes.
A Contract is a formal, legally binding agreement outlining the terms of a property sale or rental.
A Contract Deposit is a deposit paid to secure the contract in a property transaction, typically paid at exchange of contracts.
Conveyancing is the legal process of transferring property ownership from one party to another. Conveyancing is carried out by a solicitor, or a specialist conveyancer.
While there is no technical definition for 'Cottage', it is normally held to be a small picturesque house in a rural or semi-rural location possessing simple architecture and constructed from natural materials.
Also called a Local Council or Local Authority, a Council is a general term for community, neighbourhood, parish, and town councils. They represent the first tier of local government and they are statutory bodies.
There are 10,000 parish and town councils in England, with 100,000 councillors serving across them, and over £2 billion is invested into these communities each year.
The activities of parish and town councils fall into three main areas:
- Providing services to meet local needs
- Offering the community a voice and representation
- Enhancing the quality of life and community wellbeing
Also known as Social Housing, Council Housing is public housing built by Local Authorities.
Council Tax is a local government tax on residential properties. It is normally used to fund local government activity and is typically based on the property's value.
A full Council Tax bill is based on at least 2 adults living in a home. Spouses and partners who live together are jointly responsible for paying the bill.
However certain people are disregarded when calculating how many people live in a property. Those under 18 and in full time education do not count towards the number of people living in a property for council tax purposes.
Therefore a council tax discount may apply.
A Covenant is a legal promise or restriction, often found in property deeds, that affects how a property can be used.
A Credit Agency is a private company that creates credit reports and credit scores to address the creditworthiness of each person or corporation.
A Credit Score is a numerical assessment of a person’s creditworthiness, often carried out by specialist Credit Agencies.
Lenders will often access the information when considering a loan or mortgage application.
Credit Search References are reports provided by a credit reference agency to assess a potential borrower’s creditworthiness.
A Custodial Deposit Protection Scheme is a type of Tenancy Deposit Protection Scheme where a third party will hold the tenant's deposit, essentially in escrow.
The Deposit can be release back to the tenant at the end of tenancy or used to rectify any damage of losses by the landlord should any occur.
The Data Protection Acts are a legislation that governs the handling of personal data, including data collected in property transactions.
A Deed is any signed legal document.
Common examples are Title Deeds, Transfer Deeds and Mortgage Deeds.
A Default is a failure to meet the terms of a mortgage or loan, such as missing payments.
A Deferred Payment is a payment structure which allows for payments to be delayed or postponed, normally for cashflow purposes.
Deferred payments are often used in property development transactions.
Now known as the Ministry of Housing, Communities and Local Government, the Department for Levelling Up, Housing and Communities was responsible for the housing stock across the UK.
As part of this remit, they publish and maintain the register of EPC certificates.
www.gov.uk/government/organisations/ministry-of-housing-communities-local-government.
Previously known as the Department of Social Security (DSS), the Department for Work and Pensions (DWP) is responsible for welfare, pensions and child maintenance policy.
As the UK’s biggest public service department it administers the State Pension and a range of working age, disability and ill health benefits to around 20 million claimants and customers.
https://www.gov.uk/government/organisations/department-for-work-pensions
Now known as the Department for Work and Pensions, the Department of Social Security (DSS) is responsible for welfare, pensions and child maintenance policy.
www.gov.uk/government/organisations/department-for-work-pensions
A Deposit is normally a pledge for a contract with the balance payable later. In the property world, the two most common contracts using deposits are property purchase contracts and tenancy agreements.
Typically a buyer will pay a 10% deposit when contracts are signed on a property purchase with the balance payable upon completion.
A tenant will normally pay a booking deposit to remove a rental property from the market and allow time to complete the paperwork to secure the property.
They will typically pay a further security deposit to be held against property damage or failure to pay rent.
A Detached House is a House standing on it's own plot and sharing no walls with any other property.
A Development is the construction, conversion, or renovation of properties for sale, rental, or commercial use.
A Digital Report is a curated bundle of information sent by one party to another via digital means.
Bricks&Logic provide digital report functionality for our Partner Estate Agents allowing them to present information to their clients.
Dilapidations is a term used to denote the state of disrepair of a property. Dilapidations often refer to a state of disrepair at the end of a tenancy.
Disbursements are out-of-pocket expenses incurred by a solicitor or conveyancer during a property transaction.
A Discounted Tracker Rate Mortgage is a mortgage with a variable interest rate that is discounted from the providers standard tracker rate. A tracker rate typically follows the Bank of England base rate.
A Discounted Variable Interest Rate Mortgage is a mortgage with a variable interest rate that is discounted from the providers standard variable rate.
A Draft Contract is a preliminary version of a contract, not yet signed and subject to further change by either party.
The Department of Social Security (DSS) is now known as the Department for Work and Pensions.
https://www.gov.uk/government/organisations/department-for-work-pensions
A Dwelling is a house, flat, or any other residential property.
An Early Repayment Charge is a fee which can be charged by a lender if a borrower repays a mortgage before the agreed end date.
Easements concern third party rights over property.
Several types of easements are frequently encountered around the country:
Right of way:
- Allows the owner of one property to cross over another’s land to access their own. For example, if a driveway requires crossing of a neighbour’s property, there will likely be a right-of-way easement.
Utility easements:
- These allow public utility companies to install or maintain services such as electricity, gas, water, or sewerage across private property.
Drainage easements:
- Often granted when one property’s drainage needs to pass through another person’s land.
Light and air easements:
- This less common type ensures that a property owner maintains access to natural light or air across another property. For example, an owner might have an easement preventing their neighbour from building a structure that blocks sunlight from reaching their windows.
The term End of Tenancy denotes the conclusion of a tenancy agreement, marking the tenant’s vacating of the property.
An Endowment Mortgage is a mortgage where the borrower makes lower payments during the term and pays off the balance using an endowment policy at the end.
An Endowment Policy is a life insurance contract designed to pay a lump sum after a specific term, on its maturity, or upon death.
These are long-term policies, often designed to repay a mortgage loan, with typical maturities between ten and thirty years within certain age limits.
Some policies also insure additional risks, such as critical illness.
An Energy Performance Certificate (EPC), is a report that rates a property’s energy efficiency on a scale from A to G. EPC's are now required before selling or renting a property.
