Ace the Washington State Real Estate Challenge 2026 – Unlock Your Path to Success!

The correct answer is the Ad Valorem Tax, which is a tax that is levied based on the assessed value of a property or asset. This type of tax is commonly referred to as a general tax because it applies broadly to real property and is typically used to fund local governments, schools, and public services. The term "ad valorem" is Latin for "according to value," which reflects the method employed to assess the tax based on the value of the property, rather than on the income or number of transactions involved.

In contrast, adverse possession involves gaining ownership of property under certain conditions over time and is not a tax. The term "agent" refers to a person acting on behalf of another, typically in real estate transactions, and does not pertain to taxation. Lastly, an administrator is typically someone appointed to manage the estate of a deceased person and does not describe a tax type. Understanding these distinctions helps clarify why Ad Valorem Tax is the correct choice.