Jargon Buster
Tenure
Tenure refers to type of ownership and falls under two categories – freehold and leasehold.
Freehold ownership is the outright ownership of both the property and the land it’s built on.
Leasehold ownership is ownership of the property, but not the land it’s built on, which belongs to a freeholder.
Leasehold properties are purchased on a long lease, meaning the owner retains ownership of the property for a certain period outlined in the lease and subject to ground rent and/or maintenance charges.
Most flats and apartments are leasehold, whereas most houses are freehold.
Term of Contract
Term of Contract refers to the rights and responsibilities expressed in a contract.
Termination
This refers to the ending of a tenancy agreement.
To clear monies
This refers to money that must pass through the banking system and be cleared for withdrawal.
Undertaking
There are two forms of undertaking when it comes to property purchases.
Firstly, the buyer may undertake to carry out certain repairs to a property as a condition of receiving a mortgage.
Secondly, the buyer will undertake not to move into the property they’re buying until legal completion, including carrying out any alterations.
Utilities
Utilities refer to services provided by companies for gas, water, and electricity.
Vacant possession
Vacant possession refers to a property that will be free of tenants or a tenancy when a sale is completed is offered for sale as ‘vacant possession’.
Vendor(s)
A vendor is another name for the seller of a property.
Viewing
Potential buyers can book viewings of properties they’re interested in through estate agents.
‘Open’ viewings also take place in some cases, particularly for properties where a large amount of buyer interest is expected.
Agents will gather information on a buyer during a viewing, assessing their initial interest in the property and their ability to proceed.