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Attorney-in-Fact Definition

In your real estate career, you will hear the terms power of attorney and attorney-in-fact, plus it shows up on your exam, so understanding the terms is essential. What is an Attorney-in-Fact? Definition: Someone authorized to act on behalf of …

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Escheat Definition

Escheat is the government’s right to take ownership of unclaimed real estate or assets. Escheat is a government power granted by the constitution, and part of the reason it’s critical to have a will, but more on that later. What …

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Release Clause Definition

The release clause, also known as a buyout clause, is a contract provision that allows for the freeing of all, or part of a property, through a proportional or full amount of the mortgage being paid. This clause is usually …

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Subordination Clause Definition

The subordination clause, also known as the subordinate clause in real estate, finance, and banking, refers to the order of priorities in claims for ownership or assets. The subordination clause is the legal agreement that establishes the order of priorities …

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Prepayment Penalty Clause Definition

A prepayment penalty is a fee some mortgage lenders charge if a borrower pays off their loan too quickly. Sounds a little crazy, right? Well, it kinda is! In this post we are going define prepayment penalties and the prepayment …

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