El Paso Real Estate Glossary

A summary of the recorded history of ownership and liens on a property, used to verify clear title before a real estate transaction closes.

An independent professional estimate of a property's market value, required by most mortgage lenders. In Texas, the appraiser must be licensed by TALCB (Texas Appraiser Licensing and Certification Board). If the appraisal comes in below the purchase price, you may need to renegotiate or make up the difference in cash.

A federally required document provided by your lender at least 3 business days before closing. It shows all final loan terms, closing costs, and the exact cash you need to bring to closing. Compare it carefully to your original Loan Estimate.

A report prepared by a real estate broker comparing recently sold, active, and expired listings to estimate a property's current market value. ProGen prepares CMAs using live GEPAR MLS data — not Zillow estimates.

A condition in the purchase contract that must be met for the sale to proceed. Common contingencies include financing (loan approval), inspection (satisfactory condition), and appraisal (home value meets purchase price). If a contingency is not met, the buyer can typically withdraw without penalty.

A good-faith deposit (typically 1% of the purchase price in El Paso) placed in escrow when the buyer's offer is accepted. Applied to closing costs at settlement. May be forfeited if buyer backs out after the option period without a valid contractual reason.

Funds or documents held by a neutral third party (title/escrow company) until all conditions of the transaction are satisfied. In El Paso, escrow is handled by the title company — not a separate escrow company as in California.

Greater El Paso Association of Realtors — the local real estate trade association that administers the MLS (Multiple Listing Service) in El Paso. GEPAR membership is required to access the MLS directly.

An organization that governs a planned community or subdivision, funded by mandatory dues from homeowners. HOAs enforce CC&Rs (Covenants, Conditions & Restrictions), maintain common areas, and may impose fines. In El Paso, many newer Westside and Northeast neighborhoods have HOAs — always review HOA documents before making an offer.

A legal claim against a property by a creditor — typically a mortgage lender, contractor (mechanic's lien), or taxing authority. All liens must be cleared before title can transfer to a new owner. The title search during escrow identifies any existing liens.

A contract between a homeowner and a real estate broker authorizing the broker to market and sell the home. In Texas, the standard form is the TREC Residential Listing Agreement.

A private, members-only database where licensed REALTOR members share property listings. In El Paso, the MLS is administered by GEPAR. MLS data feeds Zillow, Realtor.com, and other portals — but those portals receive the data with a delay.

A small payment (typically $100 to $500 in El Paso) made by the buyer directly to the seller in exchange for the right to terminate the contract during the option period for any reason. The option fee is separate from earnest money and is generally non-refundable.

A negotiated window (typically 5 to 10 days in Texas) after contract execution during which the buyer can back out for any reason and receive their earnest money back. Use this time to complete your inspection and review all disclosures.

A formal document from a mortgage lender stating that you have been conditionally approved for a loan up to a specified amount, based on verified income, assets, and credit. Required by most El Paso sellers before considering your offer.

Texas Real Estate Commission — the state agency that licenses and regulates all real estate agents and brokers in Texas. TREC creates standardized contract forms (like the One to Four Family Residential Contract) and investigates complaints against licensees. Verify any agent's license at trec.texas.gov.

Legal ownership of a property. 'Clear title' means there are no liens, claims, or disputes against ownership. Title is transferred via a deed at closing.

Insurance that protects against ownership claims or defects discovered after closing. Lender's title insurance (required by your lender) protects the lender. Owner's title insurance (optional but recommended) protects you. Both are purchased at closing for a one-time premium.

The status of a property after the buyer and seller have signed a purchase agreement but before closing. In El Paso, you may also see 'Active Option Contract' (in option period) or 'Pending' (option period ended, loan in process) on the GEPAR MLS.

A mortgage loan guaranteed by the U.S. Department of Veterans Affairs, available to eligible veterans, active duty military, and surviving spouses. VA loans require no down payment and no private mortgage insurance (PMI). Given El Paso's large Fort Bliss and WSMR military community, VA loans are very common in the local market.