Chapter 10 - Interest in Real Estate Flashcards

Question

Per Ultra V Life Estate (For the life of another)

Answer 1

created when the grantor conveys the prop to a life tenant based on the life of another. Ends when the death of that other occurs (often created for a physically or mentally impaired person)

Answer 2

A legal life estate in land that is owned and occupied as a family home.

Answer 3

to protect a family against eviction by creditors and to protect spouses by requiring that both husband and wife both convey the deed and sign - Must intend to occupy the homestead as their home - must own or lease the property family obtains 6 months after the event of sale in order to acquired another homestead (before creditors) can be terminated by: - death - selling the property - abandoned (the discontinuance of use or property with the intention not use it)

Answer 4

- 10 acres in urban areas - 200 acres in rural areas (100 for single)

Answer 5

- taxes owed on the property - mortgages on the property - liens - homeowner association liens owelty loan - one spouse maintains possession and the divorced can retain their portion through this loan

Answer 6

A claim, charge, or liability that attaches to, and is binding on real estate. A right or interest held by someone that does not own the property 1) Liens 2) Easements

Answer 7

A limitation on the use of real property.

Answer 8

A claim against a property that provides security for the repayment of a debt or an obligation of the property owner (mortgage, property as collateral)

Answer 9

A right acquired by one party to use the land of another party for a special purpose. (can also be in the air)

Answer 10

A right of use in the adjoining land of another that moves with the title to the property benefiting from the easement. (Two parties: Servient and Dominant)

Answer 11

Exists when a landowner has no access to roads and is landlocked.

Answer 12

A right of use in the land of another without the requirement that the holder of the right own adjoining land.

Answer 13

Obtained by use of the land of another for the legally prescribed length of time.

Answer 14

A grantor conveys the right to use the grantor’s land to a grantee for the purpose of ingress and egress.

Answer 15

Land encumbered by an easement.

Answer 16

Land benefiting from an easement appurtenant.

Answer 17

generally imposed by developer or subdivision to maintain the standards in which originally designed

Answer 18

term used for a property that does not have access to public roads (may have easements attached to it in order to cross into it)

Answer 19

Any lien placed on property with consent of, or as a result of, the voluntary act of the owner. (Mortgage)

Answer 20

A lien imposed against property without consent of an owner (ex: taxes, special assessments, federal income tax liens, etc.). (either statutory or equitable)

Answer 21

A lien on all the property of a debtor. (Real and Personal property)

Answer 22

A lien that attaches to one specific property only. (Mortgage, Property Tax, Mechanics Liens)

Answer 23

The order in which liens are given legal precedence or preference.

Answer 24

An agreement by the holder of an encumbrance against real property to permit that claim to take an inferior position to other encumbrances against the property.

Answer 25

a charge against property that provides security for some type of debt (all liens are encumbrances) the holder has the right to sell the property to make themselves whole again created by a deed of trust and has a power of sale provision. Liens run with the land (transferable)

Answer 26

public sale for the benefit of lien holder (not conducted by courts)

Answer 27

V - Voluntary I - Involuntary S - Statutory - created by statute (mechanics/work done on property) E - Equitable - common law (vendors/vendees lien)

Answer 28

the order in which liens get paid on point of sale: 1) Tax Lien 2) Mortgage Lien 3) All others can be changed through subordination (a written agreement between lien holders to swap positions)

Answer 29

don't have a specific priority - they are considered general liens (personal and real property). Attach only to the equity interest of the owner of the property On Sales -> tax lien -> Mortgage lien -> IRS Tax -> left over for owner

Answer 30

1) Ad Valorem Taxes (according to value) - school districts, city, utility taxes, hospital..etc.. for general support of the government agency 2) Special Assessment Taxes (improvement taxes) Under Texas Law, public or nonprofit ownership is not subject to taxation (schools, parks, playgrounds, religious corps, hospitals, etc)

Answer 31

1) Property Valuation 2) Protest 3) Adoption of tax rate 4) collection generally between Jan 1st - April 30th Appraised Value deadlines: April 1st - Homesteads May 1st - all other

Answer 32

applied to the base assessed value amount (not the tax amount) - Homestead Tax Exemption - 15K off a home taxable value for school district taxes (1) has to own as principle residence of Jan 1. (2) submit application between Jan 1- April 30th (3) submit copy of DL/Vehicle registration - Age 65 exemption (Jan 1 of the year they turn 65) $25K reduction in value for tax purposes. Also qualify for (1) Tax Ceiling Freeze - taxes can't increase YoY unless improvements are made (2) Installment Payments - made in 4 equal installments w/o any interest (3) Tax deferral (4) surviving spouse benefit - Disability Exemption - mandatory for school districts. $10K (can't also be the 65 year exemption, one or the other).

