Topic: Origin of Arms Length Transaction
Answers to Common Questions
What is an arms length transaction?
An arm's length transaction is a transaction that occurs between two unrelated parties, each of whom is acting in their own self interest and therefore trying to get the best deal for themselves, when a transaction is arm's length, the amou... Read More »
Source: http://wiki.answers.com/Q/What_is_an_arms_length_transaction
What is the assumption of arm's length transactions?
Business dealings between independent and rational parties who are looking out for their own interests. Investopedia Says: For example: if two strangers are involved in the sale and purchase of a house, it is likely that the final agreed-up... Read More »
Source: http://wiki.answers.com/Q/What_is_the_assumption_of_arm's_length_...
What is the definition of arms length transaction in real estate?
In conveyancing, an arm's length transaction is between people who are not related, not on close terms and who are presumed to have equal bargaining power. For example a deed from a mother to her son for a nominal sum is not an arm's length... Read More »
Source: http://wiki.answers.com/Q/What_is_the_Real_estate_appraisal_defin...
Featured Content: Origin of Arms Length Transaction
The arm's length principle (ALP) is the condition or the fact that the parties to a transaction are independent and on an equal footing. Such a transaction is known ... More »
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Answers to Other Common Questions
This is a fantastic question. Most real estate transactions completed are considered to be an Arms Length Transaction. This means everyone involved is acting independently and have no relation to one another. It is assumed that with no pers... Read More »
Source: http://activerain.com/blogsview/1868285/what-is-a-non-arms-length...
It means the price, terms and conditions would have to be structured as if you never knew your spouse (i.e., there should be some documentation of hard negotiation and the price, terms and conditions should be consistent with the marketplac... Read More »
Source: http://answers.yahoo.com/question/index?qid=20100104082525AAQfIkg
C would be the best answer. A arm's length transaction is one that is between related parties, but is done as if the two parties were unrelated. I.e. I'm selling a product to a subsidiary, but instead of selling it at below market price, i ... Read More »
Source: http://answers.yahoo.com/question/index?qid=20090120182746AA2WT7Y
I wanted to share a situation that happened to my family.  It just doesn't make sense for the government to apply the "arms length transaction" rule in this situation.  Feedback and insight is welcome. My grandmother and grandfather had the... Read More »
Source: http://activerain.com/blogs/ybondan
A transaction in which the buyers and sellers of a product act independently and have no relationship to each other. The concept of an arm's length transaction is to ensure that both parties in the deal are acting in their own self interest... Read More »
Source: http://answers.yahoo.com/question/index?qid=20070920220342AApBRGx
A transaction carried out by unrelated or unaffiliated parties, as by a willing buyer and a willing seller, each acting in his own self-interest. Pricing based on such transactions is the basis of fair market valuations. Read More »
Source: http://www.zillow.com/advice-thread/What-does-full-value-arms-len...
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