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Wikipedia is a good
resource to search for visual references.
Construction Terms:
Ampere
Amperes, or amps, is a measure of the capacity of an electrical system.
The typical minimum requirement is 200 amps; if a home is larger, or has
central air-conditioning or electric heat, 200 to 300 amps is
recommended.
Backfill
Earth installed in the area excavated for the construction of the
foundation
Balusters
The vertical spindles of a guard railing
Beam
A beam is any structural member of a home; a beam can be wood or metal
B.S.L.'s
This stands for Building Setback Lines. These lines are placed on lots so
homes cannot be built too close to each other. These lines form an
artificial "box" referred to as the Building Envelope. Homes must
be within the perimeter of the lot and no part of the home can be built
over these lines.
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Cantilever
A structure which protrudes from a support (such as a wall) and is
supported only on one side
Ceiling Types
Tray Ceiling - An inverted indentation with sloped sides and a flat top.
Stepped Ceiling - An inverted indentation with stair-stepped sides and a flat top.
Coffered Ceiling - A ceiling with beams laid out in an intersecting grid pattern with regular intervals.
Pyramid Vault - A vaulted ceiling working gradually to a central point.
Barrel Vault - A single continuous arch
Groin Vault - The intersection of two barrel vaults in opposite directions.
Cove Lighting - Concealed lighting used in a recess.
Certificate of Occupancy
A certificate of occupancy is issued by the local municipality after a
home, or alterations to home, have passed all municipal codes and are
ready for occupancy.
Change Order
Written authorization to add, delete, or change an item in a contract,
with any cost savings or additions specified.
Circuit Breaker
An over current protection device that is designed to automatically cut
off the flow of electricity when the flow of current through the circuit
breaker exceeds its rated capacity. Unlike most fuses that require
replacement when they are overloaded, a circuit breaker can be reset
much like a switch.
Code
Rules and regulations that detail accepted construction practices.
Most municipalities have adopted a version of the
International
Residential Code, and often amend sections to comply with there
specific needs & requirements. New versions of the code are
released every 3 years. For example: 2006, 2009, 2012, etc.
Column
A column is a structural component that is utilized to support a beam; a
column can be constructed of steel or wood.
Corner Bracing
Diagonal members installed at corners for strength.
Covenant
Also called a deed of restriction, this agreement between seller and
buyer of property restricts the use of the property as to height,
setback, or other restrictions on a new home or other structures on the
subject property.
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Crawl Space
A space located in a house that does not have sufficient height for a
person to stand erect; a crawl space can be in a basement or in an
attic.
Deflection
Deflection (sagging) occurs to structure when the structure is subject
to imposed loads such as the weight of the structure itself,
furnishings, people, etc. It is normal for structure to deflect, there
are codes that detail accepted deflection.
Downspout
The downspout leader is vertical component that is connected to the
gutter to provide a method of diverting water that runs off the roof.
Easement
A right given by a landowner for a specific and limited use of the land.
Elevation
A scale drawing on a vertical plane of the exterior of a building.
Engineer - Licensed Professional Engineer
A Licensed Professional Engineer (P.E.) is State licensed to design
residential and commercial structures, inspect and evaluate residential
and commercial buildings including structural problems and design
structural repairs, etc.
Fascia Board
The trim board located under the edge of the roof.
Finish Flooring
Hardwood, carpet, tile or resilient flooring.
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Finished Grade Line
The level of the ground at the foundation.
Floor Plan
An architectural drawing, drawn to scale, illustrating each floor and
featuring the location and size of rooms, windows, doors, walls, stairs,
and fixtures.
Footings
The concrete support for the foundation walls.
Footing Drain Tile
A perforated drainage pipe installed at the base of the footing that
functions to drain water away the house and reduce the possibility of
basement water intrusion.
Foundation Wall (aka Stem Wall)
A wall of poured concrete (or concrete block, etc.) that rests on the
footings; the foundation wall supports the house.
Framing
The framing of a home is the structural skeleton of the home much the
same as bones in a human body.
Furring
Thin strips of wood used to level a surface.
Fuse
An over-current protection safety device that is designed to
automatically cut off the flow of electricity when the flow of current
through the fuse exceeds its rated capacity.
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Gable
The triangular end wall of a house that has sloping roofs.
Grading
Preparing the site for a building as well as creating a slope around the
completed structure for runoff.
Gutter
A trough that collects and diverts water that runs off the roof.
Hip
A roof where all sides slope donwards to the walls.
Header
A header is a beam that is installed over an opening in a structure such
as a door or a window.
Interest Rate
The percentage of an amount of money that is paid for the privilege of
the money’s use for a specified time.
Joist
A joist is a beam that typically supports a floor or wall.
Kiln Dried
A method of drying the lumber to remove moisture which reduces
shrinkage, twisting, splitting or checking of finished
Knee Wall
A knee wall is a wall whose height is short in comparison with the other
walls in the structure.
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Lag Bolt
A lag bolt provides a strong connection for certain applications, such
as connecting a deck header to the exterior wall of a house.
