Buyer reference

Las Vegas Real Estate Glossary

59 terms Nevada buyers run into, from SIDs and the property tax cap to VA funding fees and HOA resale packages, explained in plain English.

Filter terms

A

Age-Qualified Community (55+) and HOPA

An age-qualified or 55+ active-adult community may set age requirements under the federal Housing for Older Persons Act (HOPA). To qualify, at least 80% of occupied homes must have at least one resident 55 or older, and the HOA must publish and follow age-verification policies. Sun City Summerlin and Sun City Anthem are two of the valley's largest. Each community's CC&Rs set its own occupancy and guest rules, so read them before you write an offer.

Appraisal Gap

An appraisal gap is the difference between your contract price and a lower appraised value. Your lender bases the loan on the lower number, so the gap has to be handled: you bring extra cash, the seller lowers the price, you meet in the middle, or you cancel if your appraisal contingency is still open. In competitive situations some buyers offer to cover a set amount of gap. We'll decide together whether that fits your budget.

Assumable Loan

An assumable loan lets you take over the seller's existing mortgage and its interest rate. FHA and VA loans are generally assumable with the servicer's approval; most conventional loans are not. You cover the difference between the price and the loan balance with cash or a second loan, and approval can take longer than a new mortgage. If a non-veteran assumes a VA loan, the seller's entitlement can stay tied up. Confirm terms with the servicer and a lender.

B

Builder Incentives and Preferred Lender

Builder incentives are credits a new-home builder offers toward closing costs, a rate buydown, upgrades or price. They're often tied to using the builder's preferred lender, frequently an affiliated mortgage company. You can usually choose your own lender, but the incentive may depend on using theirs. Compare the full Loan Estimate, not just the headline rate, get a quote from an outside lender too, and make sure every incentive is written into the contract.

Builder Warranty

A builder warranty covers defects in a new home for set periods after closing. Many builders use a tiered structure, commonly about one year for workmanship and materials, two years for major systems and ten years for structural items, but terms vary by builder, so read the actual warranty document. Note every claim deadline, report problems in writing, and schedule an independent inspection before the first-year coverage ends.

Buyer Brokerage Agreement

A buyer brokerage agreement is the contract between you and the brokerage representing you. It sets out the agent's duties, the term and how the agent is paid. Under Nevada law, residential brokerage agreements made on or after October 1, 2025 must be in writing, so we'll sign one before I start showing you homes. It must have a definite end date, and you get a copy. Ask me about compensation before you sign; for legal advice, see an attorney.

C

Capital Contribution and Transfer Fee

Many Las Vegas HOAs charge one-time fees when a home sells. A capital contribution (sometimes called a working capital or reserve contribution) goes into the association's funds. A transfer fee covers the management company's cost of updating ownership records. A home in both a master HOA and a sub-association may owe each fee twice. Who pays which is negotiated in the purchase agreement, so get the amounts early and put the split in writing.

Casita and ADU

A casita is a small, separate living space, usually a bedroom and bathroom, either attached with its own exterior entrance or detached in the yard. It's the Las Vegas term you'll see in listings for what other markets call an accessory dwelling unit (ADU). Whether you can add a kitchen or rent it out separately depends on city or county zoning and the HOA's rules, so verify both before you count on rental income.

CC&Rs (Covenants, Conditions and Restrictions)

CC&Rs are the recorded rules that govern an HOA community: what you can build, paint or plant, where you can park, pet limits, rental restrictions and how assessments work. They run with the land, so they bind every future owner. On a resale you'll get them in the HOA resale package. Read them before your review period ends, especially if you plan to rent, park an RV, or add a pool or casita.

Certificate of Eligibility (COE)

A Certificate of Eligibility (COE) is the Department of Veterans Affairs document that shows a lender you qualify for a VA home loan and how much entitlement you have available. Most VA lenders can request it online for you; sometimes you'll need to supply discharge or service records. Getting your COE before you start touring homes avoids delays once you're under contract. Your lender can confirm what documentation you need.

Clark County Assessor vs. Treasurer

Two county offices handle your property taxes. The Clark County Assessor determines taxable value and keeps ownership, exemption and abatement records, so it's where you claim the 3% cap or a veterans' exemption. The Clark County Treasurer bills and collects the taxes, plus Clark County SID assessments. The tax year starts July 1, and bills can be paid in full or in four installments due in August, October, January and March.

