Category Archives: Term of the Day

Term of the Day: Mill Rate

Mill rate is utilized by local taxing authorities to show the rate of local property tax assessment in mills (which is one tenth of one cent) per dollar of accessed value. The mill rate may be perceived as dollars of tax per one thousand dollars of assessed valuation.

Term of the Day: Imputed Interest

The imputed interest is actually the implied interest. In a mortgage that states an insufficient interest rate, the income tax or some regulation body will impute that the rate is higher, and the principal is less.

Term of the Day: Guaranteed Return

A guaranteed return is a leasing arrangement where the landlord's income is under guarantee by virtue of the existence of a net lease. It can also refer to a situation where a vendor or third party provides a guarantee of a minimum cash flow from a property.

Term of the Day: Escrow

Escrow is defined as property and related documents to be exchanged between transacting parties held by a third party, pending the satisfaction of the stipulated conditions.