Terms Starting with O
50 terms
Operating Expense Ratio
The operating expense ratio (OER) is operating expenses as a percentage of gross rental income—a benchmark for how efficiently a property is run and how much NOI is left.
Operating Expenses
Operating expenses are the recurring costs required to operate and maintain a rental property, including property taxes, insurance, maintenance, property management fees, utilities, and reserves -- but excluding debt service, capital expenditures, and depreciation.
Operating Partner
Operating Partner is a investment strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of syndication deals.
Operating Reserve
Operating Reserve is a financial strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of real estate investing deals.
Operator
Operator is a investment strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of syndication deals.
Operator Model
Operator Model is a investment strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of real estate investing deals.
Opportunistic Investment
Opportunistic Investment is a investment strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of real estate investing deals.
Opportunity Cost
Opportunity Cost is a deal evaluation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of deal analysis deals.
Opportunity Zone
Opportunity Zones are 8,764 census tracts designated under the Tax Cuts and Jobs Act of 2017 where investors can defer and reduce capital gains taxes by investing through Qualified Opportunity Funds, with gains on the new investment eliminated entirely after a 10-year hold.
Opportunity Zone Fund
Opportunity Zone Fund is a tax strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of tax optimization deals.
Option Money
Option Money is a deal evaluation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of purchase process deals.
Option Period
Option Period is a deal evaluation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of purchase process deals.
Option to Purchase
Option to Purchase is a deal evaluation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of deal analysis deals.
Origination Fee
An origination fee is an upfront charge by the lender to process, underwrite, and originate a mortgage. It's typically expressed as a percentage of the loan amount—Origination Fee = Loan Amount × Fee Percentage (usually 0.5–2%)—and paid at closing.
Origination Points
Origination Points is a real estate lending concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of purchase process deals.
Out-of-State Investing Blueprint
The Out-of-State Investing Blueprint is a systematic approach to purchasing and managing rental properties in markets outside your home state, relying on a remote team of property managers, agents, contractors, and lenders to execute your investment strategy.
Over-Asking Offer
Over-Asking Offer is a deal evaluation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of purchase process deals.
Over-Improvement
Over-Improvement is a construction and renovation concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of value add renovations deals.
Over-Improvement Trap
The Over-Improvement Trap occurs when an investor spends more on renovations than the local market will return in increased property value or rent, effectively destroying equity rather than creating it.
Overlay District
Overlay District is a legal strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of legal protection asset structuring deals.
Oversubscribed
Oversubscribed is a investment strategy concept that describes a specific aspect of how real estate transactions, analysis, or operations work in the context of syndication deals.
Owner Occupancy
Owner occupancy means you live in the property as your primary residence — a requirement for FHA and VA loans that unlocks low down payments and better rates in exchange for actually moving in.
Owner Occupancy Requirement
An owner occupancy requirement is a lender condition that you must live in the property as your primary residence for a specified period (typically 12 months) when using owner-occupied financing such as FHA loans or conventional mortgages.
Owner-Occupied Financing
Owner-occupied financing is a mortgage obtained with the intent to live in the property as your primary residence—qualifying for better rates, lower down payments (typically 3.5–15% vs 20–25% for investment property), and more flexible loan terms.