Energy Performance Certificates are a matter of public record and are published by the Ministry of Housing, Communities and Local Government and are available as an online resource.
https://www.gov.uk/government/organisations/ministry-of-housing-communities-local-government
Equity is the difference between the market value of a property and the outstanding mortgage balance.
Equity Release is the umbrella term for products that allow homeowners, typically those over 55, to convert a portion of their home's equity into tax-free cash without having to move.
It works by having a lump sum of tax-free cash, which is secured against ones property.
It is used to provide a source of income for retirement, for home improvements, or to help family, among other reasons.
The two main types of equity release are:
Lifetime Mortgages; which allows people to borrow against the value of their homes without making repayments until their passing, after which the property passes to the lender.
Home Reversion Plans; where a portion or all of the owners property is sold to the lender in exchange for monies with the provisio that the owner is granted a lease to live in their house rent free for the rest of their life and upon their death, the mortgage provider receives their share of the property's value when it is eventually sold.
An Estate can mean either the sum of ones possessions normally when referring to inheritance or inheritance taxes, or a large parcel of land and/or buildings.
Also known as an Agent, an Estate Agent is a property professional who facilitates transactions between buyers and sellers, or landlords and tenants. Estate agents typically represent the seller or landlord in the transaction.
An estate agent who deals primarily or exclusively with letting property can also be known as a Letting Agent.
Estate Planning is the process of arranging how your assets, money, and property will be managed and distributed after your death or incapacitation.
It's a comprehensive strategy that goes beyond a will, including creating a will, appointing Lasting Powers of Attorney (LPAs) for financial and medical decisions, establishing trusts, and planning for potential inheritance tax liabilities.
Eviction is the process by which a landlord can remove a tenant from a property against their will.
There are differing procedures for evictions in the different jurisdictions throughout the UK, however normally they are the result of failure to pay rent, anti-social behaviour or some other breach of contract.
The government publish and maintain an extensive list of eviction criteria.
An Exchange of Contracts is the point at which the buyer and seller exchange signed contracts, making the property transaction legally binding.
A deposit is normally paid by the buyer to the seller at this point, and a completion date is normally agreed.
An Execution-Only Mortgage is a type of mortgage where the lender provides the mortgage without giving advice to the borrower.
The Financial Conduct Authority (FCA), regulate financial services firms and financial markets in the UK.
Almost all financial firms in the UK must be authorised or registered by the FCA.
A First Time Buyer is a person purchasing a property for the first time within the jurisdiction.
From time to time they may be eligible for certain government schemes or incentives.
A Fixed Price is an asking price that is stated to be non-negotiable.
Fixed Rate Mortgage is a mortgage with an interest rate that remains the same for a set period.
Also known as a Fixed-Term Tenancy, a Fixed Tenancy is a Tenancy with a stated term length, after which it may be renewed or terminated.
A Fixed Tenancy usually lasts for at least 5 years.
Fixtures and Fittings are items in a property such as light fittings and kitchen units. Fixtures and Fittings are often referred to in contracts for the sale of property.
Also known as an Apartment, a Flat is a self contained unit within a larger building often with access to spaces shared with other units such as the main entrance, lifts, green spaces, hallways etc.
A Flat is often legally described by a lease within the freehold of the building.
A Flying Freehold is when a part of one property overhangs a second property's boundary.
Freehold is a type of property ownership where the owner owns the land and building of a property in perpetuity.
They have the absolute right (subject to planning permission) to make any alterations they see fit.
Gas Safety Regulations are legal requirements governing the safety of gas appliances and installations.
In rental properties, a Gas Safety Check has to be carried out every year by the landlord. These tests ensure that gas appliances, installations, and pipework in a property are safe and meet legal requirements.
A Gas Safety Record is provided upon completion of the Gas Safety Check.
Gazumping is when a seller accepts a higher offer from a different buyer after previously agreeing to a sale.
Gazundering is when a buyer reduces their offer just before completing the purchase of a property.
Ground Rent is an annual fee paid by the leaseholder to the freeholder of a leasehold property.
Guaranteed Possession is a clause in a tenancy agreement guaranteeing that the landlord can take possession of the property under certain conditions.
A Guarantor is a person who agrees to pay rent or loan repayments if the tenant or borrower fails to do so.
A Guarantor Mortgage is a mortgage where a third party guarantees the mortgage, offering their savings or property as security.
This type of mortgage is often used by first time buyers where a family member, called a Guarantor, guarantees the loan.
A Guide Price is a price set by the seller or their agent to set expectations as to the likely sale price for a property.
Guide prices are commonly used at auction where the seller and their auctioneer will likely also have set a hidden reserve price as the lowest price that the seller would accept.
A Heatmap is a data visualisation which uses colour to denote values typically across some geography.
Bricks&Logic Heatmaps show various states and changes in the UK property markets.
A Hectare is a unit of area measurement, often used to describe large plots of land, equivalent to 10,000 square meters or 2.471 acres.
An Heir is a person who has the legal right to inherit a deceased person's money, property, or title.
A House in Multiple Occupation (HMO) is a property rented out by at least three people who are not from one ‘household’ but who share facilities like the bathroom and the kitchen. This situation is often called a ‘House Share’.
To rent out a property as a HMO in England or Wales, a license may be required.
https://www.gov.uk/find-licences/house-in-multiple-occupation-licence
A Holding Deposit or Holding Fee, which can also known as a Booking Deposit or Booking Fee is normally a fee which can be charged by a landlord or their agent to a prospective tenant in order to reserve a property pending the finalisation of a tenancy agreement.
These fees are often non-refundable should the tenant change their mind.
Holding Fee or Holding Deposit, which can also be known as a Booking Fee or Booking Deposit is normally a fee which can be charged by a landlord or their agent to a prospective tenant in order to reserve a property pending the finalisation of a tenancy agreement.
These fees are often non-refundable should the tenant change their mind.
Home Buyers Protection Insurance is a type of insurance designed to reimburse certain costs incurred during a property purchase if the sale falls through.
It acts as a safety net for homebuyers, helping to recover expenses such as legal fees, survey costs, and mortgage arrangement charges if they can no longer proceed with the purchase for reasons outside their control.
A Home Buyers Report is a standard survey type for a residential property which is described and regulated by the Royal Institution of Chartered Surveyors.
It is normally more in-depth than a simple valuation but less detailed than a structural survey.
