OBLIGEE
A lender or mortgagee. OBLIGOR
A borrower or mortgagor. OBSOLESCENCE
A cause of less in value. (See also depreciation.) OFFER
An intentional proposal or promise made by one party to act or perform, provided
the other party acts or performs in the manner requested. OFFEREE
One who receives an offer, usually the seller. OFFEROR
One who makes an offer, usually the buyer. OPEN-END CLAUSE
A provision in a mortgage allowing the borrower to increase the loan amount as
long as the total debt does not exceed the original mortgage loan amount, with
the lender often reserving the right to adjust the interest rate to current
market rates; a mortgage for future advances. OPEN LISTING
A listing given to any number of brokers who work simultaneously to sell the
owner's property. OPINION OF TITLE
A formal statement by an attorney regarding the status of a title after
examination of the
chain title. OPINION OF VALUE
An estimate of property's worth given by a licensee for the purpose of a
prospective sale. OPTION
A right or privilege to purchase or lease real property at a specified price
during a
designated period based on a sufficient consideration. OPTIONEE
The party who takes an option and pays a consideration. OPTIONOR
The party who gives an option and receives a consideration. ORIGINATION FEE, LOAN
A charge by a lender for taking a mortgage in exchange for a loan. OSTENSIBLE PARTNERSHIP (QUASI PARTNERSHIP)
One or more parties cause a third party to be deceived into believing that a
partnership exists when no such arrangement exists. OVERAGE (SECRET PROFIT; SECRET COMMISSION)
Retaining more than the agreed amount of sales commission, without the express
knowledge and consent of the parties involved; a form of fraud. OVERALL CAPITALIZATION RATE (OAR)
The relationship between annual net operating income and the value or sale price
of a
property. OVERIMPROVEMENT
An addition or change to property not in line with its highest and best use, or
a betterment
that exceeds that justified by local conditions.
