Real Estate Glossary

Letter F

FacadeThe main face or front elevation of a building.

Face(1) The front or facade of a structure See also: Facade. (2) The positioning of a structure, [as to front (face) the ocean]. (3) To surface or cover the front or outer surface of an object. (4) The outside or main appearance of the surface of an object.

Face BrickA treated brick, usually glossy and of even quality, made for use as an exterior finish.

Faced WallA masonry wall, using different materials as a facing and backing, but with facing and backing bonded as one unit for load-bearing.

Face ValueThe value of notes, mortgages, etc., as stated on the face of the instrument, and not considering any discounting.

FacilitatorSee: Qualified Intermediary.

Factor(1) One who buys or sells goods in his own name, but acting as an agent for another. (2) One who buys accounts receivable at a discount.

FactoringPurchasing accounts receivable from a business at a discount.

Failure Of PurposeWhen the intended purpose of an agreement or arrangement can no longer be achieved and, in most cases, releases the parties from their obligations.

Fair Cash ValueSee: Market Value.

Fair Housing ActCommon name for Title VIII of the Civil Rights Act of 1968.

Fair Housing Act Of 1968The term for Title VIII of the Civil Rights Act of 1968 as amended, which prohibits discrimination based on race, color, sex, religion, national origin, handicaps, and familial status in the sale and rental of residential property.

Fair RentalSee: Economic Rent.

Fair ValueThe setting of a reasonable value by a court or board, for the establishment of public utility rates.

Fairway(1) The deepest part of a river or bay, through which boats travel. (2) A passageway kept open in a harbor or bay for boats to enter or exit. (3) A portion of a golf course, bounded on its width by the rough and on its length by the tee and the green.

Fallow(1) Land tilled and prepared for planting, but not planted. A method of soil conservation. (2) Land left idle which would ordinarily be planted.

False AdvertisingIn most instances when in connection with real estate, newspaper classified advertising which misrepresents the property, price or terms. A broker may have his or her license suspended or revoked if the offense is prolonged or deliberately fraudulent.

Familial StatusA protected group under the federal Fair Housing Act and New York State law, making it illegal to discriminate against a person because she is the parent or guardian of a child less than 18 years of age.

FamilyAn individual, or two or more people related by blood, marriage, or adoption living together in one dwelling; or a group of up to three people not related by blood, marriage, or adoption living together as a single housekeeping unit; or one or more people living together in a single housekeeping unit in a hotel or club.

Family RoomA room used informally for recreation, usually built off the kitchen.

Fannie MaeSee: FNMA.

Fan WindowSee: Circlehead Window.

Farm(1) A large parcel of land devoted to raising crops. (2) Land used for producing dairy products (dairy farm) or raising certain fish or animals, such as a lobster farm, oyster farm, etc. (3) A geographical area in which a real estate salesperson concentrates his or her business efforts (farms).

Farmer Home Administration (FMHA)The federal agency which makes, participates in, and insures loans for rural housing and farms.

FasciaA flat, long finishing band or board, used at the outer edge of a cornice, or to conceal rafter ends.

Fast Food RestaurantA limited menu restaurant, offering quick service, low prices, and usually over-the-counter service rather than table service.

FathomA measure of depths used at sea, being six feet.

FDICSee: Federal Deposit Insurance Corporation.

Feasibility SurveyA study of an area before construction of a project, to determine the probable financial success of the project.

Federal Deposit Insurance Corporation (FDIC)The federal corporation which insures against loss of deposits in banks and, since 1989, in savings associations.

Federal Discount RateThe interest rate charged to member banks borrowing from the federal reserve bank(s).

Federal Fair Housing LawTitle VIII of the Civil Rights Act which forbids discrimination in the sale or rental of residential property because of race, color, sex, religion or national origin.

Federal Funds RateThe Federal Reserve's target for short-term interest rates.