Home Reversion Plans are one type of equity release where a homeowner sells a portion or all of a home to a mortgage provider in exchange for a lump sum or regular payments. Where then a lease is granted allowing the owner to live in the property rent-free for the rest of their life.
The mortgage provider receives their share of the property's value when it is eventually sold.
A Homebond is a warranty or guarantee provided for new-build properties.
A House is a building where people live and occupy the whole structure.
A House in Multiple Occupation (HMO) is a property rented out by at least three people who are not from one ‘household’ but who share facilities like the bathroom and the kitchen. This situation is often called a ‘House Share’.
To rent out a property as a HMO in England or Wales, a license may be required.
https://www.gov.uk/find-licences/house-in-multiple-occupation-licence
House Prices or 'Changes in House Prices' is the common term to refer to the residential property sales market in the UK.
In general the term refers specifically to the changing house values rather than any one specific price such as the asking price.
A Housing Association is a not-for-profit organisation that owns, rents, and manages affordable housing.
The Housing Health and Safety Rating System, is a system used to assess the health and safety risks in residential properties.
It was introduced under the Housing Act 2004 and applies to residential properties in England and Wales.
A Housing Index is a measurement of property sale or rental prices or values over time.
Bricks&Logic provide both sale and rental value indices for all properties across England and Wales.
The Health and Safety Executive is a government body responsible for regulating and enforcing health and safety law.
Indemnity Insurance is purchased to protect against legal liabilities or risks related to property transactions.
Industrial property describes land zoned for manufacturing use or buildings being used for industrial purposes.
Inheritance refers to the passing of wealth in some form from one party to another upon death.
Insolvency is when a debtor (person or a company) cannot settle the debts they owe. The debtor is then considered insolvent.
Balance sheet insolvency is when company debts exceed the value of all assets.
The Institution of Commercial and Business Agents is a UK professional body which supports the distinct professional needs of Commercial and Business Agents.
It is a member of the Property Mark group of companies.
An Instruction is the formal engagement of an Estate Agent or Solicitor by the client to carry out their instructions. The term is often used when instructing a solicitor to buy or sell property or instructing an estate agent when putting a property on the sale or rental market.
Insurance is an agreement between one party (Insured) and a second party (Insurer) which exchanges money for risk.
A common example is when a home insurance or motor insurance policy is purchased. In this case the Insurer promises to cover the costs of the Insured should damages or loss occur in return for a regular payment called the Insurance Premium.
Other common forms of Insurance are; Buildings Insurance, Contents Insurance, Indemnity Insurance, Public Liability Insurance, Life Insurance and Life Assurance.
A Insurance Based Deposit Protection Scheme is where instead of a third party holding a tenant's deposit, an insurance policy is taken out to provide for the resolution of any end-of-tenancy disputes for both tenant and landlord.
The Interest on a loan is the amount of money paid by the borrower to the lender as a fee for borrowing the money. This fee can also be expressed as a percentage of the total amount and is then known as the Interest Rate.
An Interest Only Mortgage is a type of Mortgage where only the interest on the capital is paid throughout the term, as opposed to a Repayment Mortgage where both the interest payments and capital repayments are made throughout the term.
Also known as the Loan Rate or the Mortgage Rate, the Interest Rate is a fee charged by the lender to the borrower for providing a loan expressed as a percentage of the loan amount.
The Internal Area of a property is normally a measurement of the living space contained within. In the UK it is commonly measured in square feet but can also be expressed in terms of meters squared.
Internal area can be measured as Net Internal Area which refers to the useable space within a building, and Gross Internal Area which encompasses the total enclosed space including internal walls and service areas.
A property Inventory is a comprehensive list of items within a property, often accompanied by a description and evidence as to the internal condition. An inventory is often used in a tenancy to ensure the property is returned at the end of the tenancy in reasonably similar condition.
An Investment Property is a property purchased primarily to generate income, either through rent generated or capital appreciation. The owner of an investment property is typically called an investor.
An Investor is a person or company who invests money in any asset (including property) with the aim of generating immediate or future income from that asset.
In the case of property this could be immediate rental income or future capital appreciation.
Joint Agency describes an arrangement between a seller and two or more Estate Agents who will market a property, where the sales fee is paid to all agents involved on an agreed schedule.
Joint Agency is often used where a seller wants to market their property across two or more distinct markets.
In the case of a niche property, for example, having one agent from London and one from the local town may offer a greater chance of attracting the attention of diverse buyers.
A Joint Mortgage is a mortgage on a property where the borrowers are two or more people.
Joint Tenancy is a form of tenancy where two or more tenants are jointly responsible for all aspects of the tenancy agreement.
The Land and Building Transaction Tax is a Scottish tax applied to residential and commercial land and buildings transactions including commercial properties and commercial leases.
The Land and Building Transaction Tax is structured to be proportionate to the price of the property.
It is a banded tax where the percentage rate for each band is applied only to that part of the price over the relevant threshold.
For property below the minimum threshold, no tax is paid.
https://www.gov.scot/policies/taxes/land-and-buildings-transaction-tax/
A Land Certificate was an official certificate issued by the Land Registry. The document proved ownership of property or land in England and Wales.
Since The Land Registration Act in 2002, Land Certificates have been abolished.
The Land Registry is the government organisation that maintains and updates property ownership records in England and Wales
Land Transaction Tax is a charge paid if buying a property or piece of land in Wales that costs over £225,000, or over £40,000 if it is a second home.
A Landlord is normally the owner of property rented or leased to a tenant who can be an individual or a company.
When the rental agreement is referred to as a lease as opposed to a tenancy, the landlord is sometime referred to as the lessor in the arrangement.
There are also scenarios where a landlord may not be the owner and can themselves be renting the property from their landlord. This process is known as subletting.
A portfolio landlord is defined as an individual who owns four or more mortgaged buy-to-let (BTL) properties.
The Law Society are an independent professional body for solicitors in England and Wales run by and for their own members.
Laws of Intestacy are the rules governing the distribution of a deceased person's estate when they have not left a valid will.
Technically in law, there is no difference between the terms "Tenancy" and "Lease". However, statutes relating to letting residential property most often use the word "Tenancy", while those regulating commercial occupancy most often use the word "Lease".
Lease is also more often used in much longer term arrangements.
