| Call option |
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| A clause in a loan agreement that allows a lender to ask for the balance at any time. |
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| Can lights |
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| Cylindrical chambers with bulbs recessed into the ceiling. |
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| Cancellation clause |
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| A clause that details the conditions under which each party may terminate the agreement. |
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| Cantilever |
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| A projecting structure supported on one end, such as a balcony. |
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| Cap |
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| A limit on the amount the interest rate or monthly payment can increase in an adjustable-rate mortgage. |
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| Cape Cod style |
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| A wood-frame or shingled house with a steep roof and several windows projecting from the second floor. |
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| Capital |
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| Money used to create income, such as funds invested in rental property. |
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| Capital expenditure |
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| The cost of making improvements on a property. |
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| Capital gains |
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| Profits an investor makes from the sale of real estate or investments. |
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| Capital gains tax |
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| A tax placed on the profits from the sale of real estate or investments. |
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| Capital improvement |
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| Any improvement that extends the life or increases the value of a piece of property. |
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| Capitalization |
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| A mathematical formula that investors use to compute the value of a property based on net income. |
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| Capitalization rate |
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| The percentage rate of return estimated from the net income of a piece of property. |
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| Caravan |
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| A group of real estate agents who tour a house that has been recently listed for sale. |
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| Carport |
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| A roof that covers a driveway or other parking area. |
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| Casement window |
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| A window hinged on its sides to allow it to swing open vertically. |
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| Cash flow |
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| The amount of cash a rental property investor receives after deducting operating expenses and loan payments from gross income. |
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| Cash-out refinance |
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| The refinancing of a mortgage in which the money received from the new loan is greater than the amount due on the old loan. The borrower can use the extra funds in any manner. |
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| Cashier's check |
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| A check the bank draws on itself rather than on a depositor's account. |
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| Cathedral ceiling |
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| A high open ceiling formed by finishing exposed roof rafters. |
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| Caulk |
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| An acrylic or silicon sealant used to fill cracks, crevices and holes in a home. |
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| Caveat |
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| A formal notice, that asks a court to suspend action until the party which filed the challenge can be heard. |
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| Caveat emptor |
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| A legal principle derived from Latin than means "let the buyer beware." |
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| Cavedium |
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| A courtyard or atrium. |
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| Ceiling height |
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| The standard height of a ceiling is eight feet. |
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| Central air conditioning |
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| A device that generates cold air through an outside unit that is connected to ductwork inside the house. |
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| Central business district |
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| The area of a city where most large businesses are located. |
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| Certificate of Deposit (CD) |
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| A document which shows that the bearer has a specified amount of money on deposit with a bank, stock-brokerage firm or other financial institution. |
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| Certificate of deposit index |
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| An index based on the interest rates on six-month CDs. It used to determine the interest rate for some adjustable-rate mortgages. |
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| Certificate of eligibility |
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| A document issued by the Veterans Administration that verifies the eligibility of a veteran for a loan program. |
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| Certificate of occupancy |
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| A document which states that a home or other building has met all building codes and is suitable for habitation. |
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| Certificate of sale |
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| A document issued at a judicial sale, which entitles the buyer to receive a deed after court confirmation of the purchase of the property. |
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| Certificate of title |
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| A written opinion on the status of a piece of property based on an examination of the public record. |
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| Chain of title |
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| The official record that details the ownership history of a piece of property. |
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| Chair railing |
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| Decorative trim installed on a wall about 32 inches above the floor, which protects against scuffs from furniture. |
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| Change frequency |
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| The adjustment schedule on an adjustable-rate mortgage. |
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| Change order |
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| A modification of the construction contract to authorize a change in the work, an adjustment in the amount of the contract or a change in the contract time. The owner, architect and contractor must sign the change. |
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| Chattel |
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| Personal property such as furniture, clothing or a car. |
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| Chattel mortgage |
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| A lien on personal property used as collateral for a loan. |
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| Chimney back |
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| The back wall or lining of a fireplace or furnace chimney. |
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| Chimney flue |
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| The passage inside a chimney that channels smoke and heat to the outside. |
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| Chimney pot |
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| A short pipe at the top of a chimney that increases ventilation to the fireplace and reduces smoke. |
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| Cinder block |
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| A block made of ash and cement that is used in construction. |
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| Cinder fill |
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| Cinders used below a basement or around a foundation to promote drainage. |
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| Circuit breaker |
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| An electric fuse that activates or deactivates a circuit. |
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| Cistern |
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| A tank used to store rainwater. |
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| Classified property tax |
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| A tax that varies in rate depending on the use of the property. |
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| Clear title |
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| A property that does not have liens, defects or other legal encumbrances. |
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| Closing |
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| The final procedure in which documents are signed and recorded, and the property is transferred. |
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| Closing costs |
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| Expenses incidental to the sale of real estate, including loan, title and appraisal fees. |
