abatement
|
The elimination of a nuisance. |
abstract of title
|
A historical list of recorded changes that affect title to
specific real estate, such as transfers of ownership,
conveyances, mortgages, liens, and easements. |
acceleration clause
|
A clause in a deed or mortgage which gives the lender the
right to make all sums owing him immediately due and payable.
Usually triggered by a certain stated event such as a sale of the
property. |
accession
|
Acquiring title to improvements to property or additions
resulting from annexation of fixtures or natural causes. |
accretion
|
The gradual addition to the shore or bank of a waterway by
deposits of sand or silt. |
accrued items
|
Expenses paid in arrears and revenues received in arrears
that are transferred to an income statement in a prior period by
using the postings "Other Payables" and "Other Receivables".
Accrued items are not to be included in subsequent taxable
periods. |
acquisition cost
|
The total cost of acquiring a piece of property. In addition
to the purchase price, it includes fees and costs paid to other
parties, such as mortgage origination fees and points, title
insurance, appraisals costs, and other closing costs. |
acre
|
A land measure equaling 43,560 square feet or 4,840 square
yards. |
actual eviction
|
Wrongful removal of a tenant from possession of a premises,
usually by a landlord, contrary to the terms of the lease. |
ad valorem
|
A tax on property based on its value. |
addendum
|
An addition or supplement to a contract. |
adjustable-rate mortgage (ARM)
|
A mortgage loan in which the interest rate may be adjusted
periodically, following the rise or fall of interest rates as
measured by a published index. Most ARMs specify the frequency of
rate adjustment (the "adjustment period"), and "caps" -- limits
to the amount of rate change in any single adjustment, and to the
maximum interest rate allowed during the life of the loan. |
adjustment date
|
The date on which an adjustable-rate mortgage (ARM) is
subject to an interest rate change. |
advance fee
|
A fee paid in advance of services rendered. In real estate,
agents are often paid an advance fee to perform extraordinary
tasks such as locating properties that are not listed for
sale. |
adverse possession
|
A principle of real estate law whereby a person who possesses
the land of another for an extended period of time may be able to
claim legal title to that land. |
affidavit of title
|
A sworn statement by a seller of real estate in which the
seller certifies that no defects to the title have occurred since
the examination of the title on the date of the contract and that
he is in possession of the property. |
agency
|
A legal relationship in which an agent is authorized to act
for another. In the case of real estate, a buyer or seller
engages a real estate agent. The agent has a fiduciary obligation
to perform required duties in good faith and in the interest of
the buyer or seller. |
agent
|
A person authorized to act on behalf of another person. For
certain transactions, such as real estate buying or selling, the
agent can enter into agreements or contracts that are binding to
the buyer or seller. |
alienation
|
The transfer of title or interest in property from one person
to another. It may be voluntary or involuntary (as in
foreclosure). |
all-inclusive trust deed
|
A trust deed that secures a “wrap-around
mortgage,” in which a new loan “wraps around,”
or encompasses an existing loan. |
ALTA policy
|
American Land Title Association title insurance policy which
insures a mortgage lender against title defects in a new
mortgage. |
Americans with Disabilities Act (ADA)
|
A federal law that prohibits discrimination against people
with disabilities. In the area of real estate, builders must
comply with ADA standards including: wheelchair access, ramps and
slopes, parking and loading, elevators, doors and bathrooms. |
amortization
|
A loan payment method in which a portion of the principal is
paid in each periodic installment. |
amortization schedule
|
The table which details each periodic payment over the life
of a loan. It shows the portions of principal and interest for
each payment and the principal balance after each payment, as
well as the total interest paid to date. |
annual percentage rate (APR)
|
A standardized measure of the actual credit cost of a loan
expressed as a percentage rate on a annual basis. Unlike the
interest rate which dictates the rate of interest charged on the
unpaid balance for each payment, the APR takes additional finance
costs, such as loan "points" and closing costs into account, and
always shows a true rate that is higher than the interest rate.
The APR is calculated according to rules established as part of
the federal Truth-in-Lending Act. |
application (loan)
|
The Uniform Residential Loan Application is a standard
Freddie Mac form. see the
application here |
appraisal
|
A declaration of the estimated value of real estate. |
appraised value
|
An appraiser’s estimated value of a specific
property. |
appraiser
|
An appraiser acts as an impartial person whose job it is to
determine home value by gathering, analyzing, and applying
information pertinent to a property. |
appreciation
|
An increase in the value of property over time. |
appurtenant
|
Rights and duties related to the land itself and not to the
particular individuals who may have created them. |
arbitration (mediation)
|
In Las Vegas the standard real estate contract includes:
"Before any legal action is taken to enforce any term or
condition under this Agreement, the parties agree to engage in
mediation, a dispute resolution process, through GLVAR.
Notwithstanding the foregoing, in the event the buyer finds it
necessary to file a claim for specific performance, this
paragraph shall not apply." |
ARM
|
(see adjustable-rate mortgage) |
asbestos
|
A hazardous material, has been used in more than 3,000
different construction materials and manufactured products,
including many found in homes. This material could have been
installed in homes through the 1980s. There is no standard for
disclosing or inspecting asbestos. Buyer beware. |
"as-is"
|
In the present condition. To advertise a property “for
sale as is” informs potential buyers that the seller will
not correct any defects, visible or not. This does not release
the seller from disclosing defects.see
Seller's Real Property Disclosure Form" |
assemblage
|
The creation of a tract by combining adjoining lots. Usually
done to increase the total value or to accommodate larger
development projects. |
assessed value
|
The value of a property as determined by an assessor. In
Clark County, property taxes are based on assessed value. |
assessment
|
A tax, levy, or fee imposed on real estate, such as the
property tax. Based on established rates. |
assessor
|
The agency charged with assessments against real estate. |
asset
|
An owned item having value, such as real estate. |
assignment
|
A documented transfer of property, a claim, a right, or
ownership of an obligation such as a mortgage, bond, or
lease. |
associate broker
|
A person who is licensed as a broker by the state, but who
works for a principal broker. |
assumable mortgage
|
A mortgage which can be transferred along with the property
under obligation. The new owner of the property assumes
responsibility for the payments, and is bound to the terms and
obligations of the mortgage. |
assumption
|
In the case of a mortgage, the subsequent taking over of the
terms, conditions, and responsibility for payment of an existing
mortgage by a new borrower. Usually as a result of the transfer
of real estate. |
attachment
|
--- The legally ordered taking of property or earnings into
legal custody to satisfy a debt. |
attorney-in-fact
|
One who has written authority (usually by a power of
attorney) to act on behalf of another, whether or not the
attorney-in-fact is an actual attorney at law. |
automated underwriting
|
A particular computerized system for doing automated
underwriting. Mortgage insurers and some large lenders have
developed such systems, but the most widely used are Fannie
Mae’s “Desktop Underwriter” and Freddie
Mac’s “Loan Prospector.” |
automatic extension
|
Typically, a clause in a real estate offer-to-purchase
contract that allows for a automatic extension of the closing
date. |
avulsion
|
A sudden movement of soil due to flood, earthquake, or shift
in the course of a boundary stream. |