A tenancy or a lease refers to the arrangement where a tenant (the renter) occupies a property owned by a landlord for a specified period under a tenancy agreement or lease which can also be known as a rental agreement.
The tenant pays rent in exchange for the right to live in or use the property.
A Leasehold is a type of property ownership conferring the right to live in a property for a set number of years.
The ultimate owner of the land and/or the building is called the freeholder.
The arrangement is described by a lease which details the rights and obligations of either party and any fees payable.
Leasehold is commonly used to 'own' an apartment in a building containing other apartments where the land and the fabric of the building are owned by the freeholder.
A Legal Fee is a fee charged by solicitors or conveyancers for handling the legal aspects of a property transaction.
Also known as a Mortgage Provider, a Lender is normally a bank or other financial institution which provides a mortgage or loan to a borrower.
A Lessee is a person or company who rents an asset such as property or land from a landlord or lessor under an agreement known as a lease.
Where the rental arrangement is referred to as a tenancy, the lessee would be known as a tenant.
A Lessor is normally the owner of property rented or leased to a tenant who can be an individual or a company.
Where the rental agreement is referred to as a tenancy as opposed to a lease, the lessor is known as the landlord.
Let to Buy describes the strategy where a homeowner lets their existing home in order to fund the purchase of another property to live in.
A Letting Agent is an Estate Agent who primarily deals with letting residential property.
Life Assurance is a life insurance policy with indefinite cover and no fixed expiry date unlike a standard life insurance policy.
Life Insurance is a contract between an insurance policy holder and an insurance company, where a sum of money is payable upon the death of the insured, or after a set period.
This policy is paid for by a fee called the Insurance Premium.
A Lifetime Mortgage is a type of loan normally available to older homeowners, allowing them to borrow against the value of their home without making repayments until they pass away or move into long-term care when the property ownership will pass to the lender.
Until that time the homeowner retains full rights of occupancy over the property.
A Listed Building is a building officially recognised as being of historical or architectural importance and subject to preservation rules.
A Loan is money, property, or other material goods given to another party in exchange for future repayment of the loan together with a fee known as interest.
Loans are typically provided by banks or other financial institutions.
A loan to fund the purchase of property and normally secured against that property is called a mortgage.
A Loan Offer is a formal offer from a lender to provide a mortgage or loan to a borrower.
Also known as the Interest Rate of Mortgage Rate, the Loan Rate is a fee charged by the lender to the borrower for providing a loan expressed as a percentage of the loan amount.
Loan to Value (LTV) is the ratio of the loan amount to the value of the asset upon which the loan is secured.
LTV is very commonly used in the mortgage market and is a method of describing the risk taken by the mortgage lender when making the loan.
A Local Authority, also known as a Local Council is a general term for community, neighbourhood, parish, and town councils. They represent the first tier of local government and they are statutory bodies.
There are 10,000 parish and town councils in England, with 100,000 councillors serving across them, and over £2 billion is invested into these communities each year.
The activities of parish and town councils fall into three main areas:
- Providing services to meet local needs
- Offering the community a voice and representation
- Enhancing the quality of life and community wellbeing
A Local Authority Search is normally performed by a purchasing solicitor during a property transaction.
It is a search of the public records to gather information on planning, local amenities, hazards and any potential restrictions in the vicinity of the property of interest.
A Local Planning Authority is a government body, usually a local council, responsible for managing planning and development in a specific area, including determining planning applications for permission to build, producing local plans for future development, and enforcing planning rules.
Also known as a Service Charge, a Maintenance Charge normally refers to a fee paid by leaseholders for the upkeep of communal areas or building services in a shared building.
The word 'Maisonette' is French and translates to 'little house'.
In the UK it is normally used to describe an apartment across multiple floors with its own front door to the street.
Market Sentiment is a general perception as to the overall health and direction of any market including the property market.
Previously known as the Department for Levelling Up, Housing and Communities, the Ministry of Housing, Communities and Local Government is responsible for the housing stock across the UK.
As part of this remit, they publish and maintain the register of EPC certificates.
https://www.gov.uk/government/organisations/ministry-of-housing-communities-local-government
Missives Concluded is a Scottish legal term and is the point at which a proposed property transaction becomes legally binding.
It is essentially equivalent to an Exchange of Contracts in the rest of the UK.
Money Laundering is the process of converting illicit funds into clean money. Many of the regulations around property transactions are in place to prevent this illegal activity.
A Mortgage is a loan to buy property or land. The borrower agrees to repay the loan, plus interest, over an agreed period.
The loan is secured against the property being purchased. This means that if the borrower fails to meet repayments, the lender can repossess the property to recover the amount owed.
A typical process would involve first getting a 'mortgage in principle' from a mortgage lender. This can be done via a mortgage broker or directly with a lender.
Once an agreement has been reached to buy a particular property, the lender can issue a mortgage offer which will fund the purchase alongside the mortgage deposit.
It is possible to purchase mortgage protection which provides insurance against the ongoing costs of the mortgage.
There are many types of mortgages available, each designed to suit different financial situations and needs.
Some of the more common types of mortgages are; Fixed Rate Mortgage, Variable Rate Mortgages, Interest Only Mortgage, Repayment Mortgage, Offset Mortgage, Buy to Let Mortgage, Guarantor Mortgage, Joint Mortgage and Capped Rate Mortgage.
A Mortgage Broker is an intermediary who helps clients find the best mortgage deal by comparing options from different lenders.
A Mortgage Deed is a legal document that outlines the terms of a mortgage, including repayment details and security interests.
A Mortgage Deposit is the amount of money the buyer puts toward the property purchase alongside the mortgage funds from the lender. Typically mortgage deposits are in the region of 10% to 20% of the total with the lender supplying the remainder but it varies from case to case.
Loan Amount + Mortgage Deposit = Purchase Price.
Also known as a 'Decision in Principle' or a 'Mortgage Application in Principle', a Mortgage in Principle is a statement from a lender confirming that they would be willing to lend a certain amount, based on the information provided.
While it is not a guarantee, it indicates that, in principle, they are prepared to offer a loan.
This can be used to demonstrate to estate agents or sellers that the buyer has the financial backing to purchase a property.
A Mortgage Offer is a formal offer from a lender to provide a mortgage to a buyer, detailing the loan amount and terms.
