Ace the Arizona Real Estate Exam 2025 – Unlock Your Property Dreams!

Question: 1 / 1505

The term "ad valorem" best means?

The adding of value

An assessment

According to value

The term "ad valorem" is derived from Latin and directly translates to "according to value." This principle is commonly used in taxation and real estate contexts. For instance, property taxes are often calculated based on the assessed value of a property, meaning the tax amount is proportionate to the value of the property owned. Understanding this term is crucial for real estate professionals, as it helps them navigate how property valuations influence tax obligations and overall market value assessments. By recognizing that "ad valorem" relates specifically to value, it becomes clear how integral this concept is to dealings in the real estate market and financial assessments pertaining to property.

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Worth is assumed

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