Federal Home Loan Bank BoardThe board which chartered and regulated federal savings and loan associations, as well as controlled the system of Federal Home Loan Banks. The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) transferred regulation and chartering of thrifts to the Office of Thrift Supervision (OTS). (See: Office of Thrift Supervision).

Federal Home Loan BanksBanks created under the Federal Home Loan Bank Act of 1932, in order to keep a permanent supply of money available for home financing. The banks are controlled by the Federal Home Loan Bank Board. Savings and loans, insurance companies, and other similar companies making long term mortgage loans may become members of the Federal Home Loan Bank System, and thus may borrow from one of the regional banks throughout the country.

Federal Home Loan Bank SystemSee: Federal Home Loan Banks.

Federal Home Loan Mortgage Corporation (FHLMC)A federally chartered corporation created to provide a secondary mortgage market for conventional loans (Freddie Mac).

Federal Home Loan Mortgage Corporation (Freddie Mac)Non-profit federally chartered institution that functions as a buyer and seller of savings and loan residential mortgages.

Federal Home Loan Mortgage Corporation (the Mortgage Corporation)A semi-governmental purchaser of mortgages in the secondary market. The trading of mortgage securities (Participation Certificates) for mortgages in its guarantor program has been highly successful.

Federal Housing AdministrationSee: FHA.

Federal Income TaxAn annual tax based on income, including monies derived from the lease, use, or operation of real estate.

Federally Insured Reverse MortgageA reverse mortgage guaranteed by the federal government; also called a Home Equity Conversion Mortgage (HECM).

Federal National Mortgage AssociationSee: FNMA.

Federal National Mortgage Association (Fannie Mae)Nation's largest, and privately owned, investor in residential mortgages.

Federal National Mortgage Association (FNMA)“Fannie Mae” is the popular name for this federally chartered corporation, which creates a secondary market for existing mortgages. FNMA does not loan money directly, but rather buys DVA, FHA, and conventional loans.

Federal Open Market Committee (FOMC)Body that controls the Fed's sale and purchase of government securities, and that is made up of the seven members of the Federal Reserve Board, plus the President of the Federal Reserve Bank of New York, and four other Federal Reserve Bank presidents.

Federal ReserveThe government banking agency that sets interest rates for borrowing among banks and regulates government monetary policy. The rates that banks pay for money will determine the rates they charge for loans.

Federal Reserve Board (FED)Body responsible for U.S. monetary policy, maintaining economic stability and regulating commercial banks.

Federal Revenue StampsAlso called IRS stamps. A transfer tax of $ .55 per $500, based on the sale price of real estate (less remaining loans). The tax ended as a federal tax and was taken up by most states with slight modifications in some areas. See also: Documentary Transfer Tax.

Federal RoadSee: Interstate Highway System.

Federal Savings And Loan AssociationA federally chartered institution for savings and home mortgages, under the regulation of the Federal Home Loan Bank Board.

Federal Savings And Loan Insurance Corporation (FSLIC)A federal corporation which insured deposits of thrift (savings and loan) associations. The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) transferred all such insurance to the Federal Deposit Insurance Corporation (FDIC).

Federal Tax LienA lien attaching to property for nonpayment of a federal tax (estate, income, etc.). A federal tax lien differs from other liens in that it is not automatically wiped out by foreclosing on a mortgage or trust deed recorded before the tax lien (except by judicial foreclosure).

Fee(1) Modernly, and not in strict legal terms, synonymous with fee simple or "ownership". (2) A charge made by a landlord to a tenant, which is not refundable. For example: A cleaning deposit would be refunded if the tenant left the rented property reasonably clean. A cleaning fee would be a charge by the landlord for cleaning the rented property and would not be refunded regardless of the condition of the property.

Fee AppraiserAn independent contractor, not an employee of the company requesting the appraisal.

Fee On ConditionDefeasible fee that may be assigned and terminated by the grantor upon the occurrence of an event.

Fee Simple AbsoluteA term now used synonymously with fee simple.

Fee Simple ConditionalSee: Defeasible Title.

