1. In appraising, the methods used to measure decreases in the value of an improvement which generally are the annuity, the sinking fund and the straight-line methods. 2. In accounting, the methods by which capital impairment is computed are the declining balance and variations thereon such as weighted rate and accelerated.
The periodic amount or percentage at which the usefulness of a property is used up and especially referring to the percentage at which amounts are computed to be set aside as an accrual for future depreciation.
In real estate, the part of the deed, mortgage, trust deed, etc., that is used to locate the boundaries of real property.
The party selected to represent a principal/client in a designated agency office. Designated agency has been legislatively created in many states, allowing the management of a brokerage to establish an office policy, whereby the managing broker appoints, or designates, a licensee associated with that brokerage to act as the exclusive agent of a principal/client, buyer or seller. No other licensee in the brokerage has an agency relationship to represent that principal/client.
A residential dwelling unit which is surrounded by freestanding walls and is sited on a separate lot. See Duplex, Row house, Townhouse.
A worsening of the condition of a property.
An appraisal method used to value raw land wherein an appraiser locates comparable improved property with a known value and then deducts the cost of the improvements to arrive at the value of the raw land. The appraiser or investor estimates the gross sales of the developed lots and then deducts the costs of development and expenses. The remainder indicates the present value of the land after allowing for the time involved..
The costs that are readily identified in the construction of real estate namely labor, materials, and contractor’s overhead and profit. Also known as Hard Costs. See Indirect costs. Example: Direct costs for an apartment building were S2 million: indirect costs, such as architects fees, interest during construction, and builder’s overhead and profit allowance, totaled S500,000.
A loan secured by real estate which is to be repaid by periodic, usually equal, amounts that include part of the principal plus interest due on the unpaid balance..
To reject or to withdraw a consent once given or to deny the intention of being bound by an previous or earlier transaction.
