| Real Estate Dictionary - Real Estate Terminology - Real Estate Definitions - Glossary of Commonly Used Real Estate Terms | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
A A condensed history or summary of all transactions affecting a
particular parcel of real estate, including the original grant, all
conveyances and encumbrances affecting the property, and the
abstractor's certification of the history's accuracy Acceleration clause A clause in a mortgage that gives the lender the right to require
payment of the entire principal balance if the borrower defaults on
an installment payment or other covenant Acceptance An offeree's consent to enter into, and be bound by the terms of,
a contract Access The right to enter and exit a parcel of land from a public way,
including the right to enter and exit via land belonging to
others Acknowledgment The confirmation by which a party executing a legal document
confirms his signature and voluntary agreement with the terms of the
document, made before an authorized officer of the Court or notary
public Acre 43,560 square feet of land Adjustable-rate mortgage (ARM) A mortgage with interest rates that may fluctuate based on market
conditions; the lender is permitted to adjust the mortgage's
interest rate periodically, though most ARM's are limited in the
amount that the interest rates can vary Adjusted basis The total of the original cost of a property and the value of any
capital expenditures for improvements done to it, minus any
depreciation taken Adjustment date The date on which the interest rate changes for an
adjustable-rate mortgage (ARM) Adjustment period The period of time between the adjustment dates for an
adjustable-rate mortgage (ARM) Administrator A person appointed by a probate court to administer the estate of
an individual who has died without a will Adverse Possession A claim made against the land titled to another person, by virtue
of open and hostile possession and use of the land to the exclusion
of the titled owner Affidavit of title A sworn statement that is made in writing under oath by a seller
of real property, and certified by a notary public, in which the
seller identifies himself or herself, indicates marital status,
certifies that no defects have occurred in the title since the
examination of the title on the date of the contract, and confirms
that he or she is in possession of the property (if
applicable) Agency The relationship between two or more persons wherein the agent is
authorized to act on behalf of another person (or principal) in
certain transactions Agent A person or company that acts on behalf of another to transact
business, generally in exchange for payment. In real estate, it is a
person or company with a real estate license working under the
authority of a real estate broker Alienation The act of transferring property to another, either voluntarily
(via a sale), or involuntarily (via adverse possession) Alienation clause The clause in a mortgage or deed of trust which asserts the
lender's option to require that the balance of the secured debt
becomes immediately due and payable if the property is sold by the
borrower, preventing the borrower from assigning the debt without
the lender's approval ALTA American Land Title Association, the national association of
title insurance companies, abstractors and attorneys specializing in
real property law, headquartered in Washington, D.C. Amenity A natural or manmade feature of real property that enhances its
value and attractiveness, though it is not essential to the
property's use Amortization The process of payment of a debt or mortgage loan over time by
installments Amortization schedule A timetable for repayment of a debt or mortgage loan, showing the
amount of each payment, what portion is applied to interest and
principal, and the remaining balance Amortization term The amount of time required to repay the mortgage loan, expressed
in number of months Amortize To pay off a loan or mortgage with periodic payments that cover
both principal and interest Amortized loan A loan in which both the principal and interest are payable in
monthly or other periodic installments over the term of the loan,
with no balloon payment prior to maturity Annual mortgagor statement An annual report sent to the borrower (mortgagor) each year,
showing the amount paid in taxes and interest during the year, as
well as the remaining mortgage loan balance Annual percentage rate (APR) The overall cost of a mortgage, including interest, mortgage
insurance, and loan origination fee (points), stated as a yearly
percentage, thus allowing buyers to compare different types of
mortgages based on the associated annual finance charges; the APR
must be disclosed to borrowers by lenders, per the Truth-in-Lending
Act Annuity The return, including interest, from an investment of capital,
paid in a series of regular payments Appraisal A written estimate of the value of an asset or property prepared
by a qualified, independent party, through which the asset or
property value is determined Appraised value The estimate of a property's fair market value, based on an
appraiser's analysis of the property Appraiser An individual educated to estimate the value of real property and
personal property Appreciation An increase in the worth of a property due to changes in economic
conditions or other causes; the opposite of depreciation Appurtenance Anything attached to, or used with, a parcel of land that will go
to the new owner on conveyance of the land ARM Adjustable-rate Mortgage. Also see "Variable Rate
Mortgage" Assessment A tax, charge or levy against a property made by the government,
based on its value, and levied for a specific purpose, such as to
finance sidewalks, a sewer, etc. Assessment rolls The public record of taxable property Assessor A public official who evaluates the value of a property for
taxation purposes Asset Anything of monetary value owned by an individual, including real
property, personal property, and enforceable claims against others
(bank accounts, stocks, mutual funds, etc.) Assign To transfer interest Assignee One who receives an assignment or transfer of rights Assignor One who makes an assignment or transfer of rights to
another Assumable mortgage A mortgage that allows a new owner to take over its
obligations Assumption The process of transferring the seller's existing mortgage and
liability for payments to the buyer when purchasing a property,
which usually saves the buyer money, since assuming a new mortgage
incurs additional closing costs and possibly higher interest
charges Assumption clause The provision in an assumable mortgage that allows a buyer to
take responsibility for that mortgage from the seller Attachment Seizure of property through Court process to force payment of a
debt Attorney-in-fact One who holds a power of attorney from another to execute legal
documents on behalf of the grantor of the
power | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||