Unit 13: Real Estate Taxes and Other Liens Flashcards
ad valorem tax
a tax levied according to value, generally used to refer to real estate tax. Also called the general tax
assessment equalization factor
A factory (number) by which the assessed value of a property is multiplied to arrive at a value for the property that is in line with state-wide tax assessments. The ad valorem tax would be based on this adjusted value. An equalization factor may be applied to raise or lower assessments in a particular district or county.
equitable lien
also known as a statutory lien. A statutory lien is a lien imposed on property by statute - a tax lien, for example - in contrast to an equitable lien which arises out of common law
equitable right of redemption
the right of a defaulted property owner to recover the property before its sale by paying the appropriate fees and charges
estate tax
federal tax on a decedent’s real and personal property.
general lien
the right of a creditor to have all of a debtor’s property - both real and personal - sold to satisfy a debt.
general real estate tax
a tax that is made up of the taxes levied on the real estate by government agencies and municipalities.
inheritance tax
state-imposed taxes on a decedent’s real and personal property.
involuntary lien
a lien placed on property without the consent of the property owner.
judgment
the formal decision of a court upon the respective rights and claims of the parties to an action or suit. After a judgment has been entered and recorded with the county recorder, it usually becomes a general lien on the property of the defendant.
junior lien
an obligation, such as a second mortgage, that is subordinate in right or lien priority to an existing lien on the same property.
lien
a right given by law to certain creditors to have their debts paid out of the property of a defaulting debtor, usually by means of a court sale.
mechanic’s lien
a statutory lien created in favor of contractors, laborers, material suppliers, and others who have performed work or furnished materials in the erection or repair of a building
mill
one-tenth of one cent. Some states use a mill rate to compute real estate taxes; for example, a rate of 52 mills would indicate a tax of $0.052 for each dollar of assessed valuation of a property.
mortgage lien
a lien or charge on the property of a mortgagor that secures the underlying debt obligation.
special assessment
specific lien
a lien affecting or attaching only to a certain, identified parcel of land or piece of property.
statutory lien
a lien imposed on property by statute- a tax lien, for example - in contract to an equitable lien which arrises out of common law
statutory right of redemption
the right of a defaulted property owner to recover the property after its sale by paying the appropriate fees and charges.
subordination agreement
a written agreement between holders of liens on a property that changes the priority of mortgage, judgment, and other liens under certain circumstances.
tax lien
a charge against property, created by operation of law. Tax liens and assessments take priority over all other liens.
tax sale
A court-ordered sale of real property to raise money to cover delinquent taxes.
vendor’s lien
a lien that belongs to a vendor for the unpaid purchase price of land, where the vendor has not taken any other lien or security beyond the personal obligation of the purchaser.
voluntary lien
a lien placed on property with the knowledge and consent of the property owner.
writ of attachment
a document ordered by the court to have a sheriff enter a leased property to give possession back to the owner.
