GAP LOAN One that fills the difference between the floor loan and the full amount of the permanent loan.
GARDEN APARTMENTS A housing complex whereby some or all tenants have access to a lawn area.
GENERAL CONTRACTOR The party that contracts for the construction of an entire building or project rather than a portion of the work. The general contractor hires subcontractors, (e.g., plumbing contractors, electrical contractors, etc.), coordinates all work, and is responsible for payment to the subcontractors.
GENERAL LIEN A lien that includes all of the property owned by the debtor, rather than a specific property.
GENERAL PARTNER A member of a partnership who has authority to bind the partnership. A general partner also shares in the profits and losses of the partnership. See also LIMITED PARTNERSHIP and PARTNERSHIP.
GENERAL WARRANTY DEED A deed in which the grantor agrees to protect the grantee against any other claim to title of the property and provides other promises.
GENTRIFICATION The displacement of lower-income residents by higher-income residents in a neighborhood. Generally occurs when an older neighborhood is rehabilitated or revitalized.
GIFT DEED A deed for which consideration is love and affection and no material consideration is involved.
GI LOAN Same as VA loan.
GIM Gross income multiplier.
GINNIE MAE Nickname for Government National Mortgage Association.
GINNIE MAE PASS THROUGH A pass-through certificate secured by a pool of mortgage loans insured by the Government National Mortgage Association, an arm of the federal government. Ginnie Mae pass throughs often provide high yields with security to investors, although the returns may be affected by the pattern of loan repayments on the mortgages in the pool.
GOOD AND MARKETABLE TITLE Title to a piece of real estate that can be shown, usually by title search or abstract of title to be vested in the owner of record, and free of claims or liens that would impair its marketability.
GOOD AND MERCHANTABLE TITLE Same as good and marketable title.
GOOD FAITH An act done honestly.
GOODWILL A business asset of intangible value created by customer and supplier relations.
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA) A government organization to assist in housing finance. There are 2 main programs: 1. to guarantee payments to investors in mortgage-backed securities 2. to absorb the write-down of low-interest rate loans that are used to finance low-income housing
GOVERNMENT RECTANGULAR SURVEY A rectangular system of land survey that divides a district into 24-square mile quadrangles from the meridian (north-south line) and the baseline (east-west line); the tracts are divided into 6-mile square parts called townships, which are in turn divided into 36 tracts, each 1 mile square, called sections.
GOVERNMENT-SPONSORED ENTERPRISE (GSE) A quasi-governmental organization that is privately owned but was created by the government and retains certain privileges not afforded totally private entities.
GPM Graduated-payment mortgage.
GRACE PERIOD The period during which one party may fail to perform without being considered in default
GRADE (1) Ground level at the foundation. (2) Tto prepare a smooth surface on a site.
GRADED LEASE Same as graduated lease.
GRADIENT The slope or rate of increase or decrease in the elevation of a surface; usually expressed as a percentage:
GRADUATED LEASE A lease, generally long term in nature, with varied rental payments and usually based on periodic appraisal or simply the passage of time.
GRADUATED-PAYMENT MORTGAGE (GPM) A mortgage requiring lower payments in early years than in later years. Payments increase in step each year until the installments are sufficient to amortize the loan.
GRANDFATHER CLAUSE When a law is changed or a new law is passed, those whose specific activity was legal under the previous law are often allowed to continue, by virtue of this provision.
GRANT To transfer an interest in real property; either the fee or a lessor interest, such as an easement.
GRANTEE One to whom a grant of property or property rights is made; generally the buyer.
GRANTOR One who grants property or property rights, generally, the seller.
GRANTOR/GRANTEE INDEX A reference kept with public records that cross-indexes grantors and grantees with one another and the properties they relate to.
GRM Gross rent multiplier.
GROSS ABSORPTION Absorption is a measure of the amount of office space leased over a period of time. Gross absorption is a measure of the total square feet leased oer a period of time with no consideration for office space vacated in the same area during the same period. See also NET ABSORPTION.
GROSS AREA The total floor area of a building measured in square feet or square meters that is associated with the building's use as office building. The area extends to the outer surface of exterior walls and windows and includes office area, retail area, and other rentable areas such as vending machine space and storage area, but excludes parking and roof space.
GROSS INCOME Total income from property before any expenses are deducted.
GROSS INCOME MULTIPLIER (GIM) Same as gross rent multiplier.
GROSS LEASABLE AREA The floor area that can be used by tenants. Generally measured from the center of joint partitions to outside wall surfaces. Contrast net LEASABLE area.
GROSS LEASE A lease that provides that the landlord shall pay all expenses of the leased property, such as taxes, insurance, maintenance, utilities, etc.
GROSS OPERATING INCOME The total amount of cash generated by the operations of a property.
GROSS POSSIBLE RENT Same as potential gross income.
GROSS PROFIT RATIO In an installment sale, the relationship between the gross profit (gain) and the contract price. The resulting fraction is applied to periodic receipts from the buyer to determine the taxable gain from each receipt.
GROSS RENT MULTIPLIER (GRM) The sales price divided by the contract rental rate.
GROUND LEASE A lease covering the use of land only, with the lease sometimes secured by improvements installed by the tenant. Also called a LAND LEASE.
GROUND RENT Rent paid for vacant unimproved property. If the property is improved, ground rent is that portion of the total earnings attributable to the land only.
GROWING-EQUITY MORTGAGE (GEM) A mortgage loan in which the payment is increased by a specific amount each year, with the additional payment amount applied to principal retirement. As a result of the added principal retirement, the maturity of the loan is significantly shorter than a comparable level-payment mortgage.
GUARANTEE To agree to indemnify the holder of a loan all or a portion of the unpaid principal balance in case of default by the borrower.
GUARANTOR One who makes a guaranty.
GUARANTY An assurance provided by one party that another party will perform under a contract.
GUARDIAN One appointed by a court to administer the personal affairs or property of an individual who is not capable of such duties.
GUIDELINE LIVES Depreciable lives, for buildings and equipment, that are used in trade or business. Generally applied to assets bought before 1981; the accelerated cost recovery system applies to depreciable assets bought in 1981-1986; the modified accelerated cost recovery system applies to purchases after 1986.