Fee Simple DefeasibleSee: Defeasible Title.

Fee Simple DeterminableA defeasible fee that automatically terminated if certain conditions occur. Also called: Determinable Fee. Compare: Fee, Conditional.

Fee-Simple EstateThe maximum possible estate or right of ownership of real property continuing forever.

Fee TailAn estate of inheritance which specifies the descendants, classes, or heirs of the devisee who may succeed to the said estate.

FeltA fabric composed mainly of wool mixed with fur, hair, or synthetics, under heat and pressure.

Felt PaperA highly absorbent, porous paper, used with tar or asphalt as a roofing paper, or over studs as an insulation.

FEMASee: Federal Emergency Management Agency.

FenceA barrier, usually to enclose one's property; may be made of wood, brick, wire, etc.

FenestrationThe decorative manner or plan of placing doors or windows in a structure.

Feudal SystemSystem of land ownership under which a king or queen owns all land and all others are merely tenants.

FHA AppraisalAn FHA evaluation of a property as a security for a loan. Includes the study of the physical characteristics of the property and the surroundings, and the location of the property.

FHA Escape ClauseA clause stating that the buyer (borrower) shall not be obligated to buy nor shall any deposit be lost if the appraisal is less than the agreed upon amount.

FHA (Federal Housing Administration)A federal agency which insures first mortgages, enabling lenders to loan a very high percentage of the sale price.

FHA LoanA loan insured by the FHA and made by an approved lender in accordance with FHA regulations.

FHA Mortgage InsuranceThe protection that lenders receive in the event of foreclosure. The borrower pays the fee for the insurance.

FHLMC (Freddie Mac)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.

FiberboardSee: Insulation Board.

Fiber GlassParticles of glass spun into a form of insulation, or materials such as used in drapes.

FICO (Fair, Isaac And Company, Inc.) ScoreA number which "scores" the credit of a mortgage loan applicant or loan applicant for another purpose. The score is based on many factors, such as too much or too little credit, past delinquencies, bankruptcy, and frequency of inquiries. There are many other factors. Lenders use the score to determine whether to make a loan, and the score may also influence the interest rate charged. FAIR, ISAAC AND COMPANY, INC. also provides insurance scores and many other business services.

Fictitious Deed Of TrustSee: Fictitious Instrument.

Fictitious DocumentA document containing general provisions but not regarding specific property. The fictitious document is recorded in all counties of a state. Whenever the same type of document is recorded regarding specific property, the provisions of the fictitious document are incorporated by reference, saving both the costs of printing, and recording extra pages.

Fictitious InstrumentAn instrument (usually a mortgage or deed of trust) which is recorded not on specific property but to be incorporated by reference into future mortgages or deeds of trust. This is done by reference to the recording information of the fictitious instrument in the instrument recorded against a specific property. This shortens the latter instrument and thereby cuts the costs of printing, paper, recording, etc. The fictitious instrument contains general language applicable to any specific property.

Fictitious MortgageSee: Fictitious Instrument.

Fictitious NameCommonly refers to a company name in a business not incorporated. The owner files a certificate of fictitious name. For example: Joe Smith (real name), Joe's Garage, (fictitious name). Also called a D.B.A. (doing business as).

Fidelity BondInsurance covering an employer for loss caused by dishonest acts of specific employees.

FiduciaryOne acting in a relationship of trust, regarding financial transactions.

Fiduciary DeedDeed executed by a trustee, executor, or other fiduciary, conveying property the fiduciary does not own but is authorized to manage.

Fiduciary DutiesWhat is owed to all clients in an agency relationship—obedience, loyalty, disclosure, confidentiality, accountability, and reasonable care.

Fiduciary RelationshipA relationship of trust and confidence, as between trustee and beneficiary, attorney and client, principal and agent.

Field TileA series of tiles placed at the base of the superstructure to retard seepage of ground waters through the foundation. See also: Disposal Field.

