Your browser does not support JavaScript.
Home Dictionary E Energy Return on Investment (EROI) Energy return on investment (EROI) is the amount of energy used to produce a certain amount of clean energy. EROI is an important factor determining the pricing of energy carriers and electricity. EROI decreases when energy becomes scarcer and harder to extract or produce. 18-Hour City
September 25, 2022 Eighteen o’clock cities are vibrant small urban areas that are proving to be attractive to new residents, entrepreneurs and investors. 48-Hour Rule
September 25, 2022 The 48 Hour Rule refers to the part of the mortgage allocation process related to the purchase and sale of Mortgage Backed Securities (MBS) to be announced (TBA). Absorption Rate
September 25, 2022 The takeover ratio is commonly used in the real estate market to determine how many houses are on the market at a given time. Adjusted Funds From Operations (AFFO)
September 25, 2022 Adjusted Funds from Operations (AFFO) is a financial measure used to value a real estate investment fund (REIT). Alternative Investment
September 25, 2022 An alternative investment is a financial asset that does not fall under the usual capital/income/cash categories. Angel Investor Definition and How It Works
September 25, 2022 An angel investor is usually a wealthy person who finances early-stage startups, often with their own funds. Appraisal Management Company (AMC)
September 25, 2022 A Valuation Management Company (AMC) is an independent real estate appraisal company hired by a lender to appraise a potentially mortgaged property. Bespoke CDO
September 25, 2022 An individual CDO is a collateralized debt obligation tailored to the specific needs of a specific group of investors. Capital Improvement
September 25, 2022 A major improvement is a long-term upgrade, adaptation, or improvement to a property that adds value to it, often including structural changes or restoration. Capitalization Rate
September 25, 2022 The capitalization rate is calculated by dividing the property’s net operating income by the current market value. Collateralized Mortgage Obligation (CMO)
September 25, 2022 Collateralized mortgage obligations are investment debt securities consisting of packaged mortgage loans organized according to their risk profiles. Commercial Real Estate
September 25, 2022 Commercial property refers to property used specifically for business or income. Dark Pool
September 25, 2022 Dark pools are private asset exchanges designed to provide additional liquidity and anonymity when trading large blocks of securities away from prying eyes. Delinquent
September 25, 2022 Offender refers to the state of arrears. Direct Participation Program (DPP)
September 25, 2022 The Direct Participation Program, or DPP, offers investors access to business cash flow and tax incentives. Disruptive Technology
September 25, 2022 Disruptive technology replaces an old process, product, or habit. Distressed Sales
September 25, 2022 Pressure selling occurs when the seller urgently needs to sell an asset, often to pay debts or medical expenses, or in other emergencies. Distribution Waterfall
September 25, 2022 The distribution waterfall determines the order in which the profits from pooled investments are distributed to the investors in the pool. Earnest Money
September 25, 2022 A deposit is, in fact, a deposit that the buyer pays for the house he wants to buy. Effective Gross Income (EGI)
September 25, 2022 Effective gross income is calculated by adding the potential gross rental income to other income and subtracting the vacancy and loan costs of the rental property. Encumbrance
September 25, 2022 An encumbrance is a claim made on property by someone other than the current right holder. Equity Co-Investment
September 25, 2022 Equity co-investment is a relatively small investment made in a company at the same time as a larger private equity or venture capital investment. Equity-Linked Security (ELKS)
September 25, 2022 An equity-linked security is a debt instrument with variable payments linked to a stock market benchmark. Escrow Agreement
September 25, 2022 An escrow agreement is a legal document that sets out the terms and conditions between the parties as well as the responsibilities of each of them. Esoteric Debt
September 25, 2022 Esoteric debt refers to debts or other financial instruments that have a complex structure that is correctly understood by only a few people with specialized knowledge.