Key terms you'll encounter when selling your home.
As-Is Sale: Selling without making repairs, though disclosures still required.
Backup Offer: Second-choice offer that becomes primary if first offer fails.
Buyer Contingency: Conditions buyers include that let them cancel (inspection, financing, appraisal).
Closing Costs: Fees paid at closing including escrow, title, transfer taxes (typically 1-2% for sellers).
Comparative Market Analysis (CMA): Agent's estimate of home value based on recent sales.
Contingency Removal: Buyer formally waiving their right to cancel for that reason.
Counter Offer: Your response to a buyer's offer with different terms.
Days on Market (DOM): How long a listing has been active.
Disclosure: Required documents about property condition, history, and known issues.
Dual Agency: When one agent represents both buyer and seller (requires disclosure).
Earnest Money Deposit (EMD): Buyer's good faith deposit (typically 3% in Bay Area).
Escalation Clause: Buyer's offer to beat other offers by specified amount up to a cap.
Escrow: Neutral third party holding funds and documents during the transaction.
Escrow Holdback: Funds held after closing for specific repairs or issues.
Fiduciary Duty: Agent's legal obligation to act in your best interest.
Home Warranty: Service contract covering repairs to systems and appliances.
Inspection Contingency: Buyer's right to inspect and request repairs or cancel.
Listing Agreement: Contract with your agent specifying terms and commission.
Lockbox: Secure key holder allowing agents to show your home.
Multiple Counter Offer: Responding to several buyers simultaneously.
Net Sheet: Estimate of what you'll receive after all costs.
Preliminary Title Report: Document showing ownership and any claims on property.
Pre-Listing Inspection: Inspection done before listing to identify issues early.
Rent-Back: Arrangement where you stay in home after closing, paying rent.
Seller Concession: Credits or contributions to buyer's closing costs.
Staging: Furnishing and decorating to help buyers visualize living there.
Title Insurance: Protection for buyer and lender against ownership claims.
Transfer Disclosure Statement (TDS): Required form disclosing property condition.
Transfer Tax: Tax paid when property changes hands. Varies by city.
Under Contract: Property has accepted offer but hasn't closed yet.