Florida Key Terms
Absentee owner - ANSWER-a property owner who does not occupy the
property in question and therefore often utilizes a property manager's
services
Abstract of title - ANSWER-an abbreviated history of a property,
including information on any transfers, grants, wills, conveyances, liens,
and encumbrances
Acceleration clause - ANSWER-a clause in a security instrument
(mortgage/deed of trust) which makes the entire loan amount due
immediately upon default
Acknowledgment - ANSWER-a party's notarized profession that they
are signing a document voluntarily
Active - ANSWER-describes a license that is current, in good standing,
and signifies that the license holder meets all the requirements to
practice real estate
Actual notice - ANSWER-when an individual actually knows of a fact
Ad valorem - ANSWER-taxes based on the assessed value of a property
Adjudication withheld - ANSWER-when a court stays the imposition of
a sentence and instead puts the defendant on probation
Adjustable rate mortgage (ARM) - ANSWER-A mortgage with an
interest rate that can be adjusted based on fluctuations in the cost of
money
,Adverse possession - ANSWER-involuntary transfer of title from an
owner who does not use or inspect their land for a number of years to
another person who has some claim to the land and takes possession
Agent - ANSWER-an individual with authority to act on behalf of
another; a state license is required to operate as an agent in real estate
Alienation - ANSWER-the transfer of ownership (title) to real property.
Alienation may be voluntary or involuntary
Amortized mortgage - ANSWER-a mortgage with equal monthly
payments that contribute to both principal and interest until the entire
loan is paid
Appraisal - ANSWER-an official valuation given to a property by a
licensed appraiser
Appraiser - ANSWER-an individual who is trained and licensed to
perform appraisals, or officially estimate the value of real property
Appreciation - ANSWER-the increase in value of a property
Arbitration - ANSWER-a process whereby the parties to a dispute
present their conflict to a disinterested third party and honor the third
party's binding judgement
Arrears - ANSWER-A payment that occurs at the end of a period to
compensate for charges accrued during that time.
Asbestos - ANSWER-a naturally occurring mineral fiber that is
commonly used in insulation, but if airborne or inhaled, can cause severe
respiratory health issues
,Assemblage - ANSWER-the combining of multiple contiguous pieces of
real property into a single tract of land, often resulting in an increase in
value
Assessed value - ANSWER-the value of a property based on the value
of other properties in the area, plus any improvements made to the home
since purchasing it; can also take into account various property traits like
location, size, condition, materials, square footage, year built, etc.
Assessment limitation (save our homes benefit) - ANSWER-limits how
much the assessed value of a homesteaded property can increase per
year; also known as the Save Our Homes amendment to the Florida
Constitution
Asset - ANSWER-item of value
Assignment - ANSWER-the transference of rights and obligations in a
contract from one party to another
Assumption - ANSWER-the process of transferring the obligation of the
mortgagor to another party who takes over the responsibility to pay the
note.
Attorney-in-fact - ANSWER-a representative with power of attorney for
another individual
Automated valuation models - ANSWER-A computerized valuation of a
property that takes into account comparables, tax assessors, nationwide
market values, and sales history
Balloon payment - ANSWER-A payment at the end of a loan period
which includes the total outstanding balance of the loan
, Baseline - ANSWER-a parallel used in reference to a meridian to
identify ranges, tiers, and townships in the government survey method of
land description
Basis - ANSWER-the cost of purchasing a property plus the cost of any
improvements, minus the amount of depreciation
Benchmark - ANSWER-permanent marker of known location and
elevation above sea level as established by a government survey team
(such as the USGS)
Bilateral contract - ANSWER-a contract wherein both parties are
obligated to perform in an exchange of promises
Biweekly mortgage - ANSWER-A loan repayment plan where the
borrower pays biweekly as opposed to monthly, saving the borrower on
interest payments
Blanket mortgage - ANSWER-a loan for which more than one collateral
property acts as security
Blind advertisement - ANSWER-an ad in which a license holder
attempts to promote or solicit real estate activity without disclosing the
fact that they are a license holder
Blockbusting - ANSWER-the illegal act of causing owners to sell their
homes by creating fear that members of a protected class are moving
into the area
Breach of trust - ANSWER-the breaking of a promise or obligation, and
can be done through action, omission, default, or nonperformance
Broker - ANSWER-A person or business entity who is licensed to
represent one of the parties in a real estate transaction in exchange for a
commission or other valuable consideration
