Real Estate Glossary
In this Glossary of Real Estate you can find explanations about the main terms and concepts associated with this activity, which are the result of my professional experience as a Real Estate Consultant. Its reading does not exempt the consultation of legal and notarial professionals. (just click on the letters below)
Additional to IMI
The AIMI (Additional to the Municipal Property Tax) is a new additional tax to the IMI (Municipal Property Tax), whose payment is annual, and which is charged to all individual and collective taxpayers, who are holders of real estate whose value global exceeds €600,000.
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ADENE
The Energy Agency (ADENE) is a Portuguese institution responsible for regulating and supervising the energy sector in the country.
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Adverse possession
By adverse possession is understood the right of possession over a movable or immovable property, due to having used it for a given period of time, continuously, as if it were the real owner of that property.
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Apartment
Apartment is the designation for an independent fraction of a building, intended for private housing, thus residing several families in the same building.
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Assembleia de Condóminos
The General Meeting of Shareholders has the function of managing a condominium and is made up of all joint owners of the condominium and the Administrator appointed by the meeting.
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Assignment of Contractual Position
The assignment of the contractual position is a legal instrument that allows the transfer of the rights and obligations of one of the parties to a contract to another person or company.
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Autonomous Fraction
It is an independent, distinct and isolated unit, with its own exit to a common part of the building or to the public road. They are normally apartments, garages, shops or offices inserted in buildings with areas of common use. Read more
Avaliador Imobiliário
The appraiser or real estate expert is a professional with adequate academic training, accepted by the CMVM for the exercise of the activity and who conducts an appraisal of a property by producing a document called Real Estate Appraisal.
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Building Booklet
The Land Book is an essential document for buying or selling your home, but not only. It has the same importance as your citizen card: without it you cannot carry out certain legal procedures. Find out everything about what the Caderneta Predial is, what it contains, why it is needed, where to obtain it and how to change it.
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Capper
In a given year, a real estate consultant belonging to Keller Williams upon reaching a certain limit in commissions received (in Portugal this value is € 50,000) joins Clube Capper . From that moment and until the end of the year, you will receive 95% of the commission charged to customers.
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Certificado Energético
This document aims to inform the potential buyer of a property about the overall energy performance of the building, improvement measures that increase energy efficiency, comfort and the eventual reduction in energy consumption.
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Coeficiente de Aproveitamento
The Utilization Coefficient (CA) or Utilization Index (IA) indicates the relationship between the construction area and the total area of the plot of land in which the property is located.
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common parts
Common parts are generally considered to be parts of a building that are not for the exclusive use of one of the joint owners: floors, foundations, roofs, entrances, stairs, patios and gardens, elevators, garages, etc.
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Condomínio
Condominium is the name used for a set of apartments that make up a building, in case they belong to different owners.
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Constitutive Title of Horizontal Property
Constitutive Title of Horizontal Property is the notarial deed that instituted the building in horizontal property, that is, that divided it into autonomous fractions as independent units and common parts.
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Contrato Promessa de Compra e Venda
In real estate, the Promissory Contract of Purchase and Sale (“CPCV”) is a provisional document, signed between the selling party and the buying party, which aims to ensure the final conclusion of the property transaction, within a given period.
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Crédito Consolidado
Debt Consolidation aims to reduce monthly charges on multiple loans, through negotiation, aiming at reducing credit costs (one interest rate and a more favorable maturity). In summary, credit consolidation involves renegotiating a portfolio of several credits and converting them into one, with better conditions.
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Dependent Gross Area
The Dependent Gross Area refers to covered and closed areas for the exclusive use of the owner , whose use is ancillary to the use for which the building or fraction is intended, and which are not included in the calculation of the Private Gross Area (eg garage , storeroom, annexes, attic, etc.).
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Deployment Area
The Deployment Area is the area located within the perimeter of the building's attachment to the ground measured from the outside, including the area occupied by porches and sheds with pillars fixed to the ground.
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Deployment Polygon
The implantation polygon is the closed polygonal line that delimits an area of the ground within which it is possible to build.
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Distrate
In the case of a contract related to home loans, the Mortgage Cancellation is a document issued by the bank and which proves the extinction of the debt and the termination of the associated mortgage.
