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CONTINGENCY A condition which must be satisfied before a contract is legally binding. LAND The surface of the earth extending down to the center and upward to the sky, including all natural things thereon such as trees, crops, or water; plus the minerals below the surface and the air rights above. RESTRICTIONS Limitations on the use of property. Private restrictions are created by means of restrictive covenants written into real property instruments, such as deeds and leases. SECOND MORTGAGE A mortgage which is junior or subordinate to a first mortgage; typically, an additional loan imposed on top of the first mortgage, which is taken out when the borrower needs more money. COMMON WALL A wall separating two living units. CONVEYANCE The transfer of title to real property by means of a written instrument such as a deed or an assignment of lease. FUNCTIONAL OBSOLESCENCE A loss in value of an improvement due to functional inadequacies, often caused by age or poor design. |
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