| Term | Definition |
|---|
| closing costs | Costs the buyer must pay at the time of the closing in addition to the down payment which may include points, title charges, credit report fee, document preparation fee, mortgage insurance premium, inspections, appraisals, prepayments for property taxes, deed recording fee, and homeowners insurance. Closing costs can vary considerably from one financial institution to another. |
| closing statement | A detailed written summary of the financial settlement of a real estate transaction, showing all charges and credits made, and all cash received and paid out. |
| cloud on title | A claim or encumbrance that may effect title to land. |
| co-op | See cooperative housing or cooperative sale. |
| co-tenants | Two or more tenants who rent the same property under the same lease or rental agreement. Each co-tenant is 100% responsible for carrying out the rental agreement, which includes paying the entire rent if the other tenant skips town and paying for damage caused by the other tenant. |
| collateral | Something of value deposited with a lender as a pledge to secure repayment of a loan. |
| commingling | The illegal practice of combining or mixing clients' funds with the agent's own funds. |
| commission | The compensation paid to a licensed real estate broker or by the broker to the salesman for services rendered. Usually a percentage of the selling price of the property. |
| Community Reinvestment Act | The federal law which requires federally regulated lenders to describe the geographical market area they serve. Deposits from that area are to be reinvested in that area whenever practical. |
| comparables | Properties which are similar to a particular property and are used to compare and establish a value for that property. |