Licensed Professional Engineer
A Licensed Professional Engineer (P.E.) is State licensed to design
residential and commercial structures, inspect and evaluate residential
and commercial buildings including structural problems and design
structural repairs, etc.
Lintel
The structural beam that supports a window or door opening.
Load Bearing
A load bearing wall, or other similar structure, is a structural
component that can not be removed without providing an alternate means
of support.
Lolly Column
A lolly column is a concrete filled steel pipe column typically used to
support a girder or other beam.
Louvers
An open vent cover
Newel
A post that terminates a railing.
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Open Space (NAOS)
Areas surrounding lots within a subdivision which cannot be developed or
disturbed. Arizona house plans that are located in desert areas
typically require this.
Partition Wall
A partition wall is a wall that has no structural function and is
installed to divide the living space of a home.
Percolation (perc) Tests
A study conducted to determine the suitability of the soil for septic
systems
Retaining Wall
A retaining wall supports the earth on a hill. Retaining walls can be
constructed of concrete block, poured concrete, fieldstone, brick,
railroad ties, etc.
Roof Sheathing
The roof deck is installed over the roof rafters and provides the
surface for the application of the roofing shingles. The roof deck
(sheathing) can be plywood, plank or hardboard.
Septic Recovery Area
That portion of the lot reserved for future septic system drain fields.
Septic System
This is the sewage disposal system that is used on the vast majority of
rural lots. The system consists of a buried concrete tank which first
filters the solids from the liquid and then distributes those liquids to
underground trenches called "drain fields" where the liquids are
absorbed into the earth.
Service Panel
The service panel is the center of the electrical service in the house.
The service panel is the location of the electrical circuit breakers or
fuses.
Settling
Every home settles to a certain extent after construction; problems
occur when the settling is uneven and cracks occur in the foundation
walls.
Sheathing
The sheathing on a home is the structural wrapper of a home and is
located between the structural skeleton of the home and the exterior
siding and roofing.
Sill
The first structural component of the framing that rests on the
foundation wall.
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Site Plan
Lot and building dimensions are shown on this illustration of the
building site.
Stair Rail
A hand railing in a stairwell.
Stair Riser
The vertical portion of a stairway located between two adjacent treads.
Stair Tread
The horizontal step of a stairway
Structural Integrity
Structural integrity is a measure of the quality of construction and the
ability of the structure to function as required.
Stud
Vertical wooden members that frame a wall.
Sub Flooring
The plywood, planks or hardboard that is installed over floor joists to
accept finished flooring.
Truss
A truss is a special structural member that has more strength than a
typical beam and is typically used for roof rafters and floor joists.
Underground Service
An underground electrical service is a service where the conductors
approach a home underground.
Window Casing
The decorative portions surrounding the interior side of a window
opening.
Window Sash
The inner frame that contains the window glazing.
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Finance & Real Estate Terms:
Go to Construction TermsAdjustable Rate Mortgage (ARM)
An adjustable rate mortgage is a mortgage that can vary (up or down)
over the life of the loan in relationship to changes in the index (ARMs
are sometimes called variable rate mortgages). Typically, the initial
mortgage interest rate on ARMs are lower than those for fixed rate
mortgages; however, over time, since rates on ARMs can vary over the
life of the mortgage, a fixed rate loan may eventually have a lower
interest rate. Your lender can provide you with details regarding the
mortgage programs that are available.
Mortgage Calculator
Adjustment Period
ARMs are available with different adjustment periods, typically one,
three, five, or seven years; the interest rate on the loan can change at
the end of the adjustment period.
Amortization
Mortgage loans are amortized when they are repaid in equal payments
consisting of principal and interest. Over time, as the mortgage is
repaid, the outstanding portion of the debt is reduced and the equity
increases. In the early years of the mortgage, the largest portion of
the mortgage payment pays the interest on the loan and the smallest
portion pays back the loan principal; in the later years of the loan,
the reverse is true. Lenders and borrowers are protected against
financial loss which may result from legal defects in the Title, or
other claims against the Title by insurance known as Title Insurance.
Annual Percentage Rate (APR)
A measure of the cost of credit, expressed as a yearly rate. It includes
interest as well as other charges. Because all lenders follow the same
rules to ensure the accuracy of the annual percentage rate, it provides
consumers with a good basis for comparing the cost of loans, including
mortgage plans.
Appraised Value
An opinion of the value of a property at a given time, based on facts
regarding the location, improvements, etc., of the property and
surroundings.
Buydown
With a buydown, the seller pays an amount to the lender so that the
lender can give you a lower rate and lower payments, usually for an
early period of the loan. For example, the interest rate may be 6% in
year one, 7% in year two, and then 7.5% each year thereafter. The seller
may increase the sales price to cover the cost of the buydown.
Cap
A cap refers to the limit on how much an interest rate can change at an
adjustment period, or over the life of the loan.