Fill(1) To supply an area with additional material (fill) to raise or obtain a uniform grade level. (2) The materials used for fill such as dirt, gravel, etc.

Filtering DownWhen one practice has negative residual effects. See: Redlining, Blockbusting.

Final DecreeA decree completely deciding all pending matters before a court, and obviating the need for further litigation.

Finance CompanyFinancial institution that usually specializes in making higher risk loans at higher interest rates.

Finance InstrumentLegal documents that establish the rights and duties of all parties involved in transaction.

Financial CorporationA general term encompassing companies dealing in finance, such as banks, savings and loan associations, insurance companies, and similar companies.

Financial StatementAn accounting statement showing assets and liabilities of a person or company. Used generally for large loans or other instances when the credit report (history of payment of debts) in itself is not sufficient.

Financing CostsThe cost of interest and other charges involved in borrowing money to build or purchase real estate.

Financing StatementA recorded instrument, taking the place of personal property liens in some states. Used instead of chattel mortgages, inventory liens, pledges, etc.

Finder's FeeA fee paid to someone who finds a buyer or property for a broker, buyer, etc. The term is sometimes used to attempt to pay a commission to an unlicensed person. Generally, a finder's fee is considered a commission and may only be paid to one who holds a real estate license.

Finder’s FeeReferral fee paid for directing a buyer or seller to a real estate agent.

Finish FloorThe flooring over the subfloor, usually of hardwood, tile, or other finish on which one may walk. In some modern construction where carpeting is installed by the builder, plywood is used as a finish floor.

Finish HardwareSee: Hardware.

FirebackSee: Chimney Back.

FirebrickA brick specially made of clay which can be exposed to extremely high temperatures without damage. Used in furnaces, fireplaces, and similar high temperature areas.

Fire InsuranceInsurance against loss or damage by fire to specific property. May also include other coverage.

FireplaceA square, rectangular, or arched opening usually in a wall at the base of a chimney, lined with stone or masonry, and used for an open fire within a structure. Modernly, a decorative, more than necessary, part of a home.

Fireproof ConstructionHaving all exposed and load-bearing members of a noncombustible material, and structural members which can be injured by fire (such as iron or steel) protected by noncombustible materials.

Fire-ResistiveAble to withstand specified temperatures for a certain time, such as a one hour wall. Not fireproof.

Fire RockSee: Igneous Rock.

Fire Sprinkler SystemSee: Sprinkler System.

Fire StopA means of preventing fire or smoke from traveling through a structure by filling concealed air spaces with fire-resistive materials.

Fire WallA wall to divide parts of a building, and prevent the spread of fire. Should rise from basement level to a minimum of three feet above roof level, and all openings through the wall should be protected by fireproof doors.

First BottomThe flood plain of a river or stream.

First Lien PositionThe lien with highest priority when there is more than one mortgage or other debt or obligation secured by the property.

First Payment DefaultFailure of a borrower to make the first payment on the loan. May be grounds to investigate whether proper procedures were used in making the loan.

First Refusal RightA right, usually given by an owner to a lessee, which gives the lessee a first chance to buy the property if the owner decides to sell. The owner must have a legitimate offer which the lessee can match or refuse. If the lessee refuses, the property can then be sold to the offeror.

First Substantive ContactAn event triggering agency disclosure (e.g., prior to entering into a listing agreement, prior to showing a property, at an open house when a buyer displays serious interest, etc.).

First UserA tax term signifying the one who builds or buys property and is the first one to put the buildings to use. Certain tax (depreciation) advantages are given to the first user. The term concerns only depreciable property (improvements) and prior use of the land only (farming) would not be considered.

FISBOSee: For Sale By Owner.

Fiscal PolicyThe government's policy in regard to taxation and spending programs. The balance between these two areas determines the amount of money the government will withdraw or feed into the economy in an attempt to counter economic peaks and slumps.

Fiscal YearAn accounting year, which may be the calendar year, or any other one year period. The United States budget is based on a fiscal year from July 1, to June 30.

