Letter of intent (LOI)
A short document outlining the main terms of a proposed lease or purchase, such as price, rent, term and contingencies, before a full contract is drafted. Most of it is usually non-binding.
Also called: LOI, term sheet, letter of interest
Related terms
The signed contract between buyer and seller that sets the price, deadlines, contingencies and terms of a sale. Once both sides sign, the property is under contract.
A buyer's written proposal to buy a property at a stated price and terms. It becomes a binding contract only when the seller accepts it as written and both sides sign.
Changes made to a space to fit a tenant's needs, such as walls, flooring and wiring. Landlords often offer a TI allowance per square foot, which is negotiated as part of the lease.
The buyer's work to check a property before committing, such as inspections, surveys, HOA documents and zoning. In some states, like North Carolina, it is a defined period with a fee paid to the seller.
A contract between a landlord and tenant that sets the rent, term, deposit and rules for using a property.