Earnest money - The monetary deposit against the purchase of a property to show the buyer's intention to fulfill the contract.

Easement - A right created by grant, reservation, agreement, or prescription to allow other parties to access someone else's property.

Economic feasibility - An analysis of whether or not it is financially viable to build a project in terms of costs, revenue, and potential income or return.

Economic rent - The rental value, established by the current market, of a property, similar to "comparables" to establish sale value.

Effective date - A registration statement becomes effective and the sale of securities can start on that date.

Effective gross income (EGI) - The total income from a property from rents and other sources, minus any appropriate or established vacancy factor. EGI is expressed as collected income before expenses and debt service.

Effective gross rent (EGR) - Net rent realized after subtracting any tenant improvements and other capital costs, lease commissions and other sales expenses

Effective rent - The actual rent achieved by the landlord after subtracting any concessions allowed to a tenant, usually expressed as an average rate over the lease's term.

Electronic Authentication - Methods used to provide proof that an electronically sent document is genuine, unaltered and came from the expected source.

Eminent domain - A government's power to acquire or "take" the property owned by a private party by condemnation for a public use. In return, the government must pay just compensation.

Encroachment - When a structure extends, without permission of the property's owner, over the boundary line of a property, easement boundary or building setback line.

Encumbrance - A right to, claim, or interest in, real property which is held by someone other than the owner that may affect the ability to transfer the fee title of the property.

Engineering Report - Report on the current physical condition of a property and its major building systems, such as, HVAC, parking lot, plumbing, and roof, created by an engineer or architect. The report also determines an cost for figuring any necessary replacement reserves.

Environmental impact statement - Documents required by Federal and state laws to be filed with proposals for major projects indicating what will be the likely impact on the local environment.

Equity - In real estate, the residual value of a property after mortgages or any other claims or liabilities are subtracted.

ERISA (Employee Retirement Income Security Act) - Legislation passed in 1974 and administered by the Department of Labor that legislates how the investment activities, primarily of corporate and union pension plans, can be managed and invested.

Escalation clause - A clause in a lease contract that calls for an increase in rent to reflect increases in expenses, such as real estate taxes and operating costs, paid by the landlord. Also a clause in a purchase offer for a property that allows the offer to be automatically raised if a higher offer is received.

Escrow agreement - A written agreement between an escrow agent and the parties to a contract setting forth the basic obligations of the parties, describing the funds (money or other things of value) to be placed in escrow, and instructing the escrow agent concerning the management and disposition of the deposited funds.

Estoppel certificate - A document used in commercial income leases or mortgage transactions, where the lender is secured by leased property. The lender obtains the document, prior to funding, certifying that certain statements of fact are correct as of the date of the statement and can be relied upon by a third party. The certificates are signed attestations of the landlord and tenant to the terms of their commercial lease agreement. The landlord and tenant will be "estopped" by the lender from claiming different lease terms at a later date. The estoppel certificate gives the lender more rights and flexibility for selling the property in case the borrower defaults.

Exclusive agency listing - A written contract between a property owner and a real estate broker in which the owner agrees to pay a fee or commission to the broker if the specified real property is leased during the listing period.

Exit strategy - An investor's or investment groups' strategy for the liquidation of all or part of their investment.