Fixed AssetsPermanent assets, necessary for the operation of a business, such as buildings, heavy machinery, etc.

Fixed ExpensesProperty expenses not effected by use or occupancy. Example: Property taxes would be fixed while maintenance would vary with use and occupancy.

Fixed InstallmentA payment, usually monthly, not subject to change.

Fixed LiabilityA liability that will not mature during a company's fiscal period, such as a 20-year mortgage.

Fixed Monthly Loan AdvancesPayments of the same amount that are made to a borrower each month under a reverse mortgage.

Fixed Rate LoanLoan with an interest rate that remains constant for the duration of the loan.

Fixed Rate MortgageA mortgage having a rate of interest which remains the same for the life of the mortgage.

Fixed WindowA window which has no moveable parts, such as a picture window.

FixturesPersonal property which is attached to real property, and is legally treated as real property while it is so attached. Fixtures, not specifically excepted from an accepted offer to purchase, pass with the real estate.

FlagstoneA decorative, flat, slate-like stone, used in walkways and patios, and processed in a variety of colors.

FlangeA projecting border, edge, rim, etc., used as a means of attachment to another object, as a method of adding strength, stability, etc.

FlankThe side of any structure, hill, etc.

FlashingSheet metal or similar material, used at different points in a structure to prevent water seepage, such as around vent pipes, chimneys, etc.

FlatA building containing a single living unit on each floor, and sometimes referred to by the number of units, such as two flat, four flat. Flats are no longer built, having given way to duplexes, fourplexes, etc.

Flat CostThe direct cost of labor and materials used in construction of a project.

Flat LeaseSee: Straight Lease.

Flat RoofA roof having an almost level surface, except for either being slightly convex, to allow drainage towards it edges, or slightly concave, allowing water to drain at the center of the roof.

Flexible ConduitA conduit that can flex (bend) to reach from another line (gas, electric, etc.) to the point of intended use.

Flexible Interest RateSee: Variable Interest Rate.

Flexible Loan Insurance PlanSee: Pledged Account Loan.

Flexible Rate MortgageSee: Adjustable Mortgage Loans.

Flight PatternThe path (pattern of lights) used by airplanes for approaching and departing from an airport.

FlipFlexible Loan Insurance Plan. See: Pledged Account Loan.

Flipping1. Purchasing a property and immediately reselling it for a profit. 2. When a condominium owner assigns his purchase rights to another buyer before the sale of that property or unit has closed. Also called: Assigning a Contract.

Flip TaxA fee, imposed by the co-op board, for the transfer of ownership during the sale of the unit.

Flitch BeamA beam formed by two or more timbers, cut lengthwise, called flitches, between any two of which is placed a metal plate for additional strength, and all pieces are bolted together.

Flitch BeamsTwo or more timbers cut lengthwise and bundled together to provide additional support for the ceiling and roof.

FloatFunds in collection. The amount of a check in the possession of one bank but drawn on another is the float.

Floating RateSee: Variable Interest Rate.

Floating SlabA concrete slab foundation where the slab and supporting beams are poured separately. See: Monolithic Slab.

FloodAn overflowing of a body of water from its normal boundaries, so that land usually dry is covered with water. May be a regular occurrence (sometimes even desirable for farming) or a disaster, if severe.

Flood CertificationThe determination by the Federal Emergency Management Agency (FEMA) whether flood insurance is required and the degree of risk. Flood zones are rated as to risk and the cost of flood insurance varies accordingly.

Flood PlainThe extent of the land adjoining a river, which, because of its level topography, would flood if the river overflowed its banks.

Floor(1) The inside bottom or lowest horizontal surface of a room, on which one walks or stands. (2) The different levels (stories) in a building, such as main floor, second floor, etc.

