Appraisal
An agent's view of the reasonable selling expectation of a property, it is not a valuation.

Auction
Real Estate that is sold to the highest bidder, subject to any reserve price decided by the owner..

Body Corporate
The administrative body made of the owners of a group of units or apartments of a strata building.

Bond
With residential properties, any security received by a landlord (or his/her agent) against failure by a tenant to comply with any terms or conditions of a lease (lodged with the rental bond board and subject to the provisions of the act).

Bridging Loan
A short term loan used to cover the financial gap between buying and selling.

Building Inspection
A thorough inspection by a licensed builder that evaluates the structural and mechanical condition of the property.

Buyers Market
When the demand for property is less than the supply of property the advantage shifts to the buyer.

Caveat
A warning on the title that a third party may have an interest in the property.

Certificate of Title
A description of a property that includes the name of the registered owner and any encumbrances such as mortgages and easements. Included in the contract of sale prepared by the solicitor.

Commission
A proportion of the sale price (generally a percentage) of a property paid to real estate agent for negotiating the sale.

Common property
Areas in strata-title properties shared by owners

Company title
The title gives you legal ownership over a piece of property and also gives you a share in the company set up to look after the common areas of the flats or units you live in.It does not include air space.

Contract of Sale
An agreement in writing that details the terms and conditions in regards to the sale or purchase of a property.

Conveyance
Legal instrument by which land or interest in land change ownership.

Cooling Off Period
The buyer pays a deposit of .25% of the purchase price giving the buyer a cooling off period of 5 working days. Within this time the buyer can withdraw from the contract (sale) forfeiting their .25% deposit. As a buyer you cannot be gazumped during the cooling off period.

Covenant
Terms, conditions and restrictions noted on the title.

Deposit
A payment made by a purchaser or tenant, in good faith, to the agent towards securing a property. It can also specifically refer to the 10% of purchase price paid to seal an exchange of contracts for the purchase of a property.

Easement
A right that someone has to use the land that belongs to another. An example is a water authority having a sewerage easement.

Encroachment
Part of a building, fence or overhang incorrectly erected on or over the land of another (established by the survey).

Encumbrance
Any type of disability or burden that affects land (crown reservations, easements, mortgages, covenants or restrictions-generally recorded on the title).

Exclusive Authority
A written contract that gives one real estate agent the exclusive right to sell a property in a specific time period.

Exchange of Contracts
The point at which signed contracts are physically exchanged, legally committing the buyer and the seller to the purchase and sale of a property at an agreed price.

Existing use right
A use which does not conform with the current zoning, but which was previously a legal use and so retains the right to continue such use.

Fittings
Objects that can be removed from a property without causing damage.

Gazumping
Gazumping occurs when a seller accepts a buyer’s offer and verbally agrees to sell the property to that buyer but later sells the property to another buyer offering to pay more.

Inclusions
Any removable item(s) that the vendor has agreed will be included in the sale and listed on the sales contract.

Investment
The purchase of an asset, such as real estate with the ultimate goal of producing capital gain on the resale of the asset.

Joint Tenancy
A form of co-ownership that gives each tenant equal shares in the property, if one person dies, their share passes to the survivor/s.

Lease
The right to exclusive possession for a period on the payment of rent or other consideration.

Listing
A written contract between an owner and a real estate agent, authorizing the agent to perform services for the sale of the owners property.

Market Value
The price or rent that is achievable in the general marketplace, it is greatly influenced by the interaction of supply and demand and the market assessment of the highest and best potential use that the land can attain.

O.F.I.
Open for inspection. An agents advertisement inviting the general public to inspect a property for sale or lease.

Offer
A sum of money that a buyer offers to pay for a property, the offer may be firm (no conditions attached) or conditional (certain conditions apply).

Old system title
A type of land-holding based on a series of transactions going back to a good root of title.

Passed In
The highest bid fails to meet the reserve price of a property at auction and therefore does not sell.

Private Sale
Where the owner undertakes the selling of a property without the help of an agent.

Private Treaty
The sale of a property through a real estate agent by negotiation.

Reserve Price
The minimum price which a seller will accept at auction.

Right of way
Right of access across a property.

Sellers Market
When the demand for property is more than the supply of property the advantage shifts to the seller.

Semi - detached
Two building joined by a common wall.

Settlement
The completion of sale when balance of contract price is paid to the vendor and the buyer is legally entitled to take possession of the property.

Stamp Duty 
A State Tax on conveyance or transfer of real property calculated on the total value of the property.

Strata title 
The subdivision of land and buildings into individual strata lots which can be sold separately.

Survey 
Process of establishing the extent of the land and buildings on the land, particularly in relation to adjoining properties.

Tenants in common 
Tenancy in common is the holding of property by two or more persons, either equal shares or unequal shares. If one person dies, the property is dealt with in accordance with the law.

Title
Recording ownership and any encumbrances.

Title search
The process of examining the land title to ensure the vendor has the right to sell and therefore transfer ownership.Title search details the names of the owners and other information regarding the property ie encumbrances or caveats on the title.

Torrens title
A system for the state governmentregistration of the ownership a defined area of land and noting the restrictions thereon.

Transfer
Submitted only to the land titles office. Document registered in the land titles office recording change of ownership of a property.

Trust account
A bank account into which an agent must pay all moneys received on behalf of another person.

Unencumbered
Property free of covenants or other restrictions.

Valuation
A written analysis of the estimated value of the property prepared by a registered valuer.

Vendor
The seller, the owner of a property for sale.

Zoning
Local authority guidelines for the permitted use of the land.