Glossary – E

Empty Rates – Empty rates is a tax levied on vacant commercial property.You don’t have to pay business rates on empty buildings for 3 months. After this time, most businesses must pay full business rates.

Endorsement – This is the parties’ signature of their documents being Landlord’s Schedule of Dilapidations and the Tenant’s Response

Energy Act – Coalition government introduced this act to focus on improving energy efficiency of buildings. The Act makes it unlawful to let premises that do not meet minimum energy efficiency standards from April 2018 (minimum EPC rating of E), thereby making it illegal for landlords to rent buildings with an F or G EPC rating unless certain energy efficiency improvements are made.

Energy Performance Certificates (EPC) – Energy Performance Certificates (EPCs) are needed whenever a property is: built, sold or rented. An assessor visits the building, examines areas such as loft insulation, domestic boiler, hot water tank, radiators and windows. The observations are in-putted into a software program which outputs the energy efficiency of the building.

Escrow – A signed and sealed deed held by a third party (agent, solicitor) which only becomes operable upon delivery or by fulfilment of some other condition.

Estate – The legal right to ownership in land (and building on the land). Strictly speaking all UK land belongs to the Crown, so individuals and companies own interests (estates) in land. The two main types of interest are: Freehold and Leasehold. Estate also refers to a holding of land and property or a deceased person’s property.

Estate Agent – A person acting in a legal capacity as sales agent, managing agent or advisor for a principal (property owner or landlord) in real estate matters.

Estoppel – A legal principle that prevents a party from denying or alleging a certain fact owing to that party’s previous treatment, allegation, or retraction

Execution – The signing of a document (deed) in the presence of witnesses/s, sealing and delivering, which makes it legally enforceable.

Exit Yield – The yield used for capitalizing the left over income from the assumed sale date of an investment

Expert Determination – A dispute resolution process in which an independent expert is appointed by the parties to resolve the matter. It is an impartial and flexible process where the expert’s decision is legally binding on both parties.

Expert Witness – A person who has knowledge beyond that of the ordinary lay person enabling him/her to testify about facts they have observed, regarding an issue that requires expertise to understand.