Floor Area RatioA term commonly used to indicate the allowable square footage of a building according to zoning requirements. The ratio is between the total floor area of the building and the lot or plot on which it is built. Example: a 50,000 square foot lot may have a maximum of 100,000 square feet of floor area. A ten story building, each story having 10,000 square feet of floor space, would be allowed. The floor area ratio would be two to one, expressed simply as 2.

Floor DrainsSewer drains in the floor of a building, used where there may be a heavy accumulation of water, such as in a basement of a house, or where floors may be cleaned with a hose such as in an industrial building.

Floor FurnaceA furnace placed directly below a floor, which has no ducts and heats only through a grill in the floor.

Floor HangerAn iron, stirrup-like brace, used to support a floor joist.

Floor JoistA joist used to support flooring placed over it.

Floor LoadThe live load in pounds per square foot, which a floor is capable of holding safely.

Floor LoanThe lower of two amounts of a single take out loan. For example: A lender agrees to loan on an office building being constructed, in the amount of eighty percent of appraised value if the building is seventy-five percent occupied, but only seventy percent of appraised value if the building is less than seventy-five percent occupied. The lower amount is the floor loan.

Floor Of ForestThe covering of the ground of a forest, composed of partially decomposed vegetation, twigs, etc. Also called duff.

Floor PlanThe layout of a building or portion of a building (apartment, office, etc.) showing the size of the rooms and the purpose of each (bath, bedroom, etc.). A good floor plan should be very important to a builder, since it will be important to a buyer or tenant.

Floor TimeA period during the working day when a specific salesperson is responsible for general inquiries (walk-in or telephone) regarding property in a brokerage office. This is generally established as a set, rotating number of hours per week for each salesperson. When a salesperson is "on the floor" he or she must be in the office or make arrangements with another salesperson to cover the floor during those hours.

Flowage EasementNot an easement by agreement, but the common law servitude of land of a lower grade level to allow water from land of a higher level to flow across it.

Flow TideHigh tide. The highest tide under normal weather conditions, as determined by the phases of the moon.

Flue(1) The opening or passageway in a chimney through which smoke, gases, etc., pass from a building. (2) Any opening or passageway for the elimination of gases, fumes, etc.

Flume(1) A natural gorge or ravine, through which a stream flows. (2) An artificial channel, inclined as a chute, and used to hold running water on which logs are floated from one place to another.

Fluorescent LightingTubular glass lights, the interior of which has a fluorescent coating. Light is produced by the action of a stream of electrons upon the coating.

FNMA BuydownFNMA ( Federal National Mortgage Association) accepts loans containing a buy down provision on single family residential, owner occupied properties. A prepayment (points) will buy a lower rate of interest during the first one to five years of the loan. Restrictions apply as to the amount of the buydown and rise in payment amount as the loan progresses.

FNMA (Fannie Mae)A private corporation dealing in the purchase of first mortgages, at discounts.

FOIASee: Freedom Of Information Act.

FooterThe underground base, usually concrete, that supports a foundation.

FootingA foot-like projection at the base of a foundation wall, column, pier, etc., used to secure, support, and help eliminate settling or shifting.

ForbearanceThe waiting for payment of a debt by a creditor after the debt becomes due.

Forced-Air FurnaceA furnace having a fan or blower which forces the warm air through the ducts, rather than having the air circulated by the action of gravity.

Forced PriceThe price paid at a forced sale.

Forced SaleA sale which is not the voluntary act of the owner, such as to satisfy a debt, whether of a mortgage, judgment, etc. The selling price under such a sale would not be considered market value.

Forced ValueSee: Forced Sale.

Force Majeure (French)A force which cannot be resisted. In other words, something beyond the control of the parties involved. Includes Acts of God (see which) and acts of man (riots, strikes, arson, etc.) Used primarily in insurance but may be extended to any type of performance contract, such as construction.

Forcible Entry And DetainerA summary proceeding for restoring to possession of land one who is wrongfully kept out or has been wrongfully deprived of the possession.

Foreclosure ActionA lawsuit filed by a creditor to begin foreclosure proceedings.

