Real Estate Law: A Glossary of Real Estate Terms

Real estate law covers a great number of topics, and includes a number of specialized terms and jargon. An experienced attorney can help explain these concepts to you.


Appraisal:

An appraisal is an estimate of a property’s value. Appraisals are conducted by an uninvolved third party, and compare the sale price of a property to the values of similar properties in the same area within the past year, preferably within the last six months. Most mortgage lenders require an appraisal before offering a loan.


Assessment:

A charge levied by the local government for infrastructure that benefits adjacent properties. This includes road work, sidewalks, or sewer/gas lines. Adjacent property owners pay proportional shares of the improvement’s cost.


Broker:

A real estate broker works for one of the parties in a real estate purchase. They are licensed persons or organizations.


Closing:

The final part of a real estate transaction, where both parties review the terms of sale and the actual sales documents. The seller transfers ownership at the closing, while the buyer generally pays closing costs and, when applicable, finalizes the mortgage.


Condominium:

From the Latin for “co-ownership”, a condominium is a building split into individual apartments owned by the residents. The condominium association’s common areas are shared by the owners. The association pays taxes and deals with property maintenance and improvement. Condominium owners generally pay association fees as well as mortgage payments. Property insurance on condominiums or townhouses may or may not be included in homeowner association fees. If they are included in the homeowner’s fees, they do not cover personally owned property, such as furniture or electronics. A review of policies covered by homeowner associations before purchase is wise, as well as a review on the upkeep of the community property.


Contract for Deed:

A contract for deed leaves legal ownership of a property with the seller until the buyer makes full payment of the purchase amount. The buyer is given use of the property.

Deed: A document that transfers ownership of real estate. As discussed above, a warranty deed includes a guarantee by the seller that his or her title to the land and improvements is uncontested. A quitclaim deed only transfers rights to the property that an owner has, and contains no guarantee that the seller has a clear title, or relieves them from debt in which the property is claimed as collateral.


Foreclosure:

This is a process by which a mortgage lender takes legal ownership of a property when a buyer fails to make mortgage payments. In most states, foreclosure proceedings involve court appearances and are regulated to prevent abuse.


Joint Tenancy:

A form of ownership in which spouses or other parties own equal shares in a property.


Mortgage Loan:

Any loan where the collateral is the property being purchased with the loan money. Like foreclosure, mortgage regulations differ from state to state. Mortgage loans may have fixed or adjustable interest rates, and may have balloon payments that have a total balance due after a certain number of years. FHA and VA loans may be transferable, others may not.


RESPA:

The Real Estate Settlement Procedures Act. RESPA protects buyers by requiring mortgage lenders to disclose all policies and relationships to a mortgage borrower. It also requires lenders to provide fair estimates of all service charges and transaction costs.


Survey:

A mapping of boundaries, easements, and improvements on a property. Lenders often require surveys before a transaction, especially for commercial or new residential developments, in order to resolve any irregularities. Most states have time limits on the age of surveys.


Title Insurance:

Title insurance is an insurance product that provides coverage against claims for defects in a property’s title. A lender will typically require that the buyer pay for a title insurance policy protecting the lender. Title insurance may not be legally sold in Iowa. The State of Iowa has a program called Iowa Title Guaranty that issues an insurance policy on the industry standard (ALTA) forms and backed by the State of Iowa. The two main differences between Iowa Title Guaranty and out-of-state title insurance is (1) that the premium stays in Iowa and is used for housing programs to benefit Iowans, and (2) that the attorney title examination system helps to preserve and protect good titles, rather than to insure over defects.


Title Opinion:

A title opinion is an attorney's title examination report, which describes (a) the real estate, (b) the title holder, (c) the liens or encumbrances on the property, (d) the easements and other use restrictions on the property, and (e) outlines the requirements for obtaining good marketable title.



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July 7, 2025
Bill Talbot took down his shingle on the 30th of June, 2025, after 35 years in the practice of law. He had been working of counsel with New Point Law Firm, plc, since its inception in July 2023 and previously with the Newbrough Law Firm, LLP. A native of Audubon, Iowa, Bill was raised in the livestock nutrition and equipment industry and spent his years before college working at the family horse production facility and feed supplement factory. After graduation from the University of Northern Iowa with a degree in Business Management, Bill managed several agricultural product distribution centers and a farmer/rancher agricultural products sales force for nearly 15 years. Bill then set out on his legal career. He attended and Drake University Law School in Des Moines. He graduated with honors. Bill began practicing law with the Parker Law Firm in Nevada, Iowa, in 1990. He joined the Newbrough Law Firm, as a partner in 2004. Throughout his career, Bill had a varied practice. He counseled clients in the areas of business, corporate, and commercial law; civil and commercial trials and appeals; contract law; estate planning; and trust and estate administration. In 2001, after being trained by both the Mediation Training & Consultation Institute of Ann Arbor Michigan and the American Academy of ADR Attorneys, Bill added mediation to his practice. He is particularly well-known for mediating corporate and family farm disputes, and large asset dissolutions. 
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Associate Attorney New Point Law Firm, plc, is seeking an attorney, preferably with a minimum of three years’ experience. Qualifications Excellent research, writing, organization, and communication skills are required. The ideal candidate would also possess a strong work ethic, ability to exercise independent judgment, and dedication to serving their community. Iowa bar admission is required. How to apply Send a resume and a cover letter to: New Point Law Firm, plc Attn: Nicole S. Facio, HR Manager P.O. Box 847 Ames, IA 50010 or by email to: nfacio@newpointlawfirm.com All applications will be handled confidentially. New Point Law Firm is an equal opportunity employer. Posted 09/17/2024. Open until filled.
Photo of Frank Feilmeyer working as a swimming official.
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Receives William Abraham Award
Angie Thomas and three other inductees with certificates.
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Angie Thomas took office as the 51st president of the Iowa Association for Justice on November 10, 2023, at the organization's annual meeting.
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