Terms Flashcards
1
Q
Abstract of Title
A
A summary or copy of all recorded transfers, conveyances, legal proceedings, and other facts relied on as evidence of title showing continuity of ownership, together with any other elements of record which may impair title.
2
Q
Abutting
A
Adjoining, reaching or touching adjacent land.
3
Q
Accelerated Depreciation
A
A tax term. Depreciation taken at any rate higher then provided by the straight-line method.
4
Q
Acceleration Clause
A
The clause in a mortgage that allows the lender to demand immediate payment of the balance owed upon occurence of a specific act.
5
Q
Acceptance
A
An indication of willingness to be bound by the term of an offer thereby establishing the “meeting of the minds.”
6
Q
Access Rights
A
Rights of owners to have ingress an egress to and from their property over adjoining properties.
7
Q
Accession
A
An addition to property through the efforts of man or by natural forces.
8
Q
Accord and Satisfaction
A
A method of discharging a contract whereby the parties agree to give and accept something in settlement of a dispute of the performance of the agreement.
9
Q
Accretion
A
An addition to land from natural causes as for example, the gradual action of river waters.
10
Q
Accrued Depreciation
A
The difference between replacement cost and market value.
11
Q
Accrued Items of Expense
A
Those incurred expenses which are not yet payable. The seller’s accrued expenses are credited to the purchaser in a closing statement.
12
Q
Acknowledgment
A
A formal declaration made before an authorized person stating that the execution of an instrument is genuine and voluntary.
13
Q
Acquisition
A
The act or process by which a person procures property.
14
Q
Acres
A
Measures of land equaling 160 square rods, or 4840 Sq. yards, 43,560 Sq. feet, or tracts about 208.71 feet square.
15
Q
Actual Authority
A
Authority given an agent either expressly or implied by a principal.
16
Q
Actual Delivery
A
When the deed is placed in the possession of the grantee.
17
Q
Actual Notice
A
The express or direct knowledge acquired in the course of a transaction.
18
Q
Ad Valorem
A
A latin phrase meaning “according to value” is usually used in connection with real estate taxation.
19
Q
Adjustable Rate Mortgage (ARM)
A
A mortgage note that allows the lender to adjust the interest rate at periodic intervals. The rate is most commonly limited to the movement of a pblished interest rate index.
20
Q
Adjusted Market Value
A
The estimated value of subject property after adjustments are made for each comparable.
21
Q
Adjustments
A
Increases or decreases the market value of the property comparable to the subject property to account for a feature (or features) taht the subject proberty has or does not have wheich sets it apart from other comprable properties.
22
Q
Adjustments in Appraising
A
The process in the market approach of changing dollar percentage value of similar properties to make them more comparable.
23
Q
Administrator / Administratrix
A
A person appointed by the probatecourt to take charge of the estate of a deceased per died intestate.
24
Q
Advance
A
Transfer of funds from a lender to a borrower in advance on loan.
25
Adverse Possession
The right by which someone occupying a piece of land might acquire title against the real owner in the occupant's possession has been actual, continuous, hostile, visible and distinct for a statutory period.
26
Advertising
Any paid form of non-personal presentation of goods, services, or ideas to a group by an identified sponsor.
27
Affiant
One who makes an affidvit or gives evidence.
28
Affidavit
A statement or declaration reduced to writing sworn to or affirmed before some officer who has authority to administer an oath or affirmation.
29
Affirm
To confirm, to aver, to ratify, to verify. To make a declaration.
30
Agency
The relationship between a principal and the principal's agent which arises out of a contract, either expressed or implied, written or oral, wherein the agent is employed by the principal to do certian acts dealing with a third party.
31
Agent
One who acts for and with authority from another called the principal.
32
Agents in Production
The four agents in production are labor, capitol, coordination (entrepreneurship or management) and land, the last one of which to be paid in land.
33
Agreement
An exchange of promises, a mutual understanding or arrangement; a contract.
34
Agreement of Sale
A written agreement or contract between seller and purchaser in which they reach a "meeting of the minds" on the terms and conditions of the sale. The parties concur; are in harmonious opinion.
35
Air Rights
The right in real property to the reasonable use of the airspace above the surface of the land.
36
Air Space
The area from the surface of the land upward.