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| Closing statement |
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| A document which details the final financial settlement between a buyer and seller and the costs paid by each party. |
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| Cloud on title |
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| An invalid encumbrance on real property. |
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| Cluster development |
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| A method of squeezing more homes into less space. |
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| Co-housing |
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| Individual housing units that are clustered around a common building where residents share cooking and other activities. |
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| Co-insurance |
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| Coverage that involves the use of two or more insurers.. |
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| Co-maker |
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| A person who signs a promissory note with the borrower and assumes responsibility for the loan. |
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| Co-signer |
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| A second party who signs a promissory note and takes responsibility for the debt. |
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| Codicil |
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| A change to a will that adds or subtracts provisions or clarifies portions of the document. |
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| Coign |
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| The cornerstone of a building that differs in shape or color from the rest of the wall. |
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| Collar beam |
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| The structural element that connects roof rafters. |
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| Collateral security |
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| Additional security that a borrower supplies to obtain a loan. |
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| Collection |
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| The series of steps a lender takes to bring a delinquent mortgage up to date. |
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| Collusion |
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| The action of two or more people to break the law. |
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| Colonia |
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| Unincorporated communities along the U.S.-Mexico border. |
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| Column |
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| A slender upright structure that consists of a base, a round or square shaft and a capital. |
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| Column footing |
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| The support base for a load-bearing column. The footing is usually made of reinforced concrete. |
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| Combination door |
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| An outer door with interchangeable screen and glass panels. |
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| Combination window |
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| A window with interchangeable screen and glass panels. |
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| Commercial bank |
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| A financial institution that provides a broad range of services, from checking and savings accounts to business loans and credit cards. |
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| Commercial property |
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| An area that is zoned for businesses. |
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| Commingling |
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| The mixing of money held in trust with other funds. |
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| Commission |
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| The negotiable percentage of the sales price of a home that is paid to the agents of the buyer and seller. |
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| Commitment |
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| A promise by a lender to make a loan with specific terms for a specified period. |
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| Commitment fee |
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| The fee a lender charges for promising to make a loan. |
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| Common area |
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| An area inside a housing development that is owned by all residents. |
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| Common law |
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| A body of laws based on custom, usage and rulings by courts in various jurisdictions. |
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| Common-area assessments |
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| Fees paid by the owners of a condominium project or planned-unit development to maintain, repair, improve or operate common areas. |
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| Common-interest development |
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| A project composed of individually owned units that share usage and financial responsibility for common areas. |
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| Community Reinvestment Act |
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| A federal law that encourages financial institutions to loan money in the neighborhoods where minority depositors live. |
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| Community property |
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| Property accumulated through the joint efforts of husband and wife. It is a classification of property peculiar to certain states. |
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| Commute |
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| The distance and time it takes a person to reach the workplace. |
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| Comparables |
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| Properties used as comparisons to determine the value of a certain property. |
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| Comparative market analysis |
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| An estimate of the value of a property based on an analysis of sales of properties with similar characteristics. |
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| Competent |
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| A term for a buyer who is legally fit to enter into a sales contract. |
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| Compound interest |
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| The interest paid on the principal balance in a mortgage and on the accrued and unpaid interest of the loan. |
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| Concrete tilt-up |
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| The process of pouring concrete into forms on the ground, allowing the forms to harden and then raising the material to a vertical position to form walls. |
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| Condemnation |
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| The process the government uses to take private property for public use without the consent of the owner. |
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| Conditional commitment |
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| A promise by a lender to make a loan if the borrower meets certain conditions. |
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| Condominium |
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| Individual units in a building or development in which owners hold title to the interior space while common areas such as parking lots, community rooms and recreational areas are owned by all the residents. |
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| Condominium conversion |
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| The change in title from a single owner of an entire project or building to multiple owners of individual units. |
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| Conduit |
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| A metal pipe that houses electrical wiring. |
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| Consent judgment |
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| A binding written agreement between two parties to have a judgment entered and recorded. |
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| Conservator |
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| A court-appointed guardian. |
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| Consideration |
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| Anything that is legal, has value and induces a person to enter into a contract. |
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| Construction budget |
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| The funding that an owner arranges for the construction of a project. |
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| Construction documents |
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| Drawings and specifications from an architect that provide detailed requirements for the construction of a project. |
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| Construction loan |
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| Short-term loans a lender makes for the construction of homes and buildings. The lender disburses the funds in stages. |
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| Construction to permanent loan |
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| The conversion of a construction loan to a longer-term traditional mortgage after construction has been completed. |
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| Consumer Credit Counseling Service (CCCS) |
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| A nationwide, nonprofit organization that helps consumers get out of debt and improve their credit profile. National headquarters: 8701 Georgia Avenue., Suite 507, Silver Springs, MD 20910. Phone: (800) 388-2227. |