Closing Costs

Closing costs are the fees and prepaid items due at closing on top of your down payment: lender fees, appraisal, title insurance, escrow and recording fees, prepaid interest, homeowners insurance, property tax reserves, and HOA fees where they apply. In Clark County the seller customarily pays for the owner's title policy, but much is negotiable. Your lender's Loan Estimate is the best early estimate, so ask them to walk you through every line.

CMA (Comparative Market Analysis)

A comparative market analysis (CMA) is an agent's estimate of a home's market value based on recent comparable sales, pending deals and active competition nearby. In Las Vegas, good comps usually come from the same subdivision or HOA, with similar square footage, lot size, single- or two-story layout, and pool or no pool. I prepare one before you make an offer so your price is grounded in data. It isn't an appraisal, which your lender orders separately.

Condo-Hotel

A condo-hotel is a privately owned unit in a building that runs like a hotel, with a front desk, housekeeping and often an optional rental program that books your unit to guests. You'll find a handful near the Las Vegas Strip. Most conventional, FHA and VA lenders won't finance them, so plan on cash or specialty financing, and expect a smaller pool of future buyers. Review the rental program agreement, fees and use limits carefully.

Contingencies

Contingencies are conditions in your purchase agreement that let you cancel and recover your earnest money if something isn't satisfied by a deadline. Common ones in Las Vegas include the due diligence period, appraisal, financing, HOA document review and, sometimes, the sale of your current home. Each has a date. If it passes without a written cancellation, that protection usually ends, so I track every deadline closely.

Contingent vs. Pending Status

A listing's MLS status tells you where the deal stands. Contingent generally means the seller accepted an offer but conditions such as inspections, financing or a short-sale approval are still open, and the seller may accept backup offers. Pending generally means those conditions are cleared and the sale is heading to closing. Exact labels vary, so if a home you like is under contract, I can check with the listing agent.

Conventional Loan

A conventional loan is a mortgage that isn't insured by a government agency like FHA or VA. Most follow Fannie Mae or Freddie Mac guidelines and stay under the annual conforming loan limit. Down payments can be modest, but putting less than 20% down usually means PMI. Conventional loans work for primary homes, second homes and rentals. Your lender can confirm current limits and terms for your situation.

D

Debt-to-Income Ratio (DTI)

Debt-to-income ratio (DTI) compares your monthly debt payments, including the new house payment with taxes, insurance and HOA dues, to your gross monthly income. Lenders use it to decide how much you can borrow. Because HOA dues and special assessments vary so much across Las Vegas, two homes at the same price can qualify very differently. Your lender will tell you the DTI limit for your loan program.

Design Center

The design center is where you choose finishes and upgrades for a new-construction home: flooring, cabinets, counters, fixtures, and often structural and electrical options. Upgrades raise the price, may require an extra deposit, and don't all add equal resale value. Set a budget before your appointment, prioritize items that are hard to change later, like structural options and wiring, and get every selection confirmed in writing.

DSCR Loan

A DSCR loan (debt service coverage ratio) is an investor mortgage that qualifies you mainly on the property's expected rent compared with its payment, rather than on your personal income. It's popular with rental buyers who are self-employed or own several properties. Expect larger down payments and higher costs than a conventional loan, and confirm the HOA allows rentals before you count on the income. Compare terms from more than one lender.

Dual Agency (Multiple Representation)

Nevada law doesn't use the term dual agency. It treats this as one licensee acting for more than one party, which is allowed only after full disclosure and each party's written consent on the state's Consent to Act form, which explains the conflict of interest and confidentiality limits. Separately, a broker may assign different agents from the same brokerage to each side. You can decline consent and choose your own agent. For legal advice, consult an attorney.

Due Diligence Period

The due diligence period is the window in a Las Vegas purchase agreement for inspections, reviewing seller disclosures, getting insurance quotes and researching the property. The number of days is negotiated and written into the contract. During this period you can generally cancel and recover your earnest money if you're not satisfied, or ask for repairs or credits instead. I recommend booking your inspector the day your offer is accepted.

E

Earnest Money Deposit (EMD)

Earnest money is the good-faith deposit you make after your offer is accepted. It goes to the escrow company named in the contract, not to the seller, and it's credited toward your down payment and closing costs. The amount is negotiable. You can generally recover it if you cancel within a contingency period; miss a deadline and it can be at risk. Never wire it without confirming instructions by phone (see wire fraud).

Escrow

Escrow is the neutral third party that holds your earnest money and closing funds, collects signed documents, pays off the seller's loan and disburses money when the sale closes. In Las Vegas, escrow is usually handled by a title company, which also issues the title insurance. Your escrow officer prepares instructions that both sides sign. The word also refers to the account many lenders use to pay your property taxes and insurance.

