Inflation Equity
Definition of "Inflation equity"
Increase in the value of property caused by inflation. For example, John buys a home for $150,000. Because of inflation, the home is worth $200,000 five years later. The inflation equity in the home is $50,000($200,000-$150,000). Inflation equity may be used to acquire a second mortgage or a home equity loan; however, the lender risks losing its equity collateral if the housing market experiences a slowdown and the home's value recedes back to its uninflected equity value.
Popular Real Estate Terms
The definition of accommodation covers different meanings of the word, but they all express providing space, room, either physical or metaphorical. In other words, accommodation can be ...
Marketable title that is free of encumbrances and disputed interests. Clear title is essential in order to convey a general warranty deed in a transaction. ...
Covering studs on the outside. ...
Heterogeneous (as opposed to homogenous) means diverse in nature applied to a place or object composed of separate and distinct parts. In other words, heterogeneous describes something that ...
Right of a current stockholder to maintain the percentage ownership in a real estate company by purchasing new shares on a proportionate basis before they are issued to the public. It ...
The external covering finish of a structure which protects it from the elements. Exterior finish materials, including shingles, siding, and paints, are design to resist severe weathering ...
When looking for the definition of a land surveyor, most definitions are quite simple and concise: a land surveyor is a person who measures the distance between two points, the angle ...
“What is Rent Control?”, you ask.Rent Control is how some governmental policies that prevent the Landlord from abusively raising the rent are called in the real estate ...
Series of intersecting lines dividing a map or chart into equal sections. Series of intersecting bars, wires or support as in a grating or supports in a dropped ceiling. ...
Have a question or comment?
We're here to help.