Mortgage Protection is an insurance that covers mortgage repayments in the event of the borrower’s illness or death.
Also known as a Lender, a Mortgage Provider is normally a bank or other financial institution which provides a mortgage or loan to a borrower.
Also known as the Loan Rate or the Interest Rate, a Mortgage Rate is a fee charged by the lender to the borrower for providing a loan expressed as a percentage of the loan amount.
A Mortgage Term is the length of time over which a mortgage loan is to be repaid.
Multi-Agency describes the arrangement between the seller and their estate agent(s) where more than one estate agent markets a property and where the fee is paid to the successful agent only.
As the estate agents take the risk of doing unpaid work in this arrangement compared to both Sole Agency and Joint Sole Agency, fees are typically higher.
The National Association of Estate Agents (NAEA), is a professional body tasked with upholding good practice and high professional standards in estate agency.
The NAEA is part of an umbrella body called Propertymark.
National Association of Valuers and Auctioneers, is a professional body for estate agency, providing help and guidance for property professionals.
The National Association of Valuers and Auctioneers is part of an umbrella body called Propertymark.
National Federation of Property Professionals, is a body that awards certificates for people working in property sales and lettings.
The National Federation of Property Professionals is part of an umbrella body called Propertymark.
Negative Equity is when a property’s value is lower than the amount remaining on the mortgage, meaning the owner owes more than the property is worth.
New Build Property is a term used to describe property recently constructed which has not been lived in before.
An Occupancy Rate is the percentage of available units, such as hotel rooms, apartments, or office spaces, that are currently occupied or in use during a specific period.
Example: If a property has 200 units and 190 are occupied, the occupancy rate is (190/200)*100 = 95%).
Off-Plan property is a term used to describe property that is marketed before being built, sometimes at a discounted price.
Also known as a Bid, an Offer is a proposal by a prospective buyer in an auction or private negotiations to purchase a property.
The person making a bid is called a bidder and that person could engage in bidding against other people to secure a property.
Offers Over is a marketing strategy where the seller or their agent state their intention to seek offers over and above the listed asking price.
This is more common when the market is very strong.
The Office for National Statistics is the largest independent producer of official statistics in the country. It is responsible for collecting, analysing, and disseminating data about the UK's economy, society, and population at national, regional, and local levels.
An Offset Mortgage links a savings account to the mortgage to reduce interest payments.
Instead of earning interest on savings, the balance is used to offset the mortgage, reducing the amount of interest charged.
An Ombudsman is an independent third party who resolves complaints and disputes.
For example, The Housing Ombudsman Service looks at complaints about registered providers of social housing such as housing associations and other landlords, managers and agents.
The Open Government License is a data license granting worldwide, royalty free, perpetual, non-exclusive use of relevant information subject to some conditions.
The license is intended to encourage innovation around Government data sets.
An Open House is a viewing event where a property being marketed is opened to potential buyers or tenants to view without an appointment.
The Ordnance Survey create, maintain and distribute detailed geographical location information for Great Britain.
An Overpayment describes making a payment in excess of the required amount or in advance of the required schedule.
Overpayments are often made in relation to mortgage payment schedules to clear the mortgage balance earlier.
Part Possession or Parting with Possession occurs when a tenant allows another person to occupy the property, even if the tenant still resides there or retains some level of access.
Many tenancy agreements include clauses prohibiting tenants from Parting with Possession without the landlord's consent.
A Penalty is a pre-agreed punishment for breaking a contract.
Per Calendar Month is a term normally used to describe a schedule of payments which are due on the same day each month.
A Period Building describes a building built before the death of King Edward VII in 1910.
Buildings constructed between 1901 and 1910 are known as Edwardian, those before 1901 but after 1837 as Victorian and those prior to Victoria as Georgian.
These are all collectively referred to as Period Buildings.
A Periodic Tenancy is a Tenancy that automatically renews for another fixed period unless terminated by either party.
Permitted Development Rights are rights allowing householders to carry out certain extensions and improvements without a formal planning application. However, these rights are not absolute.
A Planning Application is a formal request for Planning Permission and is made to a local planning authority for permission to carry out development on land or buildings, such as constructing a new building, making alterations, or changing a property's use.
Planning permission is the formal approval required from a local authority to build on land or make significant changes to existing buildings or land. While most new developments require permission, certain minor works, known as "permitted development", are exempt due to their minimal impact on the environment and community.
https://www.gov.uk/browse/housing-local-services/planning-permission-regulations-information
Planning Restrictions are regulations and conditions, governed by government policy and local authorities, that control development and land use to ensure it aligns with economic, social, and environmental goals.
Plot size is the total area of land upon which a property is built.
Plot sizes are normally measured in square feet or meters. Larger tracts of land such as agricultural or forestry land are measured by the acre.
A property Portfolio is a collection of properties owned by an investor or landlord.
A portfolio landlord is defined as an individual who owns four or more mortgaged buy-to-let (BTL) properties.
A Postcode is an alphanumeric set of between five and seven letters and numbers which define four different levels of geographic placement. It is a address system created by the Royal Mail across the United Kingdom for sorting post. There are 124 postcode areas in the UK.
Each postcode consists of two parts, an outward postcode, or Outcode, separated by a single space from the second part, the inward postcode, or Incode.
The Outcode contains the Area and the District to which the mail is to be delivered. The Incode is used to sort the mail locally.
For example in the postcode EC4M 8AD, the EC4M is designated as the Outcode then a space and then the 8AD is designated as the Incode.
The Outcode consists of the Area (EC), the District (EC4) and the Sub-District (EC4M).
After the space the Incode then consists of a sharing of the of the whole of the Outcode and the first member of the Incode (EC4M 8) which is called the Sector.
The final two letters are called the Unit which typically contain 15 to 100 deliveries for adjacent addresses or up to 100.
A property price can be:
- A Guide Price or Reserve Price in auction
- An Asking Price by a seller
- An Agreed Price between a seller and a buyer.
None of these need be the same number and none are the same as Value.
Property Price Analysis is the assessment of the likely value of a property for either sale or let.
A common method of assessment is Comparative Market Analysis which is a technique that uses recent sales or lets of similar property to infer a value for the target property.
The Principle Amount of a Loan is the original sum borrowed and excludes any interest or fees.
The Private Residential Tenancies Board is a government body in Scotland that regulates and enforces tenancy agreements and disputes.
