Vocabular/Glossary Flashcards
The surrender or release of a right, claim, or interest in a property.
abandonment
A provision in a mortgage or deed of trust that permits the lender to declare the entire principal balance of the debt immediately due and payable if the borrower is in default.
acceleration clause
A way of approach or entrance onto a property.
access
A new agreement by contracting parties that is satisfied y full performance thereby terminating a prior contract.
accord and satisfaction
A formal statement before an authorized official (e.g. notary) by the person who executed a deed, contract , or other document that it was (is) his or her free act.
acknowledgement
The basis used by the FHA in calculating the loan amount. The purchase, plus the closing costs incurred in purchasing the property.
acquisition cost
The debt incurred in the purchase of a personal residence. Can be used similar to acquisition cost
acquisition debt
Land area of 43,560 square feet
acre
Chronological age
actual age
The removal of a tenant by the landlord because the tenant breached a condition of a lease or other rental contract.
actual eviction
The knowledge that a person has of a fact.
actual notice
Lands that share a boundary.
adjoining lands
A mortgage in which rate changes according to a predetermined index
adjustable rate mortgage ARM
The value of property used to determine the amount of gain or loss realized by the owner upon sale of the property; equals acquisition cost plus capital improvements, minus depreciation taken.
adjusted basis
Sales price minus allowable selling expenses. Also called amount realized.
adjusted sales price
In the sales comparison approach to value, additions or subtractions to sales prices of comparable properties to make comparables like the subject property.
adjustments
Person appointed by a court to administer the estate of one who has died.
administrator/administratrix
A deed executed by an administrator to convey title to estate property.
administrator’s deed
Latin meaning “according to value”, the basis for real estate property taxes.
ad valorem
A method of acquiring title to real property by conforming to statutory requirement. A legal principle under which a person who does not have legal title to a piece of property — usually land (real property) — may acquire legal ownership based on continuous possession or occupation of the property without the permission (licence) of its legal owner
adverse possession
The fiduciary relationship between a principal and an agent
agency
An employment contract between principal and agent that sets forth all the terms and conditions of employment including specifying the authority given to the agent and the compensation of the agent.
agency agreement
A person authorized by another to act on his or her behalf.
agent
A contract. Mutial assent between two or more parties.
agreement
Rights in the air space above the surface of land.
air rights
Transfer of title to real property.
alienation
A clause in a mortgage or deed of trust that entitles the lender to declare the entire principal balance of the debt due and payable immediately if the borrower sells the property during the mortgage term. Prohibits the ability of a borrower to assume the loan.
alienation clause
A change or modification of a zoning ordinance by the local legislative authority.
amendment
Benefits resulting from the ownership of a particular property.
amenities
Fed law protecting rights of individuals with physical/mental impairments.
Americans with Disabilities Act (ADA)
The gradual reduction of a mortgage loan through periodic payments of principal and interest over a specific term to satisfy a mortgage loan.
amortization
A printed list of periodic payments of principal and interest over a specific term to satisfy a mortgage loan.
amortization schedule
The sales price minus any allowable expenses of sale. The “net” sales price.
amount realized
The actual effective rate of interest charged on a loan expressed on an annual basis; not the same as simple interest rate. Takes into account certain closing costs, discount points charge by lender
APR, annual percentage rate
In valuing property, value based on the present value of anticipated future benefits of ownership
anticipation
A fact situation that creates the appearance of an agent’s authority
apparent authority
An estimate of property value based on factual data.
appraisal
Also called income approach; an approach to the appraisal of income producing real estate that estimates the property’s value based on the amount of net income the property will produce over its life
appraisal by capitalization
Increase in property value.
appreciation
Methods of estimating real property value such as market data, cost and income approaches
approaches to value
All rights of privileges that result from ownership of a particular property and that move with the title
appurtenance
Any transaction where there is no relationship such as family, business, etc between the purchaser and the seller.
arm’s length transaction
A right of use in the adjoining land of another that moves with the title to the property benefiting from the easement.
appurtenant easement
Delinquent in meeting an obligation. The payment of interest for a prior period as scheduled.
arrears
Price specified in a listing contract.
asking price
The value to which a local tax rate is applied to calculate the amount of real property tax
assessed value
