AZ Real Estate Vocabulary Chap 1-7 by ROC

The act or process of taking private property for public use, through the government's power of eminent domain.

Item of personal property that has been attached to or closely associated with real property to become part of the real property.

The reversion of property to the state after a person dies without leaving a valid will or any heirs.

A tax levied only against properties that benefit from a public improvement.

The right of government bodies to take private real estate for public use upon
 payment of just compensation to the owner.

A concept for property taxes that means "according to value"

The location of a parcel of real property.

An instrument in writing that transfers ownership of tangible personal property.

An item of personal property that is annexed to leased property and is necessary to a business; removed at lease termination.

The right of the government to pass legislation protecting the safety, health, and welfare of the public.

Attaching personal property to land so that the law views it as part of the real
 property.

The physical land itself to the center of the earth and the sky above, anything
 permanently affixed, and the associated rights.

A person who dies without making a will, causing his or her estate to pass on by the laws of descent and distribution.

For property tax purposes, a percentage of the market value.

Farm crops that require annual cultivation.

A concept of land ownership that allows private individuals to own land.

Owing payment on things for which one has the use but has not yet paid for, such as property taxes.

Court ordered seizure of a defendant's property to satisfy a judgement.

A tract of land between two differently zones areas.

Personal Property.

A special purpose district that has the ability to levy long term bonds to finance public infrastructure.

A system whereby title to property passes by operation of law to heirs of one who dies in owning property without a will.

The power of government bodies to take real estate property for public use.

The value of land and improvements as the basis for determining the taxable value of a property tax assessment.

A legal system under which real property was owned by a King.

An old rule continues to apply to some existing situations where a new rule will apply.

The number used to compute property taxes for the maintenance of school districts.

Each piece of land and each building and each house is on a different piece of real estate.

The distance between a lot's boundary lines and improvements.

A process through which fixtures are detached from the land and revert back to personal property.

A permit that allows the holder to build a structure that legally violates the zoning ordinance.

The legal term for attaching or affixing personal property to real property.

Used to determine what is or is not a fixture.

Property Rights that go with ownership of real property.

Personal Property is conveyed with a ______

A document that is used to transfer real property is a ____

Personal Property.

An interest, such as a leasehold, in an item of immoveable property, such as land or a building.

The fractional interest of a husband in the estate of his wife at the time of her death; illegal in Arizona.

The transfer of an estate to another for years, for life, at will, or by lease.

Real property transferred in a will.

The fractional interest of a wife in the estate of her husband at the time of his death. Not legal in Arizona.

A person receiving a grant of real property.

A person transferring title to real property.

Someone who remains in the property after the lease has expired.

Primary residence, the equity in which is usually exempt from attachment by creditors to a statutorily preset amount.

Incomplete, as an interest in property, such as a lien that has been filed but not enforced.

A tenant.

A landlord.

A freehold estate that is not inheritable, the duration of which is limited by the life of the measuring life.

A life estate that passes to another named person upon the death of the measuring life.

A life estate that reverts back to the grantor upon the death of the measuring life.

A life estate "for the life of another" where the measuring life is someone other than the life tenant.

Someone who owns a life estate; the person entitled to possession of the property during the measuring life.

The judicial process of determining who are the rightful heirs.

A third party who has a future interest in property upon the termination of a life estate.

A future interest that becomes possessory when a temporary estate terminates, and that is held by the grantor.

The characteristic of a joint tenancy by which the surviving joint tenant automatically takes title upon a joint tenant's death.

Reduction in value caused by destruction, damage of property by someone in possession who holds less than a fee estate.

The gradual addition of land by natural causes, such as shoreline movements.

A document signer's declaration to an authorized official that he or she is signing voluntarily.

Title to property obtained through open, notorious, hostile, and uninterrupted possession.

The transfer of ownership an interest in property from one person to another, by any means.

To leave or transfer property to someone else via a will.

An addition to a will that does not revoke the entire will.

Notice given by publication in a newspaper, recording, or other method.

Public records that show the transfer of title of real property from one person to the next.

Valid encumbrance affecting title in land, such as a judgment or lien.

A person who has died.

A written instrument transferring the grantor's ownership of or interest in real property.

Real property transferred in a will.

A gradual loss of soil due to natural causes, such as the movement of wind or water.

Grantor warrants the title against any and all defects that might have arisen before or during his period of ownership.

