Vocabulary Flashcards
ALTA Owner’s Policy
ALTA-R policy
Residential owner’s extended coverage policy that provides buyers with same protection as the lenders.
ALTA Title Policy
American Land Title Association-approved title policy
A title insurance that expands the risks normally insured against under the standard type of policy to include unrecorded: mechanics’ liens, physical easements; facts a physical survey would show; water and mineral rights; and rights of parties in possession, such as tenants and buyers under unrecorded instruments.
Absolute Fee-Simple Title
Best title one can have
Title that is absolute and unqualified.
Abstract of Judgement
Condensation of the essential provisions of a court judgement
Abstract of Title
Summary of digest of the conveyances, transfers, and any other facts relied on as evidence of title, together with any other elements of record that may impair the title.
Abstraction
Method of valuing land.
Indicated value of the improvement is deducted from the sales price.
Acceleration Clause
A clause in a trust deed or mortgage giving the lender the right to call all sums owed to the lender to be immediately due and payable upon the happening of a certain event.
Acceptance
When the seller or agent’s principal agrees to the terms of the agreement of sale and approves the negotiation on the part of the agent and acknowledges receipt of the deposit in subscribing to the agreement of sale.
Access Right
right of way
The right of an owner to have ingress and egress to and from his or her property.
Accretion
adding of land
Addition to land from natural causes. (example: sand collecting on land from rivers or oceans.)
Accrued Depreciation
Difference between the cost of replacement new as of the date of the appraisal and the present appraised value.
Accrued Items of Expense
Incurred expenses that are not yet payable. The seller’s accrued expenses are credited to the purchaser in a closing statement.
Acknowledgment
Formal declaration before a duly authorized officer by a person who has executed an instrument that such execution is his or her act and deed.
Acquisition
The act or process by which a person procures property.
Acre
Measure of land equaling 160 square rods, or 4,840 square yards, or 43,560 square feet, or a trace about 208.71 feet square.
Ad Valorem
Latin
According to value. Usually used in connection with real estate taxation.
Administrator/Administratrix
Person appointed by the probate court to administer the estate of a person deceased.
Adjustable Rate Loan
A mortgage where the interest rate may go up or down, there by the monthly payment may decrease or increase over the life of the loan.
Advance Commitment
The institutional investor’s prior agreement to provide long-term financing upon completion of construction.
Advance Fee
Fee paid in advance of any services rendered.
Adverse Possession
The open and notorious possession and occupancy under an evident claim or right, in denial or opposition to the title of another claimant.
Affiant
A person who makes an affidavit.
Affidavit
A statement or declaration reduced to writing, sworn to or affirms before some officer who has authority to administer an oath or affirmation.
Agency
The relationship between principal and agent that arises out of a contract, either expressed or implied, written or oral, wherein the agent is employed by the principal to do certain acts dealing with a third party.