Foreclosure SaleA sale of property used as security for a debt, to satisfy said debt.

Foreign AcknowledgmentAn acknowledgment taken outside of the state in which the land lies.

Foreign CorporationA corporation incorporated in another state. In New York, for example, a Delaware corporation would be a foreign corporation. See also: Corporation; Domestic Corporation.

ForeshoreThe shore between the average line of the flow tide and the average line to the ebb tide.

ForestA large area of land, covered with a heavy growth of trees and underbrush.

ForfeitureThe taking of an individual's property by a government, because the individual has committed a crime.

ForgeryA false signature or material alteration with intent to defraud. The forged signature of the grantor will not pass title regardless of recording or lack of knowledge by the grantee or future grantees. Title insurance will insure against forgery. The word may extend beyond signatures (forged paintings, documents, etc.)

Formal ContractAny of three types of contracts. (1) Contracts under seal. (2) Contracts of record. (3) Negotiable instruments.

Formal WillA written, witnessed will.

Form ContractSee: Formal Contract.

FormicaA synthetic material under a trade name. Mainly used for counter- tops in kitchens, bathrooms, etc. Other uses include paneling, facing of wallboards, etc., as a durable interior finish.

Forms(1) Restraints, such as plywood sheets, to control the shape of poured concrete until it hardens. (2) A general term meaning instruments which are not unique, but printed in quantity, usually with blank spaces to be filled in to identify specific facts.

For Sale By OwnerAn attempt to sell property without using an agent.

Forward CommitmentProvides the borrower with a locked-in loan rate. Used to allow owners of property to know their mortgage obligation before renting the property and builders to have the same knowledge before construction.

FoundationThe part of a building which supports the superstructure, usually below ground level. See: Concrete Slab Foundation; Pier and Beam Foundation.

Foundation WallsThe sidewalls that support a structure, typically made of poured concrete, concrete block, or brick.

FoyerThe open area or hallway upon entering a building, such as in a theater or hotel; also found in many homes. See also: Lobby.

Fractional AppraisalAn appraisal of a portion of a property, such as the value of a leasehold interest, value of an improvement without land, etc.

Fractional InterestSee: Divided Interest.

Fractional PropertyA part of a property considered separately from the whole property (usually for appraisal or insurance purposes).

Fractional RateSee: Split Rate.

Frame ConstructionType of construction in which the structural parts are of wood or are dependent on a wooden frame for support.

Frame HouseCommonly used to describe a wood sided house. See also: Wood Frame Construction.

FramingThe outer structural member of a building or part of a building, such as window framing, or the skeletal support of members of a building.

FranchiseA private contractual agreement to run a business using a designated trade name and operating procedures.

FraudA misstatement of a material fact made with intent to deceive or made with reckless disregard of the truth and that actually does deceive.

Freddie MacSee: FHLMC.

Free And ClearReal property against which there are no liens, especially voluntary liens (mortgages).

Freedom Of Information ActLaw requiring the government to disclose certain information upon a proper request. One of the exemptions to the act is disclosure of geological and geophysical information, such as maps showing the location of oil wells.

FreeholdAn estate, at least of duration of a lifetime, or of fee.

Freehold EstateAn estate in land in which ownership is for an indeterminate length of time, in contrast to a leasehold estate.

Free RentAn inducement for a tenant to lease space. The amount of time the tenant may occupy the property without paying rent is usually based on the supply and demand for space and the length of the lease.

Free Standing BuildingA building containing one business, rather than a row of stores or businesses with a common roof and side walls.

FreewayA highway with ramp entrances and exits only, all crossroads at a different grade level, and charging no tolls or fees.

French CurveA draftsman's tool used in drawing noncircular curves. Also called an irregular curve.

FreonThe gas added to a refrigerator or air conditioner, which produces cold.

FrescoA method of painting on a wall on wet plaster. The paint becomes part of the wall and remains much longer than if simply painted on a dry plaster wall.

FriableEasily reduced to powder or crumbled. Nonpliable.

