Common Real Estate Acronyms

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If you’ve ever found yourself wondering what FFO or NOI means, you’re not alone. The real estate industry is chock a block full of acronyms for everything under the sun. Our helpful Members on myREINspace have compiled a lengthy list of acronyms worth noting when building your real estate investing portfolio.

Common Real Estate Acronyms

AP – Capitalization Rate (NOI / price)

CAPEX – Capital Expenditures

CMHC – Canadian Mortgage and Housing Corporation

CRA – Canada Revenue Agency

DCR – Debt coverage ratio

DP – Down Payment

FFO – Funds from Operations

GDS – Gross Debt Service Ration (usually left out)

GRM – Gross Rent Multiplier

HELOC – Home Equity Line of Credit

JV – Joint Venture

LIRA – Locked In Retirement Account

LOC – Line of Credit

LTV – Loan to Value

MB – Mortgage Broker

MIC – Mortgage Investment Corporation

NOI – Net Operating Income

REIA – REal Estate Investment Advisor

REIN – Real Estate Investment Network 

REIT – Real Estate Investment Trust

REO – Real Estate Owned – a property owned by a US bank

ROE – Return on Equity (as opposed to cash on cash it also counts the mortgage paydown)

R & M – Repair and Maintenance

ROI – Return on Investment

RRSP – Registered Retirement Savings Plan

RTA – Residential Tenancy Act (in Alberta)

RTDRS – Residential Tenancy Dispute Resolution Service

RTO – Rent to Own

SD – Security Deposit

TB – Tenant-Buyer 

TDS – Total Debt Service Ratio (usually left out)

TFSA – Tax Free Savings Account

TI – tenant improvement

Have we missed any? Have one to add? Post your comments below!

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