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Duplex
This designation is usually used to classify a house that is spread over two floors , with an interior staircase that connects them.
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Effort Rate
The effort rate is an indicator that measures the weight of financial expenses in the household's total income and is used in risk analysis.
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Eviction lawsuit
The eviction action is a legal process in which the owner, or holder of a property, requests the forced eviction of the occupant(s) and the cancellation of the contractual relationship between the landlord and the tenant.
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Exchange
An exchange, in the real estate sector, occurs when two owners enter into a contractual agreement to exchange one immovable property for another, of equal or different value .
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Exclusivity contract
An exclusivity contract is a Real Estate Mediation Contract that provides for the promotion and sale of a property, during a given period, inhibiting the owner from entering into similar contracts with other mediators, during the contractual period.
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FINE
The FINE (European Standardized Information Sheet) is a mandatory document that emanates from Banco de Portugal and that banks have to provide whoever contracts a credit, namely the mortgage credit, where information is provided on the main characteristics of the loan
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Free Land Area
The free land area corresponds to land not occupied by buildings (outdoor spaces) and includes gardens, parks, playgrounds, swimming pools, backyards and other areas.
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Golden Visa Portugal
The Golden Visa (usually called Golden Visa), has the technical name of Residence for Investment Activity (ARI), and it is a regime that allows foreign citizens to obtain a temporary residence permit for investment activity.
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Gross Area
It is the total surface of the building or fraction, and represents the sum of the gross areas of all floors of a building, above and below ground, and is measured considering the exterior of the walls that delimit or separate the dwellings.
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Gross Construction Area
The gross construction area corresponds to the sum of the private gross area and the dependent gross area.
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Growth Share
The Growth Share is an extra income that Keller Williams consultants can receive if they help recruit other consultants for this real estate franchising company, in Portugal or anywhere in the world.
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Home
This is a common designation for an independent house, with or without a garden, and it is also common to use the word villa instead of housing.
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Home Staging
Investing in Home Staging and home renovation may seem like a challenge, but with the ideas and suggestions presented in this article, it is possible to create attractive and inviting environments, increasing the probability of selling your home faster and for a higher price . Enjoy the renewing energy of Spring and take the first step towards success in the real estate market in Portugal.
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Horizontal property
A building is constituted as a Horizontal Property when it is divided into autonomous fractions (independent units), namely apartments or floors and garages.
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Housing Permit
It is a document that attests that the house has already been inspected and respects the legislation in force in order to be inhabited.
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Housing Technical Data Sheet
The Technical Housing Sheet (FTH) is a document that contains the description of the technical and functional characteristics of an urban building for housing purposes, which was recently replaced by the Book of Works.
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IMI
The IMI or Municipal Property Tax is a municipal tax that is levied on the VPT (Taxable Patrimonial Value) of all properties located in the national territory and whose payment is annual
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IMT
The IMT or Municipal Tax on Real Estate Transfers applies to transfers of real estate located within Portuguese territory.
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IMT simulator
If you intend to buy a property, you will have to pay the IMT (Municipal Tax on the Transfer of Rights for Real Estate) in the services of the AT (Tax and Customs Authority). Use this simulator to calculate the value of the IMT to be paid. Read more
Joint Owners
Owners are the people who, regardless of whether they live in the building or not, are simultaneously owners of one or more fractions and joint owners of the common parts.
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Land Registry Office
It is a public service whose main function is to record all the information relating to immovable property, that is: the location, composition and identification of the successive owners.
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Lease Agreement
The Lease Agreement is a document entered into between the owner / landlord of a property and the tenant / tenant, which acts as a guarantee of the rights and duties of the parties involved.
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License
The construction permit is a document that enables the holder to carry out a construction work, in the manner described in the said permit.
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Liveable area
Useful Area or Private Area is the sum of the areas of all housing compartments, including vestibules, interior circulations, sanitary facilities, storage, other compartments with a similar function and cupboards on the walls, and is measured by the interior perimeter of the walls that limit the space. fire, excluding trails up to 30 cm, interior walls, partitions and ducts.
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Mortgage
The mortgage corresponds to a real guarantee that assures the lender (usually a bank) that, in case of default by the debtor of the full payment of the loan amount, the first one can be repaid the amount due.
