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5 Terms for the Day

Abandonment: Situation in which homeowner leaves house with no intention to return.

Abstract Of Judgment: Summary of a judgment in a lawsuit; includes who won, who

lost, amount owed, the court making the decisions, date of judgment, and winning

attorney. Once recorded (filed with court clerk or recorder), it creates a general lien on

judgment debtor’s property that’s usually discovered by title company in conjunction

with property sale. Most title companies require lien be paid as a condition of insuring

resale.

Acceleration clause: an “acceleration” clause in the mortgage or deed of trust requiring

the borrower to pay the entire balance of the loan all at once if their loan is in default.

Acceptance: When seller’s or agent’s principal agrees to terms of the agreement of sale,

approves negotiations on the part of the agent, and acknowledges receipt of deposit.

Accrued Items of Expense: Incurred expenses not yet payable; seller’s accrued expenses

credited to purchaser in closing statement.


 

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