15 useful real estate terms in Russian

Buying a flat requires a real estate vocabulary that must be learned in order to avoid making the wrong decision. In this sector there are concepts that will undoubtedly be very useful both in the purchase phase of the property and in the entire buying and selling process. This glossary of real estate terms might help you get to know some important real estate jargon so that you can make the right decision about whether a property is suitable for you.

1. Агент по недвижимости (Real estate agent)

They are authorised estate agents registered in the association of estate agents. The buyer’s agent represents the buyer in the home-buying process, and the listing agent represents the seller.

2. Договор о внесении аванса (The earnest money contract)

The amount of money given by the purchaser of a flat to a vendor as a deposit when buying a flat. Such a contract is considered to be a private contract between seller and buyer.

3. Бремя недвижимости (Real estate burden)

A financial obligation that is attached to a property. In other words: payments that either have not yet been made or are still owed. Before buying a flat, make sure that it is free of burdens so that the debts won’t fall on the new buyer.

4. Справка о пригодности жилплощади (Certificate of habitability)

This is the document that certifies that a property meets the requirements of habitability and solidity established by Decree and that it is suitable to be used as a residence. This document is mandatory for both renting and selling a property.

5. Оценка энергоэффективности (Energy Efficiency Rating)

It is an official document drawn up by a competent technician that includes objective information on the energy performance of a property. This document shows a score with a rating based on the CO2 emitted by the energy consumption of the heating, cooling, hot water and lighting installations of a building under certain conditions of use.

6. Европейская межбанковская ставка предложения (EURIBOR)

An interbank interest rate/benchmark index used by most European banks to lend to each other. This index is published daily and affects mortgages because it is often used as a reference for mortgage loans.

7. Ипотека с фиксированной ставкой (Fixed-rate mortgage)

A mortgage loan in which the interest rate does not change during the life of the loan. They are ideal for borrowers who want to lock in their interest rate and always want to know what their monthly payment will be and how much interest they will pay over the life of the loan.

8. Плавающая ипотека/ ипотекой с переменной ставкой (Variable-rate mortgage)

A variable mortgage is one in which the amount of the monthly payments varies according to a reference index (most commonly the Euribor). The interest rate applied to the mortgage is composed of the value of the Euribor plus a fixed differential.

9. Домашняя постановка (Home staging)

A real estate marketing tool that improves the image of properties, making it easier to sell or rent them.

10. Оценка недвижимости (Appraisals)

This is the process of developing an opinion of the value/possible selling price for an item or property. They’re typically used for insurance and taxation purposes.

11. Закрытие и затраты на закрытие (Closing and closing costs)

Closing costs are fees and expenses you pay when you complete the closing process on your home, in addition to the down payment. These costs can be 3 to 5 percent of the loan amount and may include title insurance, attorney’s fees, appraisals, taxes and more.

12. Сравнительный анализ рынка (Comparative market analysis)

This is an estimate of a home’s value that is used to help sellers establish listing prices and to help buyers make competitive offers.

13. Положение о непредвиденных обстоятельствах (Contingency clause)

A home purchase contract, a clause that defines a situation or action that must first take place in order for a real estate purchase agreement to be binding. This means that even though there is an accepted offer on the property, there are still steps that must be completed before the contract binds both parties.

14. Собственный капитал (Equity)

The difference between the amount of money you owe on your mortgage and the current value of your home.

15. Домашняя гарантия (Home warranty)

A contract between a homeowner and a home warranty company that provides repair and replacement services to major components of the home (for example swimming pools, spas, plumbing and air conditioning systems).

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If you are interested in this topic and would like to invest in real estate in Russia, this page could help you to find out more about it and assist you in the process.