A person receiving a grant of real property.

A person who conveys his or her interest in real property.

A clause in a deed that describes the type of estate granted, known as the "have and to hold" clause.

The state of dying without making a will.

Transfer of title to property during the owner's lifetime without the owner's consent.

The disposition of money or property by a will.

An oral will made on a persons deathbed; can only transfer personal property, not real property. Not legal in Arizona.

The legal process of determining the validity of a will, paying the debts of the deceased and distributing the remaining assets.

Grants any interest in property that the grantor may have.

The state of dying and having left a will.

Someone who has made a will or given a legacy.

The right to or ownership of land. (concept)

Grantor warrants title only against defects arising during the time he owned the property.

Title to property is transferred through sale, gift, dedication, or grant.

A deed in which the grantor fully warrants good and clear title to the property and agrees to defend the premesis against lawful claims of 3rd parties.

A person's legally binding instructions regarding how his estate should be disposed of after he dies.

A mortgage loan that has an interest rate on the note that periodically adjust based on an index that reflects the cost to the lender.
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A loan clause allowing the lender to demand full payment when the borrower defaults on the terms of the loan.

A loan clause allowing the lender to demand full payment when the borrower transfers ownership of the property.

Payment of debt in regular, periodic installments of principal and interest (as opposed to interest only)

Something that belongs to property and passes with property, but need not be attached to it.

A lump sum payment that is due at the end of a note term, the note used paid only part of the principal and Interest.

A single loan where two or more different parcels of property are offered as security.

A loan where payments include principal and interest plus 1/2 of the year's property taxes and hazard insurance premiums.

A declaration of covenants, conditions, and restrictions.

Property pledged as security for a debt.

The interest a creditor may acquire in the debtor's property to ensure the debt will be paid.

A three-party security instrument used to finance the purchase of real property.

Requirement for a lender to give a borrower a release of the lien once the loan is repaid.

A person with easement rights on another's property.

Property that receives the benefit of an appurtenant.

The non-ownership right acquired by a person to use the land of another for a specific purpose.

A legal instrument used by a lender so that so that beyond a certain date the loan balance is correct and no defense to challenge it.

A payment structure that allows the borrower to make smaller payments in the early years with payments increasing on a scheduled basis.

The pledging of the property to be the security for a Ioan without giving up possession of it.

Incomplete, as an interest in property that has been filed but not yet enforced.

A nonpossessory, financial interest in property, giving the holder the right to foreclose.

A person who has a lein against his property; a borrower.

The persion or entity that owns a lein; the lender.

A recorded document giving constructive notice of a pending legal action against a specific piece of property.

A specific lien claimed by someone who performed work on the property (ie. construction).

An interest in real property that lacks the usual rights and priviledges enjoyed by an owner.

An increase in the balance of a loan when payments are not enough to cover the interest.

A written, legally binding promise to repay a debt.

Someone who is burdened by easement.

Property that is burdened by an easement.

A recorded legal writ giving the court custody of real property until a creditor's suit is settled.

A court order directing a sheriff to seize and sell a defendant 's property to satisfy a judgment.

Allows the lender to call the note all due and payable if the borrower breaches the terms.

A carryback document between buyer and seller. The seller does not give the deed to buyer until paid in full.

One who receives the benefit; refers to the lender in a trust deed.

An unexcused failure to perform according to the terms of a contract.

Property lien in which a seller assumes the lender's role and carries the unpaid balance of the purchase price as a loan to buyer.

A document that the highest bidder receives at a mortgage foreclosure sale.

Property pledged as security for a debt.

The interest that a creditor may acquire in the debtor's property to ensure that a debt will be paid.

A deed that a trustee signs and gives the trustor (borrower) to convey title back to the trustor when the load has been paid.

A three-party security instrument that conveys naked title to a trustee.

A personal judgment against a borrower if a creditor does not receive the amount of the lien plus foreclosure costs.

The right of a debtor to redeem the property from foreclosure proceedings prior to a confirmation of sale.

A legally binding promise to refrain from doing a particular act.

A procedure through which property is sold to satisfy a debt.

The pledging of the property to be the security for a Ioan without giving up possession of it.

A lawsuit filed by a lender to foreclose on a mortgage or other lien; a court-ordered sale of property to repay the debt.

Any lien that is in lower priority than another lien.

A concept of financing where loans are regarded as liens; title remains with the borrower as long as no default occurs.

