Abstract of Title: A history of ownership of a property and any documents that affect the title during that ownership.

Acceptance of Sale/Sales Contract: An offer of purchase that has been signed by both buyer and seller. A firm contract that outlines all details of the property transaction.

Adjustable Rate Mortgage (ARM): A loan with an interest rate that fluctuates according to the movements of a predetermined index.

Agent or Sales Associate:
A person licensed by the state to sell real estate through a real estate broker.

The paying off of a debt such as a mortgage in periodic installments for the term of the loan.

An opinion by a licensed real estate appraiser about the fair market value of a home.

The increase in value of a home

Assumable Loan:
An existing mortgage that can be taken over by the buyer — usually on the same terms given to the original buyer.

Assumption : Taking over responsibility for payments on a mortgage and meeting any of the other requirements. Typically, a buyer assumes a mortgage from the seller.