Aristocrat Title Glossary of Terms

A tenant’s written confirmation of lease terms and status in transactions involving leased commercial property.

Funds temporarily withheld after closing until agreed-upon items are completed.

Funds held by a neutral third party (such as a title company) until all transaction conditions are met.

The difference between a property’s value and the amount owed.

A report evaluating environmental conditions to identify contamination risks.

A claim, lien, or restriction on a property that may impact ownership or transferability. Examples include unpaid taxes, mortgages, or easements.

A structure extending onto another property without permission.

A legal right allowing another party to use a portion of your property for a specific purpose, such as utilities, drainage, or access. Easements remain attached to the land and can affect property use or value.

A deposit provided by the buyer to show good faith and commitment to the transaction.

The review period before closing that may include inspections, surveys, financials, and environmental reports.

Funds showing a buyer’s good-faith intent to purchase.

 A security instrument used instead of a mortgage in some states.

The legal document that transfers property ownership from seller to buyer.

A lending structure where multiple properties secure one loan or a group of loans.

 A document listing requirements and exceptions before issuing title insurance.

 A rental agreement for non-residential property with different terms than residential leases.

Any claim or issue that could affect ownership rights, such as liens, judgments, or missing signatures.

A federal form outlining loan terms, closing costs, taxes, and fees. Provided by the lender and required by law.

Fees paid at closing, including title services, lender charges, taxes, and recording fees.

The final step in a real estate transaction where documents are signed, funds are transferred, and ownership officially changes hands.

A lender approval status indicating closing can be scheduled.

A property title free from liens, disputes, or legal questions that could affect ownership. Before closing, Aristocrat Title conducts a title search to verify that a clear title can be transferred.

A chronological record of all previous owners of a property. Used to verify clean ownership history.

A valuation measure estimating return based on net operating income and purchase price.

Shared property expenses allocated among tenants under a commercial lease.