NY Real Estate key terms

The most complete form of property ownership, giving the holder unrestricted rights to use, sell, lease, or pass the property to heirs, subject only to government powers and private restrictions.

Ownership lasting only for the lifetime of a named person. The life tenant may use the property but generally cannot permanently diminish its value; ownership passes to a remainderman afterward.

A doctrine allowing a person who openly, notoriously, exclusively, and continuously occupies another person's land for the statutory period to acquire legal title, provided the possession is hostile to the owner's interest.

Housing in which a corporation owns the building and residents buy shares in the corporation plus a proprietary lease for their unit. Board approval is typically required before a purchase.

Ownership of an individual unit plus an undivided interest in common areas. The owner receives a deed, pays common charges, and the unit is generally easier to finance and transfer than a co-op.

A written employment contract between a property owner and a broker that authorizes the broker to market the property and sets the term, compensation, and type of agency.

A listing agreement giving one broker the right to earn a commission no matter who produces the buyer during the listing period, including the owner. It provides the strongest broker protection.

A written agreement in which a buyer hires a broker to represent the buyer's interests, defining the duties, term, geographic area, and how compensation will be paid.

The legal duties an agent owes a principal, commonly including loyalty, obedience, disclosure, confidentiality, reasonable care, and accounting. These duties are owed to the client, not to customers.

A situation where one broker represents both buyer and seller, or both landlord and tenant, in the same transaction. New York permits it only with informed written consent of all parties.

A form of dual agency in New York in which the broker assigns one salesperson to represent the buyer and another to represent the seller, with written consent and confidentiality between the designated agents.

A written notice, required in New York residential transactions, explaining whom the licensee represents and when, so consumers understand the broker's role before confidential information is shared.

The basic contract formation process: one party makes a definite proposal and the other accepts it on the proposed terms, creating a binding agreement if consideration and capacity are present.

A legal rule requiring certain contracts, including real estate sales and leases over one year, to be in writing and signed by the party to be charged to be enforceable.

A written agreement between buyer and seller setting the price, closing date, contingencies, title terms, and other conditions for transferring real property.

A deposit a buyer gives toward the purchase price to show good faith. It is usually held in escrow and may be retained by the seller if the buyer defaults without a valid excuse.

The written legal instrument that transfers title to real property from a grantor to a grantee. It must identify the parties and property and be delivered and accepted.

A common New York deed transferring the grantor's interest without promising clear title, though it may include a covenant against the grantor's own acts.

An insurance policy protecting the owner or lender against losses from title defects, liens, or claims existing before the policy date, based on a title search.

The borrower's written promise to repay a loan at a stated interest rate, term, and payment schedule. It is separate from the mortgage, which secures the promise.

A written security interest in real property given by a borrower to a lender, allowing the lender to foreclose if the loan is not repaid according to the note.

A legal claim against property securing payment of a debt or obligation. Liens can be voluntary, such as a mortgage, or involuntary, such as tax or judgment liens.

The legal process by which a lender enforces a mortgage or lien and sells the property, often at auction, to recover the unpaid debt after borrower default.

A neutral arrangement in which funds or documents are held by a third party until contractual conditions are met, such as a deposit held until closing.

The final settlement of a real estate transaction, where the deed is delivered, funds are disbursed, documents are recorded, and the buyer receives title and keys.

The principle, enforced by federal, state, and local law, that people must have equal access to housing without discrimination based on protected characteristics in sale, rental, advertising, and financing.

A group of people given legal protection from housing discrimination, such as race, color, religion, sex, national origin, familial status, disability, and additional state or local categories.

The illegal practice of guiding prospective buyers or renters toward or away from neighborhoods based on protected characteristics, limiting their housing choices and reinforcing segregation.

An illegal practice of persuading owners to sell quickly by suggesting that members of a protected class are moving into the neighborhood and will lower property values.

The illegal practice of refusing or limiting loans, insurance, or other services in specific neighborhoods based on race, ethnicity, or other protected characteristics rather than creditworthiness.

New York's anti-discrimination statute, enforced by the Division of Human Rights, which prohibits housing discrimination and adds protected categories beyond federal fair housing law.

The article of the New York Real Property Law that governs real estate brokers and salespersons, including licensing, supervision, agency disclosure, and disciplinary rules.

The New York agency that licenses and regulates real estate brokers and salespersons, administers exams, investigates complaints, and may impose discipline.

A New York license allowing an individual to perform real estate brokerage activities only under the supervision of a licensed broker, after completing education and exam requirements.

A person who holds a New York broker license but works under another broker and may supervise salespersons, while the employing broker remains responsible for the office.

A New York disclosure form in which a seller of residential property answers questions about known defects and conditions; failure to provide it may give the buyer a statutory credit.

A New York system limiting rent increases and regulating renewal terms for certain apartments, administered by state housing agencies and tied to building eligibility.

A landlord's legal promise that residential premises will be kept fit and safe for human habitation, covering essential services such as heat, water, and repairs.

Money a tenant gives a landlord to cover possible damage or unpaid rent, held under New York rules that limit its amount and require return with an itemized statement.

A disclosure document filed with the New York Attorney General for co-op or condo sales, containing the building's finances, bylaws, and risks for prospective purchasers.