America's Real Estate Academy, Inc.

is issued by the Board of Governors of the Federal Reserve System to implement the federal Truth in Lending Act, which is contained in title I of the Consumer Credit Protection Act. This helps consumers uncover the true cost of obtaining credit.

The purpose of Regulation Z is to:
Promote the informed use of consumer credit by requiring disclosures about its terms and cost. The regulation also gives consumers the right to cancel certain credit transactions that involve a lien on a consumer's principal dwelling, regulates certain credit card practices, and provides a means for fair and timely resolution of credit billing disputes. The regulation does not govern charges for consumer credit. The regulation requires a maximum interest rate to be stated in variable-rate contracts secured by the consumer's dwelling. It also imposes limitations on home equity plans that are subject to the requirements of § 226.5b and mortgages that are subject to the requirements of § 226.32. The regulation prohibits certain acts or practices in connection with credit secured by a consumer's principal dwelling.

is the process which increases the size of land as a result of water receding.

For example, if a lake’s size is reduced by evaporation, the receding water leaves behind more land which becomes an extension of the original land area.

is a future interest held by anyone other than the grantor. For example, if “A transfers to B for life and then to C,” C would have a remainder interest. In that situation C would be called a remainderman.

is the cost to create or recreate a structure with similar utility as the original structure. The original building materials would be replaced with current construction materials which provide the same functionality.

is the cost to create a replica of the structure being appraised. That is – an exact duplicate.

If the subject structure were built in 1960 with a foundation wall thickness of three feet (perhaps planning to use the basement as bomb shelter) the reproduction cost would include the current cost of a foundation wall three feet in width.

means to void, cancel, or withdraw approval of the agreement. There are two types of rescission mutual meaning both parties agree to rescind the agreement and unilateral when only one party withdrawls from a contract.

are allowances for losses occurring to short-lived components or equipment which have not yet required expenditure.

For example, in an apartment complex, each year a portion of the roof covering wears out and the annual depreciation in value from use is taken in account each year rather than the year in which the actual expenditure or replacement occurs.

is a value estimate from a historic perspective; that signifies the effective date is in the past.

A common retrospective appraisal would be one completed for estate purposes where the value must be estimated back to the date of death.