“Who’s on First?” — RE Edition
It’s not quite as confusing as Abbott and Costello’s “Who’s on First?” routine . . . but it’s not exactly clear either. Hopefully, the following definitions shed a little light on real estate’s most confusing terms.
“Buyer’s Agent”: the agent who represents the Buyer.
“Listing Agent”: the agent who represents the Seller.
“Selling Agent”: what the Buyer’s agent is called after the deal has closed.
“Sold sign” (in front of house): actually means “Pending.” Once the house has sold — i.e., title has transferred — the sign is removed and the home becomes a “closed” sale.
“Pending”: a home that is under contract, but hasn’t closed yet.
“Sold, subject to inspection“: precedes “Pending” status. Once any inspection issues have been resolved, the home becomes “pending.”
“Broker”: the company who the Agent or Realtor (synonyms) works for. Some are franchises, like RE/Max, others are not (Edina Realty).
“Preview”: when a Realtor tours a home without a client along.
“Showing“: when a Realtor tours a home with their client(s).
“Median Sales Price”: middle value in a group. For example, if a $200k, $250k, $275k, $400k and $2M home all sell, the median sales price is $275k.
“Average Sales Price”: in the previous example, the average sales price is $625k.
“Condo“: an apartment that is owned.
“Highest and Best“: Highest offer, best terms.
“Traditional sale“: a normal or routine sale (vs. one that’s “lender-mediated,” i.e. a bank — or many banks — are involved).
S&P/Case-Shiller methodology: a complete mystery to everyone but them (but widely cited nonetheless).
If you want to know what a short sale is . . . call me (the term’s a complete misnomer; personally, I prefer the term, “long sale”).