Glossary of Property Term - B

Book value
The value which is ascribed to a property shown in the accounts as a capital asset but is not necessarily current market value, since it may be based on actual cost (less depreciation, if any) or on earlier valuation after acquisition.

Break-even (point)
In a cash flow appraisal of a project, eg house building for sale or break-up operation, the time at which turnover is equal to the sum of fixed costs and variable costs.

Break-even analysis
A cash flow technique, which, on such assumptions as are made, shows the profit (or loss) of a project and it’s break-even point.

Break point (break date)
The date at which a lease terminates when a break clause has been invoked. Not to be confused with the date when notice of the intention to break requires to be served.

Break-up operation
In the property sense, when property has been acquired or held as a whole, the disposal of that property in parts to maximise the total sum realised.

Break-up value
The value of a specific property, eg an estate of land and buildings, based on the assumption that it is lotted and sold in parts, in such a manner as to achieve the best possible price.

Bridging finance
A short-term loan often made available as bulding finance, eg to a developer, for period which may be from the beginning of a building programme until such time as the developer has secured funds of a more permanent nature, from which source the bridging finance is repaid. The repayment will include rolled-up interest (unless interest is payable during the period of the loan). It could extend to include an advance of part or the whole of the cost of site acquisition (site finance). In effect, where a developer has insufficient funds to meet his total commitment until permanent funds are available, the short-term loan “bridges” the time gap.

Bridging loan
Usually money made available, eg bank loan, to a borrower enabling him to purchase a property. Repayment will normally be made from the proceeds of sale of the borrowers existing premises

Brochure
A form of descriptive booklet or leaflet containing illustrations and full details of the main points necessary to inform and to persuade a prospective purchaser or lessee of the desirability of a property or to describe to a client or prospective client the merits of a products , i.e property or anythings.

Broker
An authorised or unauthorised agent or middleman who acts for a vendor / seller or a purchaser / buyer in any particular  transaction.

Buffer zone
A tract of land left undeveloped and often remains as green area and sometime  planted with trees in order to shield/protect one land use from another, eg residential from industrial.

Building
A structure built to provide shelter for people, animals or goods. Usually an enclosed structure with walls and roof, as in a house or factory. A building is intended to be permanent, or at least to stand for a reasonable period of time. Self-standing walls or fences do not constitute a building, but a wall adjacent to a building and suporting a roof could be constructed as part of the building.

Building contract
A contract between an owner or occupier of land and a building contractor, setting forth the terms under which construction is to be undertaken. A contract will normally include details of work to be carried out, basis of remuneration, time-scale, penalties, if any, for failure to comply with terms of the contract.

Building contractor
A builder who enters into a contract with an employer under which he becomes obligated to carry out building or engineering work of a nature, extent and specification described in the contract and usually within a presribed period.

Building surveyor
An individual who is competent to undertake building surveys, prepare building specifications, place contracts with builders, supervise repair, restoration or new work and generally manage allied works on behalf of clients to whom he will owe the normal duty as an agent or employee, depending o the terms of his engagement.

Bull market
The financial market at a time when prices are rising and in which “bulls” would prosper.

Bungalow
A single-storey dweling. Also commonly known as detached house.

Buyer’s market
In the property market, a condition of suply and demand in which those seeking to purchase are in a relatively strong negotiating position because of a degree of oversupply. Normally under this condition, the asking price are relatively low as compared to seller’s market ( opposite market scenario  )