37
Alienation
The act of transferring ownership, title, or an interest or estate in real property from one person to another.
38
Alienation Clause
A clause in a contract giving the lender certain rights in the event of a sale or other transfer of mortgaged property.
39
Alienee
The person to whom ownership, title or interest in real estate is transferred. They have the same legal rights, objectives and remedies as the grantor.
40
Allodial System
The real property ownership system taht allows free and full ownership right in land by individuals.
41
Alluvion
The soil deposited on a shore or bank of a stream resulting from action of the water through the process of accretion.
42
Amended Plat
An original plat re-subdivided or changed.
43
Amenities
Features, both tangible and intangible, that enhance and add to the value or desirability of real estate.
44
Amoritizing Mortagage
A mortagage featuring periodic repayment of debt, including partial payment of principal plus accured interest, in a manner calculated to pay off the obligation by maturity.
45
Annual Percentage Rate (APR)
A uniform measure of the cost of credit that includes interim discount pointsa and loan fees.
46
Anticipation, Principle of
Affirms that value is created by anticipated benefits to be derived in the future.
47
Apparent Authority
That authority which the principal, by words or conduct to others, has led those others to believe that the agent has an agency relationship with the principal. Also known as "Ostensible Authority".
48
Appraisal
An estimate of value of property resulting from an analysis of facts about the property. An opinion of value.
49
Appraisal Process
The procedure used in reaching a final estimate of value.
50
Appraiser
One qualified by education, training, and experience who is hired to estimate th value of real and personal property based on experience, judgment, facts, and use of formal appraisal process.
51
Approaches to Value
The various ways to value determination, the most common being market, cost and income.
52
Appurtenance
Something adapted to the use of the real property which it is connected or belongs, and which was intended to be a permanent addition to the land. It passes as an incident to said land.
53
Area Preference
The choice and preferences of people for a given area within a geographic location (situs).
54
Arm's Length Transaction
A transaction in which the parties are dealing from equal bargaining positions. Parties are said to deal "at arm's length" when all stand upon the strict letter of their rights and conduct the business in a formal manner without trusting the fairness or integrity of the others and without being subject to the control or dominant influence of the others.
55
Artifice
Artful and skillful contriving or trickery, involving deceit or misleading strategy.
56
Assessed Value
Value Established by the county assessor as the basis for determining ad valorem tax levies.
57
Assignment
The transfer of ones rights in a contract to another person.
58
Assignment / Subleasing
A lease granted by one who is already a lessee of a property.
59
Assignor
One who assigns or transfers property
60
Assigns
Assignees. Those to whom property or interest therein shall have been transferred.
61
Assumption
Where the buyers obligate themselves to repay an existing loanas a condition of the sale.
62
Assumption Fee
A lender's charge of changing over and processing new records for a new owner who is assuming an existing loan.
63
Assumption of Mortgage
The taking of a title to property by a grantee wherein the grantee assumes liability for payment of an existing note secured by a mortgage or deed of trust against the property, becoming a co-guarantor forthe payment ofa mortgage or deed of trust note.
64
Attorney-in-fact
One who is authorized by another to perform certian acts for another under a power of attorney; power of attorney may be limited to specific act or acts or be general.
65
Attorney's Opinion
In real estate, the written opinion of an attorney at Law regarding the marketability of title to real property, usually based upon an examination of an abstract title.
66
Avulsion
A sudden and perceptible loss or gain of land by the action of waters, such as sudden change in the course of a river.
67
Balloon Mortgage
A mortgage with the final payment larger than the receding payments.
68
Base Lines
Imaginary east and west lines which intersect meridians. They are used by surveyors to find and descrdibe the location of private and public lands.
69
Bench Marks
Locations indicated on durable markers by surveyors.
70
Beneficiaries
Those for whose benefits some action has been arrange.
71
Betterment
An improvement upon property which increases the property value and is considered as a capital assest as distinguished from repairs or replacements where the original character or cost is unchanged.
72
Bilateral Contract
A contact where a promise from one party is given in exchange for the promise of another party.
73
Bill of Sale
A written instrument by which one person transfers or conveys right, title or interest in personal property to another.