F

FHA Loan

An FHA loan is a mortgage insured by the Federal Housing Administration, popular with first-time buyers for its low down payment and flexible credit standards. It carries mortgage insurance (MIP) both up front and monthly, and loan amounts are capped by county limits. Condos must be in an FHA-approved project or qualify for single-unit approval, which rules out some Las Vegas buildings. Your lender can confirm current limits and costs.

G

Gated Community

A gated community has an entry gate that opens with a remote, code or app, but no staffed guardhouse. Many Las Vegas subdivisions are gated, from townhome complexes to single-family neighborhoods. Gates limit vehicle access and cut through traffic; the HOA pays to maintain and repair them, which shows up in your dues. A gate isn't a security guarantee, so get to know any area by visiting at different times of day.

Guard-Gated Community

A guard-gated community has a staffed gatehouse where visitors check in, while residents typically use a separate entry lane. Las Vegas examples include The Ridges, Red Rock Country Club, Spanish Trail and Canyon Gate. Staffing hours vary, and guards add meaningfully to HOA dues compared with a gate-only neighborhood. Ask whether the gate is staffed around the clock and how deliveries, rideshares and contractors are handled.

H

HO-6 Insurance

HO-6 is the homeowners insurance policy for condos and some townhomes. The association's master policy typically covers the building and common areas; your HO-6 covers the interior, your belongings, liability and often improvements you've made. How much interior coverage you need depends on whether the master policy is "walls-in" or "bare walls," which the HOA documents spell out. Most condo lenders require it, so get a quote during due diligence.

HOA (Homeowners Association)

An HOA (homeowners association) maintains common areas, enforces the CC&Rs and collects dues in a planned community or condo building. HOAs are very common across the Las Vegas Valley, especially in master-planned communities and newer neighborhoods. Dues vary widely, from modest in basic subdivisions to much higher in guard-gated and high-rise communities. Nevada HOAs are governed by NRS Chapter 116. Ask me for current dues on any home you're considering.

HOA Resale Package

The HOA resale package is the set of documents a seller must provide when selling a home in a Nevada HOA, including the governing documents, budget and financial statements, a reserve study summary, and current assessments and fees. Under Nevada law, you can cancel the purchase by written notice until midnight of the fifth calendar day after you receive it. Read it closely, especially rental rules, special assessments and reserve funding.

I

IDX and MLS

The MLS (multiple listing service) is the database where member agents share listings; in Southern Nevada it's operated by Las Vegas REALTORS®. IDX (Internet Data Exchange) is the system that lets agent websites display MLS listings to the public. When you use my Las Vegas home search, you're seeing MLS listings through IDX. Some details stay agent-only, so ask me if something you need isn't shown.

J

Jumbo Loan

A jumbo loan is a mortgage larger than the conforming loan limit set each year for Fannie Mae and Freddie Mac loans. In Las Vegas, jumbo financing is common for luxury homes in areas like The Ridges, MacDonald Highlands and Ascaya. Lenders usually want stronger credit, larger cash reserves and more documentation, and guidelines vary by lender. Get pre-approved by a lender with jumbo experience before you start touring.

L

Leased vs. Owned Solar

Solar panels on a Las Vegas resale home are either owned (paid off or still financed by the seller) or leased under a lease or power purchase agreement with a solar company. Paid-off systems convey with the house. With a lease, you usually must qualify with the solar company and take over the contract, or the seller pays it off. Financed and leased systems may carry a UCC filing. Get the contract early in due diligence.

LID (Local Improvement District)

A Local Improvement District (LID) is the City of Henderson's term for a district that works like a SID: it financed infrastructure such as streets, sewers or utilities in a newer area, and owners repay it through a special assessment on each parcel. Henderson LID assessments are billed separately from regular property taxes. Before you buy in a newer Henderson community, ask for the remaining balance and payoff amount.

Lot Premium

A lot premium is the extra amount a builder charges for a more desirable homesite in a new-construction community: a larger lot, a cul-de-sac or corner location, no rear neighbors, or views of the Strip or mountains. It's added on top of the base price and design upgrades. Weigh whether a future buyer will value that premium too, and ask whether it's negotiable, especially on the last lots in a phase.

