A GLOSSARY OF REAL ESTATE TERMS

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Obsolescence
Impairment of desirability and usefulness brought about by changes in the art, design or process or from external influencing circumstances that make a property less desirable and valuable for a continuity or use.
Occupied Date
Identifies the first date on which the tenant physically occupied the leased area.
Offer
A promise by one party to do a specified deed as the other party in turn performs a specific deed.
Office
A general property type or building type classification characterized by its usage for office purposes; Suburban Garden Office, Suburban High Rise, Medical Office, CBD Office.
Office of Comptroller Currency
A federal government regulatory agency that oversees some commercial banks.
Office of Thrift Supervision
A federal government regulatory agency that oversees savings and loans.
Open End Mortgage
A mortgage permitting the mortgagor to borrow additional money under the same mortgage, with certain conditions.
Open Listing
An authorization given by a property owner to a real estate Broker wherein said Broker is given the nonexclusive right to secure a purchaser; open listings may be given to any number of Brokers without liability to compensate any except the one who first secures a buyer ready, willing and able to meet the terms of the listing, or secures the acceptance by the seller of a satisfactory offer.
Operating Expense
Operating expenses, excluding debt service, to effective gross income.
Option Terms
Identifies the length of time of the prescribed period or periods as stipulated in the lease agreement.
Origination Fee
A fee or charge for work involved in the evaluation, preparation and submission of a proposed mortgage loan.
Originator Overrides
Manual positive and/or negative overrides made to the income and/or expenses by the originator; used to normalize or adjust a particular income or expense line item.
Originator
A column that displays the calculated income and expense results adjusted by the underwriting parameters specified in the loan file; also referred to as "normalized underwritten".
Other Expenses
An expense line item that includes items not specifically associated with other expense line items.
Other Income
Income from sources not specifically associated with other named income sources.
Other Real Estate Owned
A term used primarily by commercial banks to identify real estate on the books that was taken back through foreclosure of a mortgage loan. The term "Other" REO is used by banks to distinguish foreclosure real estate from bank real estate owned (REO) which is corporate real estate assets. Typically, the real estate industry uses the term REO for foreclosed real estate.
Outbuilding
A building or structure that supports the primary use of the property (e.g. in hotels, an outbuilding may include a health club, maintenance garage, service building, etc.).
Outlet Center
A Retail property subtype in which the property is occupied by multiple outlet-type or discounter tenants grouped together in one setting; these centers may attract bargain shoppers.
Overall Appearance & Marketability
Used to describe the overall appearance and marketability of the property as it relates to other comparable properties in the market or submarket; factors include actual and effective age, structural and aesthetic appeal, physical condition, functional utility, etc.
Owner Occupied
Identifies whether all or part of the property is occupied by the owner or any agent or representative of the owner. In commercial underwriting, owner-occupied space may be marked to market if there is a difference between contact rent and market rent.
Owners Policy
Title insurance for the owner of property, rather than a lien holder.
Ownership
The right to possess and use property to the exclusion of others.