74
Binder
An agreement to consider a down payment for the purchase of real estate as evidence of good faith on part of the purchaser. Also, a notation of coverage on an insurance policy, issued by an agent, and given to the insured prior to issuing the policy.
75
Blanket Mortagage
A mortagage secured by more than one peice of property.
76
Blind Ad
An advertisement that does not include the name and address of the person placing the ad; an ad that lists only a phone number or post office box address.
77
Blockbusting
An illegal and discriminatory practice whereby one person induces another to ender into a real estate transation from where the first person may benefit financially. This is done by representing that a change in the neighborhood and respet to race, sex, religion, color, or ancestry of occupants may occur which may result in the lowering of the property values, a decline in the quality of schools, or an increase in the crime rate.
78
Bona Fide Buyer
A purchaser who is without knowledge of prior claims, pays value and wins the race to the court house to record.
79
Bona Fide Offer
An offer made in good faith, authentic, and without intent to defraud.
80
Book Value
The amount at which an asset is carried on the financial books of a person, partnership, association, or corporation. Book value is the capitalized cost of an asset less depreciation taken for accounting purposes, based on the method used for the computation of depreciation over the useful life of the asset. It is the adjusted basis of an asset, and usually differs from appraised or market value.
81
Breach of Contract
Failure, without legal excuse, to perform any promise called for in a contract.
82
Broker
A real estate broker as defined in section 858-102 of this title, and means, further, except where the context refers only to a real estate broker, an associated broker associate, sales associate or provisional sales associate authorized by a real estate broker to provide brokerage services (one who facilitates a transaction between two parties).
83
Broker Associate or Sales Associate
A person employed by a broker to list, negotiate, sell or lease real property for others.
84
Budget Mortgage
A mortgage with payments set up to cover more than interest and principal reductions, usually taxes and insurance.
85
Building Codes
Minimum standards affecting building and houseing construction, cleanliness, and safety.
86
Building Line
A line established by law or agreement, usually parallel to propertyline, beyond which a structure may not extend. This generaly does not apply to uncovered entrance platforms, terraces and steps.
87
Building Restrictions
Zoning, regulatory requirements or provisions in a deed limiting the type, size and use of a building.
88
Bundle of Rights
The concept of land ownership that means ownership of all legal rights to the land for example, possession, control within the law, and enjoyment - rather than ownership of the land itself.
89
Buyer's Agent
Under New Brokerage Relationships Act that went in to effect in Nov. 1, 2000, this term no longer applies in the state of OK
90
Buyer's Market
The condition which exists when a buyer is in a more commanding position as to price and terms because real property offered for sale is in a plentiful supply in relation to demand.
91
Canvassing
Going through a neighborhood or to homeowners soliciting new listings.
92
Capacity of Parties
The legal ability of persons to enter into a contract. May have full, limited or no contractual ability.
93
Capitalization
The process of converting future income from a property into a current value for the property. In appraising, determining value of property by considering net income and percentage of reasonable return on the investment. The value of an income property is determined by dividing annual net income by capitalization rate.
94
Capitalization Rate
The rate of return that an investor expects to earn on invested money.
95
Carry-over Clause
A clause (sometimes referred to as a "safety clause") in a listing which provides that a broker is still entitled to a commission for a set period of time after the listing has expired if the property is sold to a former prospect of the broker.
96
Caveat Emptor
A latin phrase meaning "let the buyer beware". The buyers must examine the goods or property and buy at their own risk.
97
Certificates of Eligibility
Certificates showing whether veterans are qualified for a VA loan and giving the amount of guarantees available.
98
Certificate of Reasonable Value
A certificate issued to a veteran by the VA indicating the appraised value of the property and the maximum VA guaranteed loan a private lender may make.
99
Chain of Title
A history of conveyances and encumbrances affecting the title from the time the original patent was granted, or as far back as records are available, used to determine how title came to be vested in the current owner.
100
Characteristics of Value
The quality such as utility, scarcity, demand, transferability.
101
Chattel (Chattel Fixture, Chattel Property)
Goods or every species of property moveable or immovable which are not real property. (Personal Property)
102
Chattel Mortgages
Claims on person propety (instead of real property) used to secure or guarantee promissory notes (see security agreement and security interest).
103
City Planning
Planning by local officials including
