Chapter 3 Interests in Real Estate Flashcards
Degree, quantity, nature and extent of an owner’s interest in real property
estate in land
Indeterminable length of time in which an owner holds interest.
Freehold estate
Type of freehold estate
fee simple estate
Highest interest in real estate recognized by law
fee simple absolute
fee simple “with strings attached”.
fee simple defeasible
Condition subsequent
Fee simple as long as you “can only do…”
Determinable
fee simple as long as “you can’t do…”
Form of ownership for the duration of a person’s life
Life estate
possessor of a life estate
life tenant
“for the life of another” provides inheritance for the life tenant’s heirs
Pur autre vie
“Expressing future interest”
Creator of life estate may name a remainderman as the person whom the property will pass when the life estate ends
Remainder interest
“Revert back to original ownership”
Creator of life estate may choose to not name a remainderman. Ownership returns to original owner upon the death of life tenant.
Revisionary interest
Provide non-owning spouse with means of support after the death of the owning spouse
Dower or curtsey
Legal life estate in real estate is occupied as the family home. “Protection against unsecured creditors”
Homestead
This exemption reserves a certain amount of money for the family in the event of a court sale
Homestead exemption
Type of interest in real estate that does not rise to the level of ownership or possession, yet still gives other entity some degree of use or control over property
Encumberance
Charge against property that provides security for a debt or an obligation of the property owner
Lien
Highest priority lien
Real estate taxes
This limits the use a a property by the current owner, as well as future owners to whom the property is subsequently transferred
Deed restrictions