M

Master HOA vs. Sub-Association

Many Las Vegas master-planned communities have two layers of HOA. The master association covers community-wide parks, trails and landscaping. A sub-association covers your specific neighborhood, often including its gate, private streets or shared landscaping. You may pay both, each with its own dues, rules and transfer fees. Summerlin and many Henderson communities work this way, so always add both together when you compare homes.

Minimum Property Requirements (MPRs)

Minimum Property Requirements (MPRs) are the VA's basic standards a home must meet to be financed with a VA loan: safe, structurally sound and sanitary. The VA appraiser may flag items like roof damage, peeling paint on older homes, missing handrails or nonworking heating and cooling. Required repairs typically must be completed before closing, so we negotiate who handles them. MPRs aren't a home inspection; you still want your own.

N

Nonfunctional Turf

Nonfunctional turf is decorative grass that isn't used for recreation, like grass in street medians, HOA entryways and commercial frontages. Nevada's AB 356 bars using Colorado River water distributed by the Southern Nevada Water Authority to irrigate it starting January 1, 2027, on properties not zoned exclusively for single-family homes. Single-family yards aren't covered, but HOA common areas can be, which may change community landscaping and budgets.

P

PMI (Private Mortgage Insurance)

Private mortgage insurance (PMI) protects the lender, not you, when you put less than 20% down on a conventional loan. It's usually a monthly charge added to your payment. PMI can generally be removed once you build enough equity, either on request or automatically under federal rules; FHA mortgage insurance follows different rules. Your lender can show you how PMI changes with your down payment and credit score.

Pre-Approval vs. Pre-Qualification

A pre-qualification is a lender's quick estimate based on what you tell them. A pre-approval means the lender has reviewed your credit, income, assets and documents, so it carries far more weight with sellers. Most Las Vegas listing agents expect a pre-approval letter with every offer. Get pre-approved before you tour seriously, and have the letter updated to match each offer. Neither one is a final loan commitment.

Pre-Drywall Inspection

A pre-drywall inspection happens on a new-construction home after framing, plumbing, electrical and HVAC are roughed in but before the walls are closed. A private inspector can catch framing, wiring, plumbing and insulation issues that are hidden later. Builders vary in whether and when they allow it, so request it in writing when you sign your contract, and follow it with a final inspection before closing.

Property Tax Abatement (3% Cap)

Nevada's property tax abatement caps the yearly increase in your tax bill at 3% on an owner-occupied primary residence; rentals and other homes that aren't owner-occupied get a higher cap. It isn't automatic. After you buy, the Clark County Assessor mails a tax cap notice that you sign and return to claim the primary-residence rate. The cap limits the bill, not the home's value. Confirm details with the Assessor or a CPA.

R

Rate Buydown

A rate buydown lowers your mortgage interest rate in exchange for an upfront payment. A permanent buydown (paying discount points) lowers the rate for the life of the loan; a temporary buydown, like a 2-1, lowers it for the first year or two before it returns to the note rate. Builders and sellers often fund buydowns as an incentive or concession. Make sure you can afford the full payment, and have your lender compare the options.

Real Property Transfer Tax

The real property transfer tax is charged when a deed is recorded in Nevada, based on the property's value. The Clark County Recorder collects it at closing through escrow. In Las Vegas the seller has traditionally paid it, but who pays is negotiable and should be spelled out in the purchase agreement; under state law, buyer and seller are both liable. Your escrow officer will show the amount on your settlement statement.

Recording

Recording is when your deed is filed with the Clark County Recorder, making the transfer of ownership official and public. In Las Vegas, a sale is generally considered closed when the deed records, not when you sign. After you sign and your lender funds the loan, escrow submits the deed for recording. Keys are typically handed over once it records, unless your contract says otherwise.

Reserve Study

A reserve study is a professional review of an HOA's major shared components, like roofs, private roads, gates, pools and walls, estimating how long each will last and what it will cost to replace. Nevada law generally requires associations to have one done at least every five years and reviewed by the board each year. A summary comes in the HOA resale package. A well-funded reserve lowers the odds of a surprise special assessment.

RV Parking

RV parking in a Las Vegas listing usually means a side-yard pad behind a gate wide enough for a trailer, boat or motorhome, sometimes with hookups. Many HOAs restrict RVs on the lot or in view of the street, and city and county codes also limit where they can sit. Measure gate width, height clearance and turning room, and confirm both the HOA rules and local code before you buy.

S

Seller Concessions

Seller concessions are credits from the seller toward your closing costs, prepaid items or a rate buydown. They're negotiated in the purchase agreement and often come up when a home has sat on the market or after inspection. Each loan program, whether FHA, VA or conventional, caps how much the seller can contribute, and credits generally can't cover your down payment. Your lender has the final word on what's allowed.