Answer 33

A valuation placed upon a piece of property by a public authority as a basis for levying taxes on the property.

Answer 34

begins after district has sent out appraisal notice of valuation. If not satisified with the original resolution, may submit written protest by the later of either 1) On or before May 31st 2) after 30 day when the appraisal was submitted

Answer 35

Appraisal Review Board

Answer 36

A form of action taken to impose a tax. Formed by a vote of the tax districts

Answer 37

The amount of money needed by a municipality to meet budgetary requirements divided by the taxable assessed and nonexempt value of all real property within that jurisdiction. Computed separately for each. Typically expressed as a $ amount for each $100 of assessed value Ex: property assessed for 100K and 1.50 per 100 dollars = tax due of 1,500 taxes are paid in arrears (at the end of the period)

Answer 38

An encumbrance against a property filed by the taxing jurisdiction for delinquency in paying real property taxes. Remember, these are given priority over all other liens against a property

Answer 39

the action taken by each taxing entity that authorizes the expenditure of funds and provides the sources of the funds.

Answer 40

an owner's right to redeem the property prior to the tax sale

Answer 41

right to redeem after the date of the sale. If prop is a homestead, mineral, agricultural, the owner has up to 2 years after purchasers deed is recorded to redeem the property. 25% penalty over first year 50% penalty of second year

Answer 42

A specific lien that gives security to persons or companies who perform labor or furnish material to improve real property. - Affidavit Mechanics Lien - involuntary lien. (property owner hires a general contractor for remodel - this contractor may hire other subcontractors and can file this when hasn't been paid by owner of property)

Answer 43

A legal claim on all of the property of a judgment debtor which enables the judgment creditor to have the property sold for payment of the amount of the judgment. General but involuntary lien on both real and personal property

Answer 44

The process by which real or personal property of a party to a lawsuit is seized and retained for payment of an existing note secured by a mortgage or deed of trust against the property, becoming a co-guarantor for the payment of a mortgage or deed of trust note.

Answer 45

voluntary lien given to a lender by a borrower as a pledge of security Preferred Lien - used as this. no other major liens against the property (besides real estate taxes)

Answer 46

not a lien, but notice of a possible future lien. gives notice to all interested parties (purchasers, lenders)

Answer 47

encumber a deceased persons real and personal property

Answer 48

seller has this when has not received in cash the full purchase price of the home - specific, equitable and involuntary lien

Answer 49

a buyers claim against a sellers property when title has been failed to be delivered - specific, equitable and involuntary lien

Answer 50

for bail bond - voluntary lien

Answer 51

employers who owe back wages to an employee (takes priority of all other liens)

Answer 52

results from failure to pay federal taxes. general, statutory, involuntary lien

Answer 53

student loans, etc

Answer 54

The rights of a landowner or land occupier to use flowing water (such as a river) that is adjacent to the land.

Answer 55

The right of a property owner whose land borders on a body of water, such as a lake, ocean or sea, to reasonable use and enjoyment of the shore and water the property borders on.

Answer 56

An addition to property through the efforts of man or by natural forces.

Answer 57

The increasing in land area resulting from the deposit of soil by the natural action of the water.

Answer 58

The gradual increase of earth on a shore of an ocean or bank of a stream resulting from the action of the water.

Answer 59

Increased soil, gravel, or sand on a stream bank resulting from flow or current of the water.

Answer 60

A sudden and perceptible loss of land by the action of water as by a sudden change in the course of a river.

Answer 61

The eating away of a coastline or land by the action of water, ice, and/or wind, or wearing away of a surface by corrosion or traffic.

Answer 62

Water under the earth’s surface, below the saturation point.

Answer 63

The rights in real property to the reasonable use of the air space above the surface of the land.