An easement in gross is an agreement between a landowner and another party that grants the party the right to use the land for a specific purpose. The easement is not attached to the land, and so it is not transferable to another party. The easement can be for a specific activity, such as the … Read more
Section 1231 gain is the profit realized from the sale of property that has been held for more than one year. This type of gain is taxed at a lower rate than ordinary income, making it an attractive option for investors looking to maximize their profits. To qualify for the reduced tax rate, the property … Read more
Emblements are a type of real property that refers to crops that have been planted, but not yet harvested. The term is most often used in reference to farm land, but can technically apply to any land on which crops are grown. Emblements are considered personal property, as opposed to real property, because they are … Read more
What is an encumbrance? An encumbrance is a legal claim or right against property that may reduce its value or burden its owner. For example, a mortgage is an encumbrance on a house. What is another name for a financial encumbrance? The most common type of financial encumbrance is a mortgage. What is the difference … Read more
Smart Homes: Definitions, How They Work, Pros and Cons How is IoT used in smart homes? IoT technology is used extensively in smart homes, and its applications are growing every day. Here are some of the ways that IoT is used in smart homes: Smart thermostats: A smart thermostat can save homeowners money on their … Read more
Private equity real estate (PRE) refers to a type of investment in the real estate industry that is not publicly traded on a stock exchange. Private equity real estate funds are typically raised by large institutional investors, such as pension funds, insurance companies, and endowments, and are managed by experienced real estate investment professionals. PRE … Read more
An aggregator is a real estate investing term used to describe a company or individual that collects and manages a portfolio of properties on behalf of other investors. Aggregators typically work with a large number of investors and aim to provide a hands-off investing experience. The term “aggregator” is used to describe a company or … Read more
The income approach to valuing real estate is based on the premise that the value of a property is equal to the present value of its future net cash flows. In other words, the value of a property is equal to the sum of all its future cash flows, discounted at an appropriate rate. There … Read more
A title binder is a document that proves that the person named in the document holds the title to a piece of property. The document is signed by the title holder and a witness, and it is dated. The title binder also includes the name of the property, the address, the legal description, and the … Read more
The word “viager” is derived from the Latin word “viaticus”, meaning “of or pertaining to a journey”. In the context of real estate investing, a viager is a type of property ownership arrangement whereby the owner agrees to sell the property at an agreed upon price, but only after the death of the purchaser. The … Read more