Short-Term Rental (STR)

A short-term rental (STR) is a home rented for short stays, typically under a month, often through vacation-rental platforms. In the Las Vegas Valley, Clark County, the City of Las Vegas, Henderson and North Las Vegas each set their own licensing and location rules, and many HOAs prohibit STRs outright. Don't assume a home can operate as an STR because it did before. Verify zoning, licensing and HOA rules before you write an offer.

SID (Special Improvement District)

A Special Improvement District (SID) is formed to finance infrastructure such as streets, sidewalks, streetlights, and sewer and water lines, usually in newer areas. Owners inside it repay the cost through a special assessment that's a lien on the property, billed separately from regular property taxes over a set number of years. Henderson's version is called an LID. Ask for the remaining balance and payoff options before you buy.

Spec Home and Quick Move-In

A spec home, often marketed as a quick move-in or inventory home, is a new-construction home the builder started without a buyer, with the floor plan and finishes already chosen. It can close much sooner than a to-be-built home, and builders sometimes offer extra incentives to sell them. You give up most design choices. Still get an independent inspection, and confirm when the builder warranty starts.

T

Title Insurance

Title insurance protects against ownership problems that existed before you bought, like unknown liens, recording errors or forged documents. There are two policies: the lender's policy, which protects your mortgage lender, and the owner's policy, which protects you. In Clark County the seller customarily pays for the owner's policy and the buyer pays for the lender's policy, though it's negotiable. Review the preliminary title report during escrow.

U

UCC Filing

A UCC filing, often a UCC-1 fixture filing, is a public notice that a lender or solar company has a claim on equipment attached to a home. In Las Vegas it most often involves leased or financed solar panels. It can show up on the preliminary title report and usually needs to be resolved before closing, either by the buyer taking over the contract or the seller paying it off. Ask the title officer about it early.

V

VA Funding Fee

The VA funding fee is a one-time fee paid to the Department of Veterans Affairs on most VA loans, which helps keep the program running without monthly mortgage insurance. The amount depends on your down payment and whether you've used your VA benefit before, and it can usually be rolled into the loan. Veterans receiving VA disability compensation are generally exempt. Your lender can confirm whether it applies to you.

VA Loan

A VA loan is a mortgage guaranteed by the Department of Veterans Affairs for eligible veterans, service members and some surviving spouses. It often allows no down payment and has no monthly mortgage insurance. With Nellis Air Force Base in the valley, VA loans are common here. The key pieces are your Certificate of Eligibility, the funding fee and the VA appraisal. Confirm eligibility and terms with a VA lender.

Veterans' Exemption

Nevada's veterans' exemption reduces the assessed value used to calculate a qualifying veteran's property tax. It generally requires Nevada residency, an honorable discharge and active-duty service during set wartime periods or campaigns. Veterans with a permanent service-connected disability of 60% or more qualify for a larger disabled veteran's exemption. You apply with the Clark County Assessor and renew yearly; it can go toward property tax or vehicle registration taxes. Confirm current amounts with the Assessor.

W

Warrantable vs. Non-Warrantable Condo

A warrantable condo is in a project that meets Fannie Mae and Freddie Mac guidelines, so it qualifies for standard conventional financing. A non-warrantable condo doesn't, often because of high investor ownership, pending litigation, one owner holding too many units, or hotel-style operations. That includes some Las Vegas high-rises and most condo-hotels. Non-warrantable usually means a larger down payment or a portfolio loan, so check the building early.

Water Smart Landscapes (SNWA)

Water Smart Landscapes is the Southern Nevada Water Authority's rebate program that pays property owners per square foot to replace grass with water-efficient desert landscaping. You need approval before removing any grass, and converted areas are placed under a conservation easement that stays with the property. If a previous owner took the rebate, you generally can't put grass back in that area. Check current terms with SNWA before you plan a project.

Wire Fraud

Wire fraud is when criminals impersonate an escrow officer, agent or lender, usually by email, and send fake wiring instructions for your earnest money or down payment. Wired money is very hard to recover. Before sending any wire, call your escrow officer at a phone number you've verified independently, never one from the email. Treat any message saying wiring instructions have changed as a red flag, and call me or escrow right away.

Dana Benrud · REALTOR®

Rather have a person explain it?

Contracts, HOA packages and loan disclosures make more sense with someone walking you through them. That’s my job.

Ask Dana a question Find my neighborhood