Definition: Something of legal value exchanged in a bargain, such as money, a promise, an act, or forbearance.
Example
A buyer promises to pay an agreed price in exchange for the seller's promise to convey the property.
Keep the distinction clear
Consideration need not always be cash or equal market value. Love and affection is traditionally called good consideration but is different from bargained-for value.
Related terms
Consideration · Good Consideration · Bilateral Contract
Keep studying
Valid, Void, Voidable, and Unenforceable Contracts
References: California DRE: real estate glossary
Pronunciation (US): VAL-yoo-uh-bul kun-sid-uh-RAY-shun (capitals show stress)
Pronunciation reference: Merriam-Webster
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