Chapter 2 Flashcards
Real Estate Interests and Ownership
Chattel
personal property
Chattel real
an interest, such as a leasehold, in an item of immoveable property, such as land or a building.
Curtesy
the fractional interest of a husband in the estate of his wife at the time of her death. Not legal in AZ
Demise
the transfer of possession in an estate to another by the lease
Devise
(n) real prop. Transferred in a will. (v) to transfer real prop. By will
Dower
the fractional interest of a wife in the estate of her husband at the time of his death. Not legal in AZ.
Grantee
a person receiving a grant of real property from the grantor
Grantor
: a person transferring title to real property
Holdover tenant :
tenant who remains in the prop. After the lease has expired
Homestead
a person’s land used as their residence, the equity in which is usually exempt from attachment by creditors to statutorily preset amount - $150,000 in AZ
Inchoate :
incomplete, as an interest in property (eg. A mechanic’s lain that has been filed but not enforced).
Lessee
a tenant
Lessor
a landlord
Life estate
a freehold state that is not inheritable, the duration of which is limited by the life of the measuring life, either the owner of the life estate or another designated person.
Life estate in remainder
a life estate that passes to another named person upon the death of the measuring life
Life estate in reversion
a life estate that reverts back to the grantor upon the death of the measuring life.
Life estate pur autre vie
a life estate “for the life of another”, where the measuring life is someone other than the life tenant
Life tenant
someone who owns a life estate; the person entitled to possession of the property during the measuring life.
Probate
the legal process of determining the validity of a will, paying the debts of the deceased, and distributing the remaining assests.
Remainderman
a third party who has a future interest in prop. (A remainder estate) upon the termination of a life estate.
Reversion
a future interest that becomes possessory when a temporary estate (such as a life estate) terminates, and that is held by the grantor )or the grantor’s successors in interest).
Right of survivorship
the characteristic of a joint tenancy by which the surviving joint tenant (owner) automatically takes all rights, title, and interest of the deceased joint tenant.
Waste
the reduction in value caused by destruction, damage, or material alteration of property
define tenancy in severalty
ownership by a single individual or corp. where one person’s interests are severed (cut) from the interests of all others. its the easiest type of ownership to convey. gov. owned prop is also vested in severalty
list the concurrent co-ownership tenancies
co-ownership between individuals is any form of ownership in which two or more people share title to real property. aka co-tenancy or concurrent ownership. each owner has right of possession to the whole property, not just a fraction of it.
explain community property with rights of survivorship
community property is a type of ownership for spouses. with rights of survivorship (WROS), if one spouse dies the prop automatically transfer to the surviving spouse, avoiding probate.
what is a freehold estate? what is a less-than-freehold estate?
freehold is prop ownership of indeterminate duration.
less-than-freehold (leasehold) estate, where tenants occupy but do not own property.
what is a fee simple absolute estate
it is property that is wholly owned, transferable, and inheritable. the most common and complete form of ownership.
what are some characteristics of fee simple absolute estate
- is the highest form of ownership
- is for an indeterminable length of time
- includes the bundle of rights
- is inheritable
- is still subject to 4 gov. powers
what is a fee simple defeasible estate
(can be defeated)
aka qualified fee estates.
if not adhered to by the grantee, can result in the property reverting to the original grantor.
what is a fee simple determinable
a type of fee simple defeasible estate
terminated automatically if certain conditions occur
deed says things like “for as long as” or “while” or “during the period”.
reversion is automatic
what are the three forms of fee defeasible estates?
- fee simple determinable
- fee simple conditional
- fee tail
what is a fee simple conditional
aka fee simple condition subsequent
may be terminated by owner if conditions state in deed are not met.
“provided that” or “if”
what is a fee tail
limits heirs to lineal descendants (blood relatives)
what is a life estate
lasts as long as the measuring life
what is an ordinary (conventional) life estate
lasts for the life of its owner or to the life of some other designated person
what is a statutory (legal) life estate
aka dower, curtesy, and homestead protection
what does it mean when waste occurs
improper use or abuse of property. can happen if fail to pay prop taxes, insurance, or mortgage payments as well as by making material changes to the original use of the prop.
what is life estate in reversion
upon death of life tenant, ownership reverts back to the grantor or the grantor’s heirs
What are the essential requirements for a joint tenancy
PITT
Unity of :
Possession : co-owners share specific physical portion
Interest : each owner has equal interest
Title : each hold of their property is on one single deed
Time : ownership for all was created at the same time
what is a tenancy in common
ownership of realty by two or more persons each have an undivided interest in the entire property, but no right of survivorship
each owner has the right to sell, encumber or will their interest to a third party
how can a married person aquire property seperately?
by using a disclaimer deed
what is community property
is a type of ownership for spouses. equal partners each owning half.
does AZ support tenancy by the entirety
doesn’t exist in AZ. its for spouses and regards them as a single legal person.
which of the following can be considered community property?
property brought by one of the parties during the marriage
which type of ownership allows for unequal shares
tenancy in common
what is a joint tenancy
a form of co-ownership that always has the right of survivorship
