Chapter Ten

Question 0

the imposition of a tax, charge, or levy, usually according to established rates. 164

Answer 0

assessment

Question 1

a tax levied according to value, generally used to refer to real estate tax. Also called the general tax. 163

Answer 1

ad valorem tax

Question 2

the act of taking a person’s property into legal custody by writ or other judicial order to hold it available for application to that person’s debt to a creditor. 25

Answer 2

attachment

Question 3

a factor (number) by which the assessed value of a property is multiplied to arrive at a value for the property that is in line with statewide tax assessments. The ad valorem tax would be based on this adjusted value. 164

Answer 3

equalization factor

Question 4

a lien which arises out of common law. 161

Answer 4

equitable lien

Question 5

a lien imposed on property by statute, a tax lien, for example. 161

Answer 5

statutory lien

Question 6

the right of a defaulted property owner to recover the property prior to its sale by paying the appropriate fees and charges. 233

Answer 6

equitable right of redemption

Question 7

Federal tax on a decedent’s real and personal property. 169

Answer 7

estate tax

Question 8

the right of a creditor to have all of a debtor’s property-both real and personal-sold to satisfy a debt. 162

Answer 8

general lien

Question 9

a tax that is made up of the taxes levied on the real estate by government agencies and municipalities. 163-164

Answer 9

general real estate tax

Question 10

State-imposed taxes on a decedent’s real and personal property. 162

Answer 10

inheritance taxes

Question 11

a lien placed on property without the consent of the property owner. 161

Answer 11

involuntary lien

Question 12

the formal decision of a court upon the respective rights and claims of the parties to an action or suit. 168-169

Answer 12

judgement

Question 13

a right given by law to certain creditors to have their debts paid out of the property of a defaulting debtor usually by means of a court sale. 121

Answer 13

lien

Question 14

a recorded legal document giving constructive notice that an action affecting a particular property has been filed in either a state or a federal court. 169

Answer 14

lis pendens

Question 15

a statutory lien created in favor of contractors, laborers, and material-men who have performed work or furnished material in the erection or repair of a building. 167-168

Answer 15

mechanic’s lien

Question 16

one-tenth of one cent. Some states use this rate to compute real estate taxes; 165

Answer 16

mill – Example: a rate of 52 mills would be $0.052 tax for each dollar of assessed valuation of a property.

Question 17

a lien or charge on the property of a mortgagor that secures the underlying debt obligations. 164

Answer 17

mortgage lien

Question 18

the right of a defaulted property owner to recover his or her property by curing the default. 166

Answer 18

redemption

Question 19

a tax or levy customarily imposed against only those specific parcels of real estate that will benefit from a proposed public improvement like a street or sewer. 166-167

Answer 19

special assessment

Question 20

a lien affecting or attaching only to a certain parcel of land or piece of property. 170

Answer 20

specific lien

Question 21

a written agreement between holders of liens on a property that changes the priority of mortgage judgement, and other liens under certain circumstances. 163

Answer 21

subordination agreement

Question 22

a court-ordered sale of real property to raise money to cover delinquent taxes. 165

Answer 22

tax sale

Question 23

a lien that belongs to an individual for the unpaid purchase price of land, where the vendor has not taken any other lien or security beyond the personal obligation of the purchaser. 162

Answer 23

vendor’s lien

Question 24

a lien placed on property with the knowledge and consent of the property owner. 161

Answer 24

voluntary lien

Question 25

Not all encumbrances are liens 161

Answer 25

But all liens are encumbrances

Question 26

Four ways to Create a Lien 161

Answer 26

VISE- Voluntary, Involuntary, Statutory, Equitable

Question 27

Exemptions from general taxes 164

Answer 27

cities, various municipal organizations (such as schools, parks, and playgrounds), states and federal governments, religious and charitable organizations, hospitals, and educational institutions

Question 28

a federal tax lien, results fro a person’s failure to pay any portion of federal taxes. It is a general statutory, involuntary lien on all real and personal property held by the delinquent taxpayer. Its priority, is based on the date of filing or recording; it does not supersede previously recorded liens. 170

Answer 28

IRS Tax Lien