Sale by Private Treaty is when a property sale is privately negotiated between buyer and seller directly or via an estate agent rather than publicly in an auction.
Probate is a legal process that validates a will and grants executors the authority to manage and distribute a deceased person's assets according to the will's instructions.
Probate is typically required when the deceased owned assets solely in their name or when the estate exceeds a certain value.
Also referred to as Real Estate, Property is any piece of land with or without buildings, or a saleable lease.
Property is normally categorised into Residential, Commercial, Agricultural and Industrial.
Property Attributes are a series of features which together comprise the description of a property.
For example, the number of bedrooms in a property are an attribute and together with plot size, internal area, number of floors and number of bathrooms comprise the description of the size of a property.
Property Management normally describes the ongoing management of tenanted property by a representative of the landlord.
Letting Agents normally offer property management services on property they have let and as part of these services will collect rent, manage repairs and arrange inspections.
A Property Portal is an online platform for listing properties for sale or rent, allowing buyers and sellers to connect.
Propertymark is a professional body for estate agents.
It is an amalgamation of:
- The Association of Residential Letting Agents (ARLA)
- National Association of Estate Agents (NAEA)
- National Association of Valuers and Auctioneers (NAVA)
- Institution of Commercial and Business Agents (ICBA)
- Association of Professional Inventory Providers (APIP)
- NFoPP Awarding Body
PropTech is shorthand for Property Technology and refers to the application of technology and software to the real estate industry.
Like most startups, startups in PropTech aim to disrupt existing processes and businesses by offering superior or generally more efficient solutions
Public Liability Insurance is an insurance policy which protects against claims arising from the public.
Public Liability Insurance is often a requirement for commercial property to which the public has access such as a pubs, restaurants and shops.
The Purchaser is the person or company buying a property.
Real Estate refers to land and any permanent structures or property attached to it, such as buildings, houses, commercial properties and other immovable assets. This encompasses both the physical land itself and the rights associated with it, such as ownership, leaseholds, and easements.
Real estate can be categorised into residential, commercial, industrial, and agricultural properties. The legal framework governing real estate includes property laws related to ownership, renting, leasing, and land registration.
A Property Record is normally the official documentation of ownership, transaction and other legal details.
In England and Wales this information is held by the Land Registry.
Also known as Mortgage Redemption, Redemption is the process of paying off the outstanding balance on a loan or mortgage and any other fees outstanding.
The Redemption Figure is the total amount required to pay off a mortgage or loan, including any penalties or charges.
A Redemption Penalty is a charge imposed by a lender for the early repayment of a loan.
Redemption penalties are a common occurrence with mortgage loans and must be specified in the mortgage offer before it is signed.
Referencing is the process of background checks to identify any financial or criminal history.
Two of the most common forms of Referencing are Tenant Referencing which checks a potential tenants ability to and likelihood of paying the rent, and Credit Referencing which is often used by mortgage lenders to check a potential borrowers ability of cover the mortgage payments.
Also known as a Protected Tenancy, a Regulated Tenancy is a secure form of a tenancy agreement provided for by the 1977 Rent Act and were issued up to 1989.
They provided strong security of tenure with tenants protected even after the original tenancy agreement ended and 'fair' rent with rental price reviews conducted by a third party.
Regulated Tenancies can also be passed on to family members included spouses and civil partners in some cases.
Regulated Tenancies have been replaced by the Assured Tenancies under the Housing Act 1988, but Regulated Tenancies already in existence continue to have the same protection as before.
A Release Clause is a provision in a contract that allows a party to terminate an agreement under certain conditions.
Rent is the payment made periodically by a tenant to a landlord in exchange for use of a property.
Rent Assessment Committees are independent bodies established under the Rent Act 1977.
One of their functions is to assess the fair rent for certain properties with forms of protected tenancies.
The function of a Rent Officer is to determine an appropriate rent for properties tenanted under protected or statutory tenancies.
Rent officers are typically employed by Local Councils.
A Rental Agreement is a contract between a landlord and tenant outlining terms for renting a property.
Also known as a Capital and Interest Mortgage, a Repayment Mortgage is a where the borrower repays both the principal and interest over the term of the loan.
Repossession is the process by which a lender will take possession of a property when the borrower fails to make mortgage payments.
Repossessions are normally carried out prior to the lender selling the property to recover the principle sum.
A Reserve Price is the minimum price a seller is willing to accept in an auction for the sale of a property.
A Residence is a place where somebody lives.
The term is used in multiple ways with regard to UK property including 'Main Residence', 'Tax Resident', and 'Residential'.
Main Residence is the normal term for your primary home.
Tax Resident in a country means that you live and earn in that country for the majority of a tax year and therefore will be taxed there.
Residential is a generic label for all property in which people live.
Residential property is a label applied to all land and property whose primary purpose is housing or homes.
Non-Residential property can be zoned as Commercial, Industrial or Agricultural.
The Residential Property Surveyors Association (RPSA), is a not-for-profit organisation and the largest professional association representing independent specialist residential surveyors. Recognised by the Department for Levelling Up, Housing and Communities for reporting on the condition of residential properties on behalf of homebuyers.
https://www.gov.uk/government/organisations/ministry-of-housing-communities-local-government
Return on Investment is a financial metric used to measure the profitability of an investment by comparing the net profit or gain from the investment to its cost, expressed as a percentage.
The formula for ROI as a percentage is: (Gain from Investment / Cost of Investment) multiplied 100).
Right of Way is the legal right to pass through someone else's property.
Right to Buy (RTB), is a scheme that allows tenants of Council Housing to purchase their property at a discounted price.
Right to Rent is the requirement for landlords to check tenants' immigration status before renting to them.
The Royal Institution of Chartered Surveyors (RICS), is a professional body for surveyors setting and overseeing standards in property valuation, management, and surveying.
An RICS Survey is a property survey carried out by a RICS-certified Surveyor, ensuring a standard analysis of the condition of a property.
Royal Mail Group Limited, operating as Royal Mail, is a British postal and courier company owned by International Distribution Services . It manages two main brands: Royal Mail, which handles letters and parcels, and Parcelforce Worldwide, which specialises in parcel delivery.
In 1516 Henry VIII created the position of 'Master of the Posts' which by 1710 had been renamed as 'Postmaster General' The crown operated a publicly available postal service through these offices from 1635 during the reign of Charles I.
