I need the definition of two real estate terms - 

1: Vacancy factor: MVACTY

2a & 2b: Fee simple

The first, I have been able to find no definition for. It is generally
applied to multi-family dwellings.


The second, I have found "The greatest percentage possible", etc. What
I need is - 2a - plain english, beyond what I've found, what is fee
simple, and 2b - how does it apply to condos in Hawaii? Does
native/non-native apply, and is it a factor? Ie: if you go to
realtor.com, and look up condos in hawaii, some will be listed fee
simple, some fee simple with land leases that readjust every ten years
for 40 years, and some with no fee simple qualifications listed. What
does this term do.

Again, plain english explanation summaries of the definitions required for the tip.

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Clarification of Question by vegasfyr-ga on 25 Nov 2005 08:22 PST

Well, my answers have been found, thanks for the comments.

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Request for Question Clarification by cynthia-ga on 25 Nov 2005 18:56 PST

Hi vegasfyr,

My brother has been a Realtor for 18 years, I asked him about MVACTY. 
He *thinks* it stands for Minimum VACancy [per] Tax Year. He asked a
friend that deals in Multi-Family almost exclusively, and he didn't
know conclusively.  My brother logged in to the MLS and we even looked
at the Multi-Family MSL Form INSTRUCTIONS, nothing there..

He thought that some areas of the country might have default text
there when al owner declines to declare a vacancy rate.

When you are looking at the MSL "Multi-Family Listing Input" form (as
I am), the Vacancy Rate is expresses as a percentage [ % ] in the
FINANCIAL DISCLOSURE area. This percentage is the expected vacancy,
given the number of units times 12 months. Normally, owners declare
this rate based on the area, number of units, etc, a low one is good,
high means a building has a lot of turnover. 5-10% is common.

Here's a page where people are discussing HOW to calculate the Vacancy Rate:
http://www.thecreativeinvestor.com/ViewTopic37857-24.html

Canadian Helper is correct regarding FEE SIMPLE:

Fee simple: Outright ownership of real estate, free of any liens or
other claims against title. This definition is from:
http://www.bankrate.com/brm/definitions.asp?Page=12&channelId=18&slid=1&termUid=2597

If this qualifies as an answer, let me know and I'll post in the answer area.

~~Cynthia

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Request for Question Clarification by cynthia-ga on 25 Nov 2005 18:57 PST

Wow, I didn't notice you found the answer, what is it?  I'll tell my
brother if he and his friend were right!

1. Vacancy Factor
Vacancy factor means the number of vacant apartments being offered for
rent or lease in the development shown as a percentage of the total
number of apartments offered for or under rental or lease agreement in
the city.
Still working on the MVACTY part ;)

2.Fee Simple means the sellor is the owner without any claims on title
ie...no current mortgage exists.

Fee simple 
Outright ownership of real estate, free of any liens or other claims
against title.

This definition is from
http://www.bankrate.com/brm/definitions.asp?Page=12&channelId=18&slid=1&termUid=2597

I'll venture my guess for vacancy factor & MVACTY.  Let's say you have
a 20-plex and one unit is always down for routine maintenance.  That's
a 5% vacancy factor.

On the other hand, let's say none are down for maintenance, but it's
located in a college town.  Students move in, move out, terminate
leases early because they drop out, want to extend because they are
staying on for their masters...in this case, there is no simple
vacancy factor.  The realtor will put MVACTY.  Meaning, "MoVing
ACTivelY".

I couldn't find this on the internet, but it makes sense to me.

Herkdrvr

Hrkdrvr-
I was thinking something along those lines too...
Multiple Vancancies at Certain Times of Year 
For basically the same reasons you state!

I have put the question out to a REALTOR but have not received a reply.

Those are both good guesses on the first - they make sense, but it
would be nice to know. I did a search, and it seems to be a common
label, but I still can't find it ;). The fee simple part is still a
bit off too me. Aside from it being held free of lien, there seems to
be another definition to it, as it applies to condos. Something about
it is just not sitting right in my head.

Any reason not to call a realtor and ask?  They will talk to anyone
and explain everything they know about their business.

Much of the land in Hawaii is owned by foundations originating from
five large businesses that controlled the islands in the 19th century.
 They put this land on very long leases, and people are allowed to
"purchase" it.  I believe there might be some extra payments or fees
involved in this, but I'm not sure. In Hawaii, fee simple means that
the land is not owned by one of these groups, and so the ownership
actually transfers.  I'd call an agent in Hawaii for specific details,
though.