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National Rental Desk
The BNA - Balcão Nacional de Arrendamento is intended to respond to landlords who decide to resort to the Special Eviction Procedure (PED), in order to evict tenants and revoke the Lease Agreement in force.
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NRAU
The NRAU - Novo Regime do Arrendamento Urbano is a set of laws that aims to respond to problems related to urban leasing: contracts with rents prior to 1990, rehabilitation works on leased properties, Eviction Actions, etc.
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Permanent Certificate of Commercial Registration
The Permanent Certificate of Commercial Registration is access via the Internet, in real time and at any time, to all computerized records, to all electronic documents associated with the electronic folder of the entity or to the last updated articles of incorporation/statutes, of an entity registered at the commercial registry office, depending on the type of certificate subscribed.
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Permanent Land Registry Certificate
Also called a Certificate of Content , it is a document issued by the Land Registry Office that certifies all the records made in relation to a given property: the description, the legitimate owner, the location, composition and the existence of encumbrances or charges on the property. (such as pledges, mortgages or registered usufructs).
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Private Gross Area
It corresponds to the total surface, measured by the outer perimeter and axes of the walls or other separating elements of the building or fraction.
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Public Deed
The Public Deed is an official document, drawn up and signed before a notary, which formalizes and confirms the transmission of a property, whether through purchase and sale, donation, exchange, among others.
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Real Estate Leasing
Real Estate Leasing is a financing solution, for the purchase and / or construction of real estate, which allows the customer to enjoy a property for a certain period of time, against the payment to the owner of an income.
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Real Estate Mediation
The activity of real estate mediation is one in which, by contract, a company undertakes to take steps to obtain an interested party in carrying out a business aimed at the constitution or acquisition of real rights over real estate, the exchange, the transfer or the lease of themselves or the assignment of positions in contracts whose object is immovable property.
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Real Estate Mediation Agreement
The Real Estate Mediation Contract consists of a document whereby the mediation company (real estate agency) undertakes, for an agreed remuneration and on behalf of the client, to seek interested parties for the purchase, sale, exchange, transfer, lease or assignment of positions in contracts whose object is real estate.
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Real Estate Raising
The activity of raising real estate is one in which, by contract for the provision of services, a natural person undertakes to carry out the actions and provide the services necessary for the preparation and fulfillment of the real estate mediation contracts, concluded by the real estate brokerage companies. .
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Real Estate Valuation
Real estate valuation is a process that involves the physical inspection of a property by an appraiser - a duly certified professional - in order to estimate its financial value.
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Security deposit
The bond is a guarantee that can be required in different types of contractsl. In real estate activity, it is customary for the landlord to demand the payment of a deposit when signing a lease contract.
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spread
From a real estate point of view, the Spread of a bank loan for the purchase of a house is the fixed percentage that is added to the reference rate (usually indexed to the Euribor index).
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Sun exposure
Orientation and sun exposure when buying a home is one of the most important factors to consider for your comfort and the appreciation of your investment.
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TAE
The TAE or Annual Effective Rate corresponds to the annual cost of the bank loan, depending on the amount owed, including expenses and commissions.
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TAER
The TAER or Revised Annual Effective Rate corresponds to the TAE interest rate, plus the costs of the associated financial products, to allow a reduction in the spread rate.
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TAN
The TAN (Annual Nominal Rate) is the annual interest rate that serves as a reference for home loans.
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Topographic Survey
The topographic survey consists of mapping the surface of a land , through measurements carried out by a topographer, for the elaboration of a topographic plan that indicates the variations of the relief and other geographic features .
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Toponymic Certificate
The Toponymic Certificate consists of a document issued and authenticated by the municipal services, which certifies the toponymy, numbering of building(s) and/or the parish of the property in question.
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Toponymy
Toponymy is the discipline responsible for the designation of sites or places and for the study of their geographical names, set or systems of toponyms.
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Typology
The Typology of a House is a classification that defines the type of house based on the layout, number of rooms, division of areas, among other factors. For example, T3 means: "T" for typology and "3" for the number of rooms.
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Utilization License
This document defines the type of use allowed for a given building or fraction: housing, or non-residential purposes (commerce, services, industry, the exercise of liberal professions, parking, or warehouse).
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Vacant House
An urban building or an autonomous unit that has been vacant for more than 1 year is considered to be vacant. Read more