In September 2013 a new holding company, Royal Mail plc, was established in anticipation of its initial public offering on the London Stock Exchange. The company's listing happened on the London Stock Exchange on the 15 October 2013.
In 2022 Royal Mail plc was renamed International Distribution Services, of which Royal Mail Group Limited remained a wholly-owned subsidiary.
In April 2025, International Distribution Services was acquired by EP Group, a Czech-based company owned by Daniel Křetínský, making this the first time in which the 508-year-old postal service has come under foreign ownership.
The Sale of a property describes the transfer of ownership from one party to another. The party selling is known as the seller or vendor and the party buying as the buyer.
Sale Agreed in England & Wales defines the period between agreeing to a property transaction and exchanging contracts.
This period or state can also be known as Sold Subject to Contract or Under Offer.
Until the Exchange of Contracts, no legally binding agreement has been reached and either party may withdraw.
The Standard Assessment Procedure Score, otherwise known as the SAP Score is a measure of energy efficiency published on an EPC certificate.
The SAP Score ranges between 1 and 100. A higher SAP score indicates lower energy costs and better efficiency.
Property searches, also known as Conveyancing Searches, are enquiries made by a solicitor or conveyancer to various Local Authorities and other organisations to gather information about a property before a purchase, helping identify potential issues that could impact the buyer.
A 'Section 21 Notice to Quit', also known as a "no-fault" notice, is a notice served by a landlord to a tenant, initiating the process to end an Assured Shorthold Tenancy without needing to provide a reason for seeking possession.
A 'Section 8 Notice to Quit', is a notice served by a landlord to a tenant, initiating the process to end an Assured Shorthold Tenancy typically used when the tenant has breached the terms of the tenancy agreement or when specific grounds for possession apply, as outlined in the Housing Act 1988.
Security is a general term used to describe cash or some other asset used to guarantee an agreement such as a Tenancy Agreement or a loan or mortgage.
In the event of the secured party defaulting on the agreement, the cash or assets used as security can be used to reimburse the other party.
A Seller also known as a Vendor, is a person or company that sells or is in the process of selling an asset.
A Semi-Detached House is a house which adjoins one other house on one side and therefore sharing a common dividing wall.
Also known as a Maintenance Charge, a Service Charge normally refers to a fee paid by leaseholders for the upkeep of communal areas or building services in a shared building.
A Share of Freehold describes the arrangement where a leaseholder owns a share in the entity which owns and manages the freehold for their building.
The remaining share or shares are typically owned equally by the other leaseholders in the building.
Shared Ownership is a scheme where a buyer purchases a share of a property and rents the remaining share from a Housing Association.
Typically the rental agreement provides for some mechanism for the buyer to purchase the remainder of the property over time.
A Snagging Survey is used to identify defects or unfinished work in a newly built property.
As a result of a snagging survey, a Snag List is produced which itemises the small works and fixes which the builder has to complete.
Also known as Council Housing, Social Housing is public housing built by Local Authorities.
Sold Subject to Contract in England & Wales defines the period between agreeing to a property transaction and exchanging contracts.
This period or state can also be known as Sale Agreed or Under Offer.
Until the Exchange of Contracts, no legally binding agreement has been reached and either party may withdraw.
Sole Agency describes the arrangement between the vendor of a property and their chosen estate agent where the agent will solely market the property for a fixed period of time (typically a number of weeks).
During this term, should the vendor sell the property through another estate agent, the sole agent may still be due their fee.
Sole Agency differs from Sole Selling Rights in that where an agent has Sole Selling Rights, their fee may be due even if the vendor sells the property to a family member.
The Property Ombudsman do state that estate agents should, as a matter of practice, warn the seller of the difference between a sole agency and sole selling rights prior to signing a contract.
Sole Selling Rights describes the arrangement between a property vendor and typically an estate agent where the agent is the only party who can negotiate the sale of the property.
This differs from Sole Agency insofar as that describes an arrangement where the agent is the only agent who can negotiate the sale of the property.
The Property Ombudsman do state that estate agents should, as a matter of practice, warn the seller of the difference between a sole agency and sole selling rights prior to signing a contract.
A Solicitor is a legal professional qualified to advise and deal with most legal affairs including property transactions, wills and general contract work.
Stamp Duty is a tax on property transactions in England and Wales, and is calculated as a percentage of the purchase price.
Standard Security is a Scottish legal term to describe the rights over a property granted to the lender when a mortgage is secured on that property.
Under the Standard Security, the lender has the right to seize the property to recover their losses if the borrower defaults.
In England and Wales this is known as a 'Charge' on the title.
The Standard Variable Rate (SVR), is the interest rate set by a lender for a mortgage or loan that can vary over time.
Also known as a 'Heads of Terms', a Statement of Terms is a non-binding document outlining the key terms agreed on before drafting a formal contract.
Also known as a HomeBuyer Level 3 Survey, a Structural Survey is a thorough examination of a property's structure and condition and is often recommended for older properties.
Student Accommodation is housing designed or adapted for students, including purpose-built halls of residence and private rentals, which can be managed by universities, private companies, or other organisations.
Subject to Conclusion of Missives is a Scottish legal term which indicates that what follows or precedes the sentence is still subject to contractual negotiations.
Subject to Contract is a legal term which indicates that what follows or precedes the sentence is still subject to Contractual negotiations.
Subletting is a specific type of Parting with Possession where the tenant grants a separate tenancy to a subtenant, who then has the right to occupy the premises.
Many tenancy agreements include clauses prohibiting tenants from subletting or Parting with Possession without the landlord's consent.
A Survey is an inspection of a property to assess its condition, often part of the process when buying or renting a home.
A professional who inspects properties for structural integrity and condition is called a surveyor.
A Surveyor is any professional who conducts a survey.
In the UK, residential property surveyor most commonly means a Chartered Surveyor who among other functions, provide analysis of property prior to purchase.
To become a Chartered Surveyor, or a Chartered Building Surveyor or Chartered Quantity Surveyor, the Royal Institute of Chartered Surveyors (RICS) requires a candidate to pass their professional exam.
Only members and fellows of the RICS are permitted to call themselves “Chartered” Surveyors and to use MRICS or FRICS after their names.
