Real Estate Jargon, Translated
Every industry hides behind its own vocabulary, and real estate is fluent in it. Here are the terms that trip up buyers and sellers most often, said plainly.
Term | What it actually means |
|---|---|
Contingency | A condition that must be met, like financing or inspection, or the deal can be cancelled. |
Escrow | A neutral third party that holds money and documents until both sides keep their promises. |
Earnest money | A good-faith deposit that shows the seller you are serious about following through. |
Appraisal | A lender’s independent estimate of value, used to confirm the home is worth the loan. |
When a term feels designed to confuse you, ask for it in one sentence. A good agent should never make you feel small for not speaking the language yet.
