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Real Estate Glossary
Our glossary is the largest dictionary of real estate and construction terms on the Internet with almost 10,000 definitions.
- Legally revising the provisions, terms or conditions of a contract.
- Renegotiated Rate Mortgage (RRM)
- This fixed rate mortgage expires at pre-established times, which allows for renegotiation of the terms of the mortgage. Also referred to as a rollover mortgage, this mortgage comes due in a balloon payment, which may be paid or refinanced at current rates.
- Renewal Option
- A right without any obligation, of a tenant to continue a lease at a specified term and rent.
- General term to cover changes and upgrading of an existing property.
- Renovation Cost
- Total amount expended to change or upgrade an existing property.
- Amount paid from a tenant to a landlord for the use of property.
- Rent Loss Insurance
- Policy covering any loss of rent or rental value in the event that damage renders the property uninhabitable.
- Rentable Area
- Floor space in a building that is actually under lease and able to be rented to tenants. Non-leasable space would be hallways, building foyers, areas devoted to utilities, elevators, etc. Also referred to as net leasable area.
- Rental Agency
- Business that aids a tenant in finding the best rental property or a landlord to find a good tenant.
- Rental Concession
- Discounts and reduction in rental charges to attract new tenants or to keep present ones. Concessions may also be in the form of some free rental or a large allowance to adapt the space to the needs of the tenant. High occupancy will induce a large retailer to relocate or a bank to offer better financing.
- Rental Contract
- A lease. A contract providing for the payment of rent by the lessee to the lessor, for the use of real property for a stated time period.
- Rental Rate
- Periodic charge for each rental unit for a specified period of time.
- Rental Value
- Valuation of the worth of a rental property by considering the net income derived from the property and a capitalization rate.
- Rent Bid Model
- Model based on an assumption that space should be controlled by the activity that offers the highest bid. Maximizes usefulness.
- Rent Control
- Governmental policy, which governs the rate that may be charged to tenants for space rented.
- Rent-Free Period
- That portion of the term of a lease where no rent is required, usually as part of a concession.
- Rent Escalator
- Lease provision, which allows the landlord to raise the rental rate to account for inflation or higher interest rates.
- Rent Multiplier
- Method used to compute the price of an income-producing property by dividing the asking or market price of the property by the current gross rental income. If the current gross rental income is $30,000 and the asking price is $300,000, the gross income multiplier is 10. Also referred to as Gross Rent Multiplier.
- Rent Roll
- List of tenants including the lease rent and lease expiration date.
- Rent-Up Period
- Amount of time needed to fully occupy newly constructed properties.
- Renter's Insurance
- Policy for renters, which covers their possessions.
- Real estate owned. Property acquired by a lender, through foreclosure, which is held as inventory.
- The changing of the market appeal of a property.