A security instrument that creates a voluntary lien on real property to secure repayment of a debt.

The lender.

The borrower.

An interest in real property that lacks the usual rights and priviledges enjoyed by an owner.

Foreclosure by a trustee under the power of sale clause without the involvement of a court.

A clause that allows the trustee to sell trust deed property without court supervision, when terms of the trust deed are not kept.

Lenders who originate loans directly to borrowers.

The interest rate determined by individual banks.

A written, legally binding promise to repay a debt.

A document that a creditor gives to a borrower upon the full repayment of a loan, releasing the mortgage lien.

Private investors and government agencies that buy and sell mortgages.

A deed issued by the court to a property purchaser from a foreclosure sale or sale under judgement.

Allows a debtor to redeem property for a set period of time after a foreclosure sale, regardless of the timing of other events.

The financing concept under which a mortgagee (or beneficiary) holds naked title to the property until the loan is paid.

An independent third party that holds the trust instrument in a deed of trust for the benefit of the lender.

The borrower under a deed of trust.

The buyer in an agreement for sale or land contract.

The seller in an agreement for sale or land contract.

A property acquired by a lending institution through foreclosure.

Title limited to carrying out the power of sale (naked title).

The purchase price of a property (basis) minus accumulative depreciation, plus acquisition costs, plus capital improvements.

Sales price minus costs of sale (commission and closing costs).

An increase in the value of property due to a positive improvement in the area or the elimination of negative factors.

A buyer's initial cost for a real estate purchase for determining gain, loss, or depreciation on the sale of the asset.

Taxable, not like-kind property used in an exchange, such as cash or other personal property.

A legal entity owned by its shareholders that has limited liability. The Corp is taxed as an entity as well as dividends received by shareholders.

The gain from the sale of a capital asset, i.e., one held for investment purposes.

The net spendable income from an investment after operating and fixed expenses including debt service.

Cash flow divided by the down payment and settlement costs, expressed as a percentage.

A loss in value as an accounting procedure for use as a tax deduction for income tax purposes.

A risk management technique that mixes a wide variety of investments within a portfolio.

The amount of an owner's interest in a parcel of real estate which is the fair market value in excess of the mortgaged indebtedness.

The corresponding reduction of principal and growth of equity on a mortgage through amortized payments.

Because real estate may not be easily converted into cash, real estate is more non liquid.

A saleable, intangible asset arising from a good business reputation; a capital asset but not a depreciable asset for tax purposes.

An investment, usually long term, that keeps pace with inflation.

Two or more individuals or companies joining together for one project, but not as an ongoing business.

The use of borrowed money to finance an investment.

The ability to convert an asset into cash quickly without the loss of principal.

The investor's percentage yield based on a property's income production.

Joint venture with at least 100 investors through which real estate is purchased.

The possibility that an investment will decrease in value or not generate enough income to show a profit.

An association of people or entities formed to operate an investment business; not a recognized legal entity.

Allows a taxpayer to sell an investment property and purchase another investment property to defer taxes on capital gains.

A phrase commonly used to describe an investment sheltered by deductions for cost recovery, taxes, and interest.

A legal form that a creditor files with the state that it has an interest in the personal property of a debtor.

A standard set of business laws that regulate financial contracts.

The relationship between the cost of borrowing and the total amount financed, represented as a percentage.

A loan made by a lender with real estate as security for the loan that the government neither guarantees nor insures.

The relationship of a borrower's total monthly debt obligations to income, expressed as a percentage.

Failure to fulfill an obligation, duty, or promise.

A fee charged by a lender to increase the yield on a lower-than-market interest rate loan.

A mortgage loan insured by the Federal Housing Administration that protects the lender against losses from default.

A credit scoring system where a number from 300-850 is assigned to a consumer's credit history.

The relationship of a borrower's total monthly housing expense to gross monthly income, expressed as a percentage.

A right or share in something; A charge that a borrower pays to a lender for the use of the lender's money.

A required disclosure including an estimate of closing costs, loan terms, and the costs associated with the loan, including APR.

The amount of money borrowed, compared to the value (or price, whichever is less) of the property, expressed as a percentage.

The fee charged for FHA mortgage insurance coverage, due at loan consummation and monthly thereafter.

The person who gives authority to an agent, thus creating a fiduciary relationship.

Coverage offered by private companies to protect a lender in the event of borrower default on a loan.