Absentee owner - ANSWER-a property owner who does not occupy the
property in question and therefore often utilizes a property manager's
services
Abstract of title - ANSWER-an abbreviated history of a property,
including information on any transfers, grants, wills, conveyances, liens,
and encumbrances
Acceleration clause - ANSWER-a clause in a security instrument
(mortgage/deed of trust) which makes the entire loan amount due
immediately upon default
Acknowledgment - ANSWER-a party's notarized profession that they
are signing a document voluntarily
Active - ANSWER-describes a license that is current, in good standing,
and signifies that the license holder meets all the requirements to
practice real estate
Actual notice - ANSWER-when an individual actually knows of a fact
Ad valorem - ANSWER-taxes based on the assessed value of a property
Adjudication withheld - ANSWER-when a court stays the imposition of
a sentence and instead puts the defendant on probation
Adjustable rate mortgage (ARM) - ANSWER-A mortgage with an
interest rate that can be adjusted based on fluctuations in the cost of
money
,Adverse possession - ANSWER-involuntary transfer of title from an
owner who does not use or inspect their land for a number of years to
another person who has some claim to the land and takes possession
Agent - ANSWER-an individual with authority to act on behalf of
another; a state license is required to operate as an agent in real estate
Alienation - ANSWER-the transfer of ownership (title) to real property.
Alienation may be voluntary or involuntary
Amortized mortgage - ANSWER-a mortgage with equal monthly
payments that contribute to both principal and interest until the entire
loan is paid
Appraisal - ANSWER-an official valuation given to a property by a
licensed appraiser
Appraiser - ANSWER-an individual who is trained and licensed to
perform appraisals, or officially estimate the value of real property
Appreciation - ANSWER-the increase in value of a property
Arbitration - ANSWER-a process whereby the parties to a dispute
present their conflict to a disinterested third party and honor the third
party's binding judgement
Arrears - ANSWER-A payment that occurs at the end of a period to
compensate for charges accrued during that time.
Asbestos - ANSWER-a naturally occurring mineral fiber that is
commonly used in insulation, but if airborne or inhaled, can cause severe
respiratory health issues
,Assemblage - ANSWER-the combining of multiple contiguous pieces of
real property into a single tract of land, often resulting in an increase in
value
Assessed value - ANSWER-the value of a property based on the value
of other properties in the area, plus any improvements made to the home
since purchasing it; can also take into account various property traits like
location, size, condition, materials, square footage, year built, etc.
Assessment limitation (save our homes benefit) - ANSWER-limits how
much the assessed value of a homesteaded property can increase per
year; also known as the Save Our Homes amendment to the Florida
Constitution
Asset - ANSWER-item of value
Assignment - ANSWER-the transference of rights and obligations in a
contract from one party to another
Assumption - ANSWER-the process of transferring the obligation of the
mortgagor to another party who takes over the responsibility to pay the
note.
Attorney-in-fact - ANSWER-a representative with power of attorney for
another individual
Automated valuation models - ANSWER-A computerized valuation of a
property that takes into account comparables, tax assessors, nationwide
market values, and sales history
Balloon payment - ANSWER-A payment at the end of a loan period
which includes the total outstanding balance of the loan
, Baseline - ANSWER-a parallel used in reference to a meridian to
identify ranges, tiers, and townships in the government survey method of
land description
Basis - ANSWER-the cost of purchasing a property plus the cost of any
improvements, minus the amount of depreciation
Benchmark - ANSWER-permanent marker of known location and
elevation above sea level as established by a government survey team
(such as the USGS)
Bilateral contract - ANSWER-a contract wherein both parties are
obligated to perform in an exchange of promises
Biweekly mortgage - ANSWER-A loan repayment plan where the
borrower pays biweekly as opposed to monthly, saving the borrower on
interest payments
Blanket mortgage - ANSWER-a loan for which more than one collateral
property acts as security
Blind advertisement - ANSWER-an ad in which a license holder
attempts to promote or solicit real estate activity without disclosing the
fact that they are a license holder
Blockbusting - ANSWER-the illegal act of causing owners to sell their
homes by creating fear that members of a protected class are moving
into the area
Breach of trust - ANSWER-the breaking of a promise or obligation, and
can be done through action, omission, default, or nonperformance
Broker - ANSWER-A person or business entity who is licensed to
represent one of the parties in a real estate transaction in exchange for a
commission or other valuable consideration