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| Contemporary style |
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| A design that features streamlined shapes, large unadorned windows and industrial materials. |
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| Contiguous lots |
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| Pieces of property that are adjoined. |
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| Contingency |
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| A condition specified in a purchase contract, such as a satisfactory home inspection. |
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| Contingency listing |
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| A property listing with a special condition attached. |
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| Contingent fee |
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| A fee that must be paid if a certain event occurs. |
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| Contract |
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| An agreement between two or more parties that creates or modifies an existing relationship. |
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| Contract for deed |
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| A contract in which the seller agrees to defer all or part of the purchase price for a specified period of time. |
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| Contract to purchase |
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| A contract the buyer initiates which details the purchase price and conditions of the transaction and is accepted by the seller. Also known as an agreement of sale. |
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| Contractor |
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| The individual who contracts for the construction of a home or project. |
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| Contractual lien |
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| A voluntary obligation such as a mortgage or trust deed. |
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| Controlled growth |
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| Any restrictions imposed on the amount or type of new development in an area. |
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| Conventional loan |
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| A long-term loan a lender makes for the purchase of a home. |
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| Convertible adjustable-rate mortgage |
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| A mortgage which starts as an adjustable-rate loan, but allows the borrower to convert the loan to a fixed-rate mortgage during a specified period of time. |
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| Conveyance |
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| The transfer of title of property. |
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| Conveyance tax |
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| A tax imposed on the transfer of real property. |
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| Cooperating broker |
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| A real estate broker who finds a buyer for a property that another broker has listed. |
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| Cooperative corporation |
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| A business trust that holds the title to a cooperative residential building and grants occupancy rights to shareholders in the corporation. |
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| Cooperative mortgages |
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| Any loans related to a cooperative residential project. |
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| Cooperative project |
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| A project in which a corporation holds title and sells shares representing individual units to buyers who then receive a proprietary lease as their title. |
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| Corner bead |
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| A reinforcement placed in the corner where two walls intersect. |
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| Corner influence |
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| The effect on the value of a property because it is situated on a corner or near a corner. |
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| Cornice |
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| A horizontal molding that projects from the top of a structure or wall. |
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| Corporate relocation |
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| An arrangement by which employers pay to transfer and move employees. |
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| Corrective work |
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| Necessary or desired repairs to remedy problems uncovered by a home or specialized inspection. |
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| Cost-plus contract |
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| A construction contract that determines the builder's profit based on a percentage of the cost of labor and materials. |
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| Cottage |
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| A small, one-story house. |
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| Counteroffer |
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| A response to an offer. |
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| Covenant |
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| A legal assurance or promise in a deed or other document, or implied by the law. |
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| Covenants, conditions and restrictions (CC&Rs) |
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| Rules and regulations for a development, such as acceptable landscaping or improvements that can be made to individual units. |
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| Craftsman style |
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| An architectural style that evolved as part of the Arts and Craft movement near the turn of the century. |
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| Crawl space |
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| The space between the ground and the first floor of a home, usually no higher than four feet. |
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| Creative financing |
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| Innovative home-financing arrangements that help sell a property. |
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| Credit |
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| The money a lender extends to a buyer for a commitment to repay the loan within a certain time frame. |
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| Credit history |
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| A record of an individual's current and past debt payments. |
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| Credit life insurance |
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| Insurance that pays off a mortgage in the event of the borrower's death. |
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| Credit rating |
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| The degree of credit worthiness assigned to a person based on credit history and financial status. |
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| Credit report |
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| A credit bureau report that shows a loan applicant's history of payments made on previous debts. Several companies issue credit reports, but the three largest are Trans Union Corp., Equifax and Experian (formerly TRW ). |
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| Credit repository |
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| Large companies that gather financial and credit information from various sources about individuals who have applied for credit. |
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| Credit union |
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| Nonprofit cooperative organizations that provide banking and financial services, including mortgages, home improvement loans and home equity loans, to their members. |
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| Creditor |
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| An individual or institution to whom a debt is owed. |
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| Cross-bridging |
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| The strengthening of a structure by bracing cross members between beams. |
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| Cul de sac |
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| A street or alley that is closed at one end. |
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| Cupola |
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| A dome-like structure that sits on top of a roof. |
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| Curable defect |
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| A deficiency in a property that is easy or inexpensive to fix, such as chipping paint. |
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| Curb appeal |
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| The first impression of a house as seen from the street. |
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| Curtain wall |
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| An exterior wall that encloses a yard or other area but does not provide any structural support to a home. |
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| Custom builder |
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| A builder who constructs a home or building based on plans created by the owner. |
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| Custom home |
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| A structure designed by an architect hired by the owner. |
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| Cynic |
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| Someone who knows the cost of everything and the value of nothing. |
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