Navigating the San Diego real estate market? Whether you're buying your first home or getting ready to list, knowing the language of real estate can save you time, money, and stress.
To help you feel more confident throughout your journey, we’ve put together a list of essential real estate terms you’re likely to encounter—broken down in simple, easy-to-understand language.
- Pre-Approval
This is your lender’s way of saying, “Yes, you're financially ready to buy.” In a competitive San Diego market, getting pre-approved shows sellers you're serious—and puts you ahead of other buyers.
- Contingencies
These are conditions that must be met for the sale to go through, such as home inspections or financing. If they’re not satisfied, the buyer or seller can walk away without penalty.
- Escrow
A neutral third party that holds money and documents during the sale process. Escrow ensures both the buyer and seller meet all terms before the deal is finalized.
- Appraisal
This is a professional opinion of a home’s market value—often required by lenders to confirm that the purchase price makes sense.
- Closing Costs
These are the fees and expenses that come with finalizing a home sale—like loan processing, escrow services, and title insurance. In San Diego, these typically range from 1–3% of the purchase price.
- Earnest Money
Think of this as your “I’m serious” deposit. It’s submitted with your offer and held in escrow until closing.
- Title & Title Insurance
The title proves who legally owns the property. Title insurance protects you (and your lender) from any future disputes or claims against the home’s ownership.
- MLS (Multiple Listing Service)
This is the main system real estate agents use to list and search for homes. It’s where San Diego listings go first—and where we find the best matches for our clients.
- Home Inspection
A licensed inspector checks the home’s structure, systems, and safety. It’s a key step in buying, especially in older homes or areas close to the coast.
- Counteroffer
If an offer isn’t quite right, the other party can respond with new terms. Expect a bit of back-and-forth—it’s normal in San Diego’s fast-paced market.
Ready to Buy or Sell in San Diego?
At Coastal Luxe Properties, we help San Diego buyers and sellers feel informed and empowered from day one. Real estate doesn’t have to be confusing—especially with the right team by your side.
📲 Reach out for a free consultation—we’re here to help every step of the way.