Pearson VUE Real Estate Exam Glossary Page 1
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100% Location
The best retail location within a community.
100% Office
Office where salespersons pay a regular fee to the broker but receive 100& of the
commissions they earn.
Abandonment
Voluntarily giving up possession of property or a claim or right.
Abatement
A legal action to stop a nuisance. Also can be a reduction of a property tax assessment.
Absorption Rate
The rate at which new or vacant space (such as office space) will become occupied.
Abstract
A history of every recorded document dealing with a property. It is examined to
determine whether there is marketable title.
Abstractive Method
A means of obtaining land value by deducting the value of improvements from the total
property value.
Abstract of Judgment
A condensation of a court judgment. When recorded the judgment becomes a general
lien on the property of the debtor within the county when recorded.
Accelerated Depreciation
Any method of depreciation for tax purposes that gives greater initial depreciation than
the straight-line method. Accelerated depreciation is no longer allowed.
Acceleration Clause
A provision in a note making all payments die on the happening of a certain even (such
as mission a payment or selling the property.)
Acceptance
An act or agreement that forms a contract.
Accessinon
Obtaining title as a result of attaching or joining property to other property.
Accommodation Party
A third person (cosigner) who signs a negotiable instrument agreeing to be personally
liable to the payee.
Accord and Satisfaction
Act of accepting a different consideration than agreed; for example, if there is a dispute
as to performance and one party accepts less than bargained for originally.
Accredited Management Organization (AMO)
A professional designation awarded to a management company by the Institute of Real
Estate Management.
Accredited Resident Manager (ARM)
&2
100% Location
The best retail location within a community.
100% Office
Office where salespersons pay a regular fee to the broker but receive 100& of the
commissions they earn.
Abandonment
Voluntarily giving up possession of property or a claim or right.
Abatement
A legal action to stop a nuisance. Also can be a reduction of a property tax assessment.
Absorption Rate
The rate at which new or vacant space (such as office space) will become occupied.
Abstract
A history of every recorded document dealing with a property. It is examined to
determine whether there is marketable title.
Abstractive Method
A means of obtaining land value by deducting the value of improvements from the total
property value.
Abstract of Judgment
A condensation of a court judgment. When recorded the judgment becomes a general
lien on the property of the debtor within the county when recorded.
Accelerated Depreciation
Any method of depreciation for tax purposes that gives greater initial depreciation than
the straight-line method. Accelerated depreciation is no longer allowed.
Acceleration Clause
A provision in a note making all payments die on the happening of a certain even (such
as mission a payment or selling the property.)
Acceptance
An act or agreement that forms a contract.
Accessinon
Obtaining title as a result of attaching or joining property to other property.
Accommodation Party
A third person (cosigner) who signs a negotiable instrument agreeing to be personally
liable to the payee.
Accord and Satisfaction
Act of accepting a different consideration than agreed; for example, if there is a dispute
as to performance and one party accepts less than bargained for originally.
Accredited Management Organization (AMO)
A professional designation awarded to a management company by the Institute of Real
Estate Management.
Accredited Resident Manager (ARM)
