Real Estate Glossary

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OBLIGEE - One to whom an obligation (promise) is owed.

OBLIGOR - One who legally binds (obligates) oneself, such as the maker of a promissory note.

OFFER - A presentation of proposal for acceptance, in order to form a contract.  To be legally binding an offer must be definite as to price and terms.

OFFER AND ACCEPTANCE - Necessary elements of a contract o sell real estate.

OFF-SITE IMPROVEMENTS - Not on the property to be sold.  An example would be for the developer of a housing tract to sell only the house and lot, but stipulate that he must build the streets, sewers and etc. not on the lot.

ON-SITE IMPROVEMENTS - Structures erected permanently for use on a site, such as buildings, fences, etc.

OPEN-END MORTGAGE - A mortgage permitting the mortgagor to borrow additional money under the same mortgage, with certain conditions, usually as to the assets of the mortgage.

OPEN HOUSE - Refers to a property that is available for public viewing (without an appointment) during a set time period.

OPEN LISTING - A written authorization to a real estate agent by a property owner, stating that a commission will be paid to the agent upon presentation of an offer which meets a specified price and terms.  However, the agent has no exclusive right to sell and must bring in his offer before any other offer is presented or accepted.

ORDINARY REPAIRS - Repairs necessary to keep a property in good condition, against ordinary wear and tear, decay, etc.

ORIGINAL COST - The purchase price of property, paid by the present owner.  The present owner need not be the first owner.

ORIGINATION FEE - Lender's fee for processing and underwriting loan documents.  Usually a percentage of the loan such as 1%.

OWNER - One who has the rights of ownership.