| A | B |
|---|
| 20 day notice | notifies the owner, general contractor, and lender that if the subcontractor or materialman is not paid, a lien will be filed |
| 90 day clause | provides for the listing broker to be compensated if a buyr was procured during the period of the listing contract and subsequently agreed to purchase the property within that period |
| 100 percent brokerage | the salesperson receives all of the commission collected by the brokerage; however, the salesperson must pay a monthly fee to the brokerage and sometimes a transaction fee as well |
| abstract title | summary of all conveyances and legal proceedings affecting title to a parcel of real estate |
| Acceleration clause | enables the lender to call the loan due and payable in the event of default |
| accord and satisfaction | occurs when the parties voluntarily agree to complete the contract, even though all of the terms and conditions have not been met |
| accountability | one of the broker agent's fiduciary duties |
| accretion | slow buildup of land by natural forces such as wind or water |
| accrual basis | a method of accounting whereby revenue is recognized when it is earned and expenses are recorded when they are due rather than when paid |
| accurate legal description | a description recognized by law |
| acknowlegement | the formal declaration by a person executing an instrument that he or she freely signed it |
| acre foot | volume of water equal to an area of 1 acre with a depth of 1 foot (43,560 cubic feet) and equal to 325,850 gallons |
| active management area | five Arizona areas (Prescott, Phoenix, Pinal County, Santa Cruz county and Tucson) where withdrawal of groundwater is limited |
| actual damages | the estimated money equivalent for loss or injury sustained |
| actual notice | knowledge one has gained based on what has been actually seen, heard, read, or observed |
| ad valorem tax | property tax which means according to value: each property is taxed according to its assessed value |
| ARM | borrower and lender share risks of a fluctuating interest rate economy |
| adjusted gross income | a federal income tax amount that is determined by subtracting amounts specifically authorized by the IRS from gross income |
| advance rentals | rents received in advance of the period for which they are paid |
| adverse possession | a method of acquiring property based on open and notorious possession, under a claim of right, color of title, continuous use for 5 years and payment of the taxes |
| affidavit of completion of forfeiture | a written statement recorded by a vendor that terminates a buyer's interst when the buyer defaults on a land contract |
| affidavit of property value | a notarized statement signed by buyers and sellers and disclosing the sales price that in most cases must accompany any deed that is to be recorded in Arizona |
| agency coupled with an interest | an irrevocable agency in which the agen has an interest in the property as part or all of his compensation |
| agent | one who represents another called a principal and has authority to act for the principal in dealing wiht 3rd parties |
| agricultural lease | a lease by owners of agricultural land with tenants who entered on one of 2 types of agreements: cash rent or sharecropping |
| air lots | air-specific elevation boundaries over a parcel of land |
| air rights | allow the owner the right to reasonable use of the airspace for light and air |
| alienation | the act of transferring real property from one person to another |
| alienation by descent | the transefer of one's property after death in accordance with the laws of descent when a person dies intestate |
| alienation by will | the transfer of one's property after death pursuant to the terms of decendant's valid will |
| alienation clause | in a deed of trust or mortgage, a provision that if the secured property is sold or transferred, the lender has the option of accelerating the loan and declaring the entire unpaid balance immediately due and payable |
| allodial system | establishes absolute ownership |
| alluvion | surface land gained by accretion |
| amenity | a condition of agreeable living or a beneficial influence resulting from location |
| ALTA | association of land title companies throughout the country |
| ADA | the first comprehensive American civil rights law for people with disabilities |
| amoritized loan | the liquidation of a financial obligation on an installment basis, which includes principal and interest |
| annual net income | gross income less costs and expenses for a 1 year period |
| APR | the cost of credit as determined in accordance with Regulation Z of the Federal Truth in Lending Act |
| anticipation | value created by expectation of benefits to be collected in the future |
| appraisal | an estimate or opinion of value as of a specificied date based on analysis of factual data |
| appurtenances | rights, privileges, or improvements that belong to and pass with a property |
| appurtenant easement | attached to the land and if the property is sold, the easement is transferred to the new owner |
| Arizona Corporation Commission | a state of AZ. agency that regulates corporations and limited liability companies |
| Arizona Real Estate Code | the section of Arizona Revised Statutes that regulates real estate licensees |
| Arizona Residential Landlord & Tenant Act | the AZ revised statute based on the Uniform Residential Landlord and Tenant Act |
| Article XXVI | article in the Arizona constitution which gives brokers and salespersons the right to draft, fill out, and complete any and all instruments relating to real estate |
| Articles of Incorporation | a document filed in the state in which a corporation is formed that establishes a corporate entity |
| Articles of Organization | a document filed with the AZ Corporation Commission to form an Arizona Limited Liability Company |
| asbestos | mineral fiber found in rocks which is fire resistant and extremely durable |
| assemblage | the process of combining two or more parcels into one |
| assessed value | the value put on the property by the county assessor for the purpose of computing ad valorem property taxes |
| asset | something of value, a useful item of property, owned by a person |
| assignment | a transfer toanother of any property or right |
| assignee | third party to the contract |
| assignor | the original party to the contract |
| associate broker | has the same privileges and responsibilites as licensed sales agents |
| assured water supply | a certificate issued by the director of water resources that is required before an AZ subdivision located within a groundwater active management area can be approved |
| avulsion | a sudden loss of land, which may occur because of a sudden shift in a riverbed, volcanic action, an earthquake or another cause |