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Closing Costs
Closing costs include all of the fees, such as attorneys fees, appraisal
fees, inspections, insurance, title search, points, taxes, bank fees,
escrow deposits, etc. that a borrower is required to pay to obtain a
mortgage.
Commitment
A written promise to make or insure a loan for a specified amount and on
specified items.
Comps (Comparable Sales)
When a real estate agent performs a comparative market analysis to
determine how to price a home to be listed for sale, one of the criteria
utilized is a list of comparable homes that have recently sold and those
that are presently listed for sale.
Construction Loan
This is short-term financing of real estate construction. It is usually
followed by long-term financing called a “take-out loan,” issued upon
completion of improvements.
Contingency
The dependence upon a stated event that must occur before a contract is
binding.
Contract of Sale
Depending on area of country it may also be called a Land Contract of a
Purchase Agreement.
Contract Sales Price
The full purchase price as stated in the contract.
Conventional Mortgage
A loan neither insured by the FHA nor guaranteed by the VA.
Mortgage Calculator
Covenant
Also called a deed of restriction, this agreement between seller and
buyer of property restricts the use of the property as to height,
setback, or other restrictions on a new home or other structures on the
subject property.
Draw
Scheduled payment on a construction loan. Typically issued at selected
construction milestones throughout the building process.
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Easement
A right given by a landowner for a specific and limited use of the land.
Equity
Equity is the net value of a residence minus the unpaid portion of the
mortgage and less any other outstanding amounts (such as a second
mortgage, a lien, etc). The difference between the market value of the
property and the homeowner’s mortgage debt.
Escrow
Delivery of a deed by a grantor to the grantee, via a third party, upon
the completion of a contingent event.
Escrow Deposit
If your lender is scheduled to pay property taxes, insurance, etc. on
your behalf, the borrower must place funds in an escrow account to pay
the required amounts. Typically, the borrower places funds in this
account as part of the monthly mortgage payment.
Escrow Reimbursement
An assumption or “wrap loan” transaction in which the buyer reimburses
the seller for the current balance of his escrow (or impounded) funds.
Federal National Mortgage Association (Fannie Mae)
Fannie Mae, as it is better known, is privately owned corporation
created by Congress to operate in the secondary mortgage market. Fannie
Mae buys and sells residential conventional mortgages and mortgages
insured by the FHA or guaranteed by the VA. See also Freddie Mac below.
Federal Housing Administration (FHA)
A federal agency that insures first mortgages, enabling lenders to loan
a very high percentage of the sale price.
Fixed Rate Mortgage
A fixed rate mortgage is a mortgage that has a fixed interest rate for a
specified period of time, usually 15, 25 or 30 years (typically, the
life of the loan). Fixed mortgages with shorter terms typically have
lower interest rates than loans with longer terms. In addition, fixed
rate mortgages with shorter terms accumulate equity faster than those
with longer terms.
Mortgage Calculator
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Freddie Mac (FHLMC)
Federal Home Loan Mortgage Corporation. A federal agency purchasing
first mortgages, both conventional and federally insured, from members
of the Federal Reserve System and the Federal Home Loan Bank System. See
also Fannie Mae above.
Homeowners Association
A community based organization of homeowners. An annual fee is usually
charged for maintenance of open spaces and any community amenities such
as parks and entrance features.
Homeowners Insurance
Losses or damage to the home or personal property and from damages to
other people or property are risks typically covered by homeowners
insurance and is typically required by the mortgage lender and is often
included in the borrowers monthly mortgage payment.
Insured Mortgage
A mortgage insured against loss to the mortgagee in the event of default
and failure of the mortgaged property to satisfy the balance owed plus
costs of foreclosure.
Lender
A general term encompassing all mortgage providers and beneficiaries
under deeds of trust.
Lien
A lien is a claim placed on property to satisfy an unpaid debt (such as
a mechanic’s lien).
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Loan Commitment
A commitment letter is issued by the lender; the lender agrees to make
the loan to the borrower and sets forth the terms upon which the loan
will be granted.
Loan-To-Value
The ratio of the mortgage divided by the appraised value of the home;
lenders use this ratio to help determine the maximum amount of a
mortgage loan that will be granted.
Mortgage
A mortgage is a lien on a residence to secure repayment of money
borrowed to purchase the residence.
Mortgage Calculator
Origination Fee
The origination fee is a fee charged by the lender to initiate a
proposal for a mortgage.
PITI
A terminology commonly used to represent principal, interest, taxes and
insurance. The combination of these items is used by lenders to
determine the borrowers projected housing costs.
PMI
PMI, or Private Mortgage Insurance, is typically provided by a private
company and paid for by the borrower. PMI is intended to protect the
lender against loss if the borrower defaults on the loan. PMI is only
required for some mortgage loans.
Title
When the ownership of a residence is transferred from the seller to the
buyer, Title is transferred via a document called a deed.
Title Insurance
Lenders and borrowers are protected against financial loss which may
result from legal defects in the Title, or other claims against the
Title by insurance known as Title Insurance.
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