Daily
Magazine
Real Estate Courses
Real
Estate Appraising
Creative Lenders
|
M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z Credits
A
Abstract of Judgment:
The summary of a court judgment that creates a lien against a property
when filed with the county recorder
Abstract of Title:
Historical summary of all of the recorded instruments and proceedings
that affect title to a property.
Accelerated Cost Recovery System:
A tax calculation that provides greater depreciation in the early years
of ownership of real estate or personal property. Acceleration Clause: A loan provision giving the lender the right to declare the entire amount immediately due and payable upon violation of another specific loan provision, commonly referred to as the "Due on Sale Clause. "
Acceptance:
A buyers or sellers agreement to enter into a contract and be bound by
the terms of the offer.
Accrued Interest:
Interest that has been earned but not paid.
Accumulated Depreciation:
The amount of depreciation expense that has been claimed to date.
Acknowledgment:
A declaration by a person who has signed a document that such signature
is a voluntary act, made before a duly authorized person.
Acquisition Cost:
The price and all fees required to obtain a property.
Acquisition Loan:
Money borrowed for the purpose of purchasing a property.
Ad Valorem Taxes: Property taxes on the
assessed value of property.
Addendum:
Something added as an attachment to a contract.
Additional Principal Payment:
Extra money included in the monthly payment to help reduce the principal
and shorten the term of the loan.
Adjoining:
Contiguous, attached, sharing a common border.
Adjustable Rate Mortgage (ARM):
A mortgage in which the
interest rate is adjusted periodically according to a
pre-selected index.
The borrower and lender can negotiate the terms, adjustment schedule, and index
to be used.
Specific types include the renegotiable rate mortgage and
the variable rate mortgage,
also referred to as a Canadian rollover mortgage.
Adjusted Cost Basis:
The cost of any improvements the seller makes to the property. Deducting
the cost from the original sales price provides the profit or loss of a home
when it is sold.
Adjusted Tax Basis:
The original cost or other basis of the property reduced by depreciation
deductions and increased by capital expenditures.
Adjustment Period:
The amount of time between interest rate adjustments in an
adjustable-rate mortgage.
Administrator:
A person appointed by a court to administer the estate of a deceased
person who left no will.
Administrator\'s Deed:
A legal document that an administrator of an estate uses to transfer
property.
Adverse Possession:
A means of acquiring title to real estate where an occupant has been in
actual, open, notorious, exclusive and continuous occupancy of property for the
period required by state law.
Affidavit:
A written statement, sworn to or affirmed before an officer who is
authorized to administer an oath or affirmation.
Agency:
The legal relationship between a principal and his agent arising from a
contract in which the principal engages the agent to perform certain acts on
behalf of the principal.
Agreement for Deed:
See Contract for Deed.
Alienation:
To convey or transfer title and possession of property.
All-Inclusive Trust Deed (AITD):
An alternative to refinancing the entire loan when a borrower needs
additional funds, this technique involves the creation of a subordinate mortgage
that includes the balance due on the existing mortgage(s) plus the amount of the
new secondary or junior lien.
Amortized Loan:
Loan that is repaid in a series of installments each of which contains a
portion that is applied to reduce the principal amount of the loan and a portion
that is applied to pay interest with each successive payment allocates a larger
portion to principal reduction and a smaller portion to interest payment until
the outstanding balance is ultimately reduced to zero.
Annual Cap:
Maximum amount the interest rate on an adjustable rate mortgage can be
raised or lowered in the course of
Annual Percentage Rate (APR):
The percentage
relationship of the total finance charge to the amount of the loan.
The term is used in the Truth in Lending Act.
Anticipatory Breach:
A communication that informs a party that the obligations of the original
contract will not be fulfilled.
Apportionment: A pro-rated division and
distribution of prepaid or accrued taxes, prepaid insurance premiums, prepaid
rents and other income and expenses.
Apportionment usually occurs when a property is sold, and is the manner of
determining the amounts due to or from each party.
Appraised Value:
Opinion or estimate of a value of a property,
one of three methods determines values: comparable sales (residential),
replacement cost (insurance), or income approach (commercial). Appreciation: An increase in the value of a property
Appurtenance: Any tangible or
intangible item attached to the land and thus part of the property, such as a
building (tangible) or an easement (intangible).
Arrears:
Mortgage payment includes interest for prior month or overdue payments in
default. As-Is: Without guarantees as to condition.
Assemblage:
The process of acquiring adjacent parcels of land in order to combine them into
a single site for development.
Assessed Value:
The value established for property tax purposes.
Assessor:
A public official who evaluates property for the purpose of taxation.
Assignee:
The person or corporation to whom an agreement or contract is assigned (sold or
transferred). One to whom real
property, or an interest in real property, is transferred to set over.
Assignment:
The method by which a right or contract is transferred.
Assignment of rents:
An agreement between the property owner and mortgagee that transfers to the
mortgagee the right to collect rents from tenants in the event of a default by
the owner.
Assignor:
The person who assigns or transfers an agreement or contract to another.
Assumable Mortgage:
An existing
mortgage, which allows the next purchaser of a property to be liable for
the payments and other obligations of the note and mortgage. Depending on the
type of loan, the assumption of the obligation by this next purchaser may or may
not require a qualification and approval process and may or may not release the
original mortgagor (borrower) from further liability. A written release from the
mortgagee (lender) is required to relieve the original mortgagor of
responsibility.
Assumption fee:
The fee paid to a lender (usually by the purchaser of real property) resulting
from the assumption of a mortgage.
Assumption of mortgage:
Assumption by a purchaser of the primary liability for payment of an existing
mortgage or deed of trust. The
seller remains secondarily liable unless specifically released by the lender.
Attornment:
The acknowledgement by a tenant of a new owner of land.
The tenant thereby agrees to become the tenant of the purchaser, to pay
the rent to him and to perform the covenants for him.
Avulsion:
The sudden tearing away of land by the violent action of a river or other body
of water.
|
|
Subscribe FREE!!!      |