Front(1) The external portion (face) of a building, which usually contains the main entrance. See also: Facade. (2) That portion of land bordering on a river, ocean, street, etc.

FrontageThe linear measurement along the front of a parcel, that is, the portion facing a road, waterway, walkway, etc. that would be considered the most valuable measurement of the property.

Frontage RoadSee: Service Road.

Front ElevationSee: Elevation (2).

Front FootageSee: Frontage.

Front Foot CostA determination of the value of real property based on a value per foot as measured along the frontage of a parcel. Usually used with commercial property.

FrostlineThe depth to which the soil freezes.

Fructus IndustrialesThose things created by the labor (industry) of man rather than by nature alone. For example: a planted crop rather than an iron ore deposit. Important because Fructus Industriales is treated as personal property.See also: Emblements; Fructus Naturales.

Fructus NaturalesProduced by nature alone, such as trees (not planted by man), or minerals in the ground. Considered real property. See also: Emblements; Fructus Industriales.

FSBOSee: For Sale by Owner.

FSLICSee: Federal Savings and Loan Insurance Corporation.

Full Covenant And Warranty DeedContains the strongest and broadest form of guarantee of title of any type of deed, and provides the greatest protection of any deed to the grantee. In this type of deed, the grantor makes various covenants, or warranties.

Full DisclosureIn real estate: (1) revealing all the known facts which may affect the decision of a buyer or tenant. A broker must disclose known defects in the property for sale or lease. A builder must give to a potential buyer the facts of his new development (are there adequate school facilities?; sewer facilities?; an airport nearby?; etc.). (2) A broker cannot charge a commission to buyer and seller unless both know (disclosure) and agree.

Fully Amortized LoansLoans for which the total payments over the life of the loan pay off the entire balance of principal and interest due at the end of the loan term.

Fully Amortizing LoanA loan of equal, regular payments which cause the principal and interest to be completely paid by the due date.

FunctionalThe ability of anything to perform its intended use or purpose.

Functional ObsolescenceThe impairment of functional capacity or efficiency; the inability of a structure to perform adequately the function for which it is currently employed. Functional obsolescence reflects the loss in value brought about by factors that affect the property, such as overcapacity, inadequacy, or changes in the art.

Funding FeeA fee required by the Department of Veterans Affairs for making a VA guaranteed loan. The funding fee is added to the loan and then forwarded to the VA to guarantee a veteran's loan.

FundsMoney available for a qualified purpose, such as loan funds for F.H.A. insured loans, conventional loan funds, etc.

FurlongA linear measure, one eighth of a mile, used in horse racing.

FurnaceAn enclosed heating device. Modernly, a box-shaped unit containing a burner, which is fed oil or gas through a pipe. The heat from the burning gas or oil is circulated, usually with the aid of a fan, through ducts to areas to be heated.

Furniture And FixturesAn entry in an accounting statement, referring to those items considered depreciable, as business fixtures and furniture, rather than real property.

FurringNarrow strips of wood or metal which are applied to walls, floors, ceilings, etc., as a means of leveling the area before applying the surface boards or laths.

FuseA device to prevent the overloading of an electrical circuit, by containing a strip of metal which melts at relatively low heat and breaks the circuit. In modern construction, the fuse has been replaced by circuit breakers.

Fuse BoxA metal box containing the main wiring and all electrical circuit connections, protected by fuses.

Future Acquired PropertyProperty acquired after a loan or sale. For example: A loan agreement may state that the loan is a lien on all property presently owned or which the borrower may acquire in the future. See also: After Acquired Property; After Acquired Title.

Future Advance ClauseAlso called an additional advance clause. A clause in a mortgage or deed of trust which allows the borrower to borrow additional sums at a future time, secured under the same instrument and by the same real property security. Contained in an open-end mortgage or deed of trust.

Future InterestA person's present right to an interest in real property that will not result in possession or enjoyment until sometime in the future, such as a reversion or right of reentry.