If the Value of a Home Falls Below the Amount

question 42

Multiple Choice

If the value of a home falls below the amount owed on the mortgage for that property,the house is said to be ________.

• A)underwater
• B)collateralized
• C)swamped
• D)in short sale

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Definitions:

Property Rights

Legal rights to use, derive benefit from, and transfer property.

Negative Externality

An adverse effect or cost suffered by a third party due to an economic transaction they were not involved in.

Government Standards

Official requirements established by governmental bodies that products, services, or processes must meet, often related to quality, safety, or compatibility.

Emission Reductions

The process of lessening the amount of pollutants released into the atmosphere, often targeting greenhouse gases to combat climate change.