Tenancy refers to the arrangement where a tenant (the renter) occupies a property owned by a landlord for a specified period under a Tenancy Agreement, also known as a Rental Agreement.
The tenant pays rent in exchange for the right to live in or use the property. Tenancies can vary in length, from short-term (like Assured Shorthold Tenancies) to longer term arrangements, and may contain different obligations and rights.
The conclusion of the Tenancy is called the End of Tenancy.
Tenancy Agreements can be verbal or oral or written into contract.
Technically in law, there is no difference between the terms "Tenancy" and "Lease". However, statutes relating to letting residential property most often use the word "Tenancy", while those regulating commercial occupancy most often use the word "Lease".
Lease is also more often used in much longer term arrangements.
Some of the more common types of standard tenancy are: Assured Shorthold Tenancy (AST), Assured Tenancy, Fixed Tenancy, Joint Tenancy, Regulated Tenancy (Also known as a Protected Tenancy) and Periodic Tenancy.
A Tenancy Agreement is a formal contract between a landlord and tenant outlining the terms of the rental arrangement.
A Tenancy Deposit, also known as a Security Deposit is a sum of money placed on deposit by the tenant to provide security over their rental agreement. Should the property be damaged or rent unpaid, the landlord can recover costs from this amount.
There are limits how large a deposit can be requested and deposits must be registered with a Deposit Protection Scheme.
The Tenancy Deposit Protection Scheme is a government-mandated scheme to protect tenant deposits.
There are two main types of scheme. The first is a Custodial Deposit Protection Scheme, where the 3rd party holds the deposit and the second is an Insurance Based Deposit Protection Scheme where the tenant or landlord retain the deposit but pay for an insurance policy to provide the protection.
Sale by Tender means a property is offered for sale through the process of sealed bids by a specific deadline.
Leases are sometimes 'Auctioned' in a similar way.
Tenure describes the legal right of ownership or right to occupy a property.
It can either be 'Freehold' where the land and property is owned outright, or 'Leasehold' where the property is leased for a fixed period from the freeholder.
A Terrace of Houses is a row of adjoined houses each sharing their dividing walls with their neighbour. The exception is at each end of the terrace where that house shares only one of their dividing walls. These exceptions are termed "End of Terrace".
Having multiple shared walls and no dividing space made terraces cheaper to build and more space efficient meaning they were very common during the Victorian housing boom.
In UK property law, "Title" refers to the legal right of ownership and possession of a property, a concept that's not a physical document but rather a bundle of rights, including the ability to sell, let, or transfer the property.
A Title Deed is a signed legal document proving ownership and describing the extent of the title.
A Title Deed is a legal document proving the legal right of ownership and possession of a property.
A Tracker Mortgage is a mortgage where the interest rate tracks the Bank of England Base Rate or another reference rate.
A Transfer Deed is a signed legal document describing the transfer of ownership of a property from one party to another.
Under Offer in England & Wales defines the period between agreeing to a property transaction and exchanging contracts.
This period or state can also be known as Sold Subject to Contract or Sale Agreed.
Until the Exchange of Contracts, no legally binding agreement has been reached and either party may withdraw.
An Unregistered Title is a property title that is not officially recorded with the Land Registry, usually due to being inherited or older.
A valuation is an official estimate of the value of a property.
A property valuation must be carried out by a chartered surveyor whereas any competent professional can perform a market appraisal.
A Valuation Survey is performed to assess the likely value of a property.
It is carried out by a chartered surveyor regulated by the The Royal Institution of Chartered Surveyors (RICS) which are the regulating body for surveyors in the UK.
Property Value is best described as the Price a property will likely sell or let under normal circumstances.
Any two parties can agree to sell or let a property for any price they please but the value could be considered as the price at which many people would agree to sell or let the property.
There are several commonly used variants which include 'Market Value', 'Open Market Value' and 'Advised Minimum Value' but they ultimately mean the same thing.
Determining the value of a property is not straightforward as unlike other assets, property does not sell or let often and is often different to its immediate neighbours.
While any competent professional can provide a market appraisal for a property, only an RICS surveyor can determine the value.
A Value Estimate is an estimate of property Value based on the data available.
A Bricks&Logic Value Estimate is created by analysing all the publicly available data from the area surrounding the target property. This publicly available data comes from sources such as the Land Registry, Ordnance Survey and the EPC Database amongst others.
We combine this information with data provided by Bricks&Logic Partner Agents to produce the most accurate estimate possible.
A Value Estimate differs from an Appraisal in that normally an appraisal requires a visit to the target property and from a Valuation as that can only be provided by an Royal Institution of Chartered Surveyors surveyor.
A Variable Rate Mortgage is a mortgage where the interest rate fluctuates according to market conditions.
A Vendor also known as a Seller, is a person or company that sells or is in the process of selling an asset.
A Verbal Agreement is a legally binding agreement or Contract between two parties which is not documented and was agreed verbally.
Naturally, these agreements are difficult to prove and are normally not advised.
Tenant Vetting is the process of assessing a tenant's suitability, usually through background checks and references.
A Property Viewing is a physical inspection or tour of a property, normally to assess it's suitability for rent or purchase.
A Virtual Tour, or Virtual Viewing, is an online tour of a property. It is often used when a physical visit or viewing is not possible.
A Void Period is a length of time when a property is unoccupied and no rental income is received.
Building warranties are guarantees provided by builders or developers.
They are normally provided on new build properties or new renovations.
White Goods is a term used to denote the utility appliances normally found in homes. Examples of which are fridges, freezers or washing machines.
A Will is a legal document in which a person declares their intention as to what should happen to their estate after their death.
If no Will is made upon a persons passing the government decides how the estate is divided up using Laws of Intestacy.
A property is Withdrawn when it has been removed from the market after being listed for sale or rent.
A Writ is a formal written order from a court.
Rental Yield is the return on investment from a property, and is typically expressed as a percentage of either the purchase price or the current value.
Yield is normally stated as either gross or net.
- Gross Yield is the total income in one calendar year divided by the price paid or current property value
- Net Yield is the Gross Yield reduced by the costs of renting out the property such as estate agent fees, repairs and other costs like insurance, rates or service charges.
Zoning is the act of designating land into different areas designed for different purposes, such as residential or commercial development.
Central government has overall responsibility for national planning policy but local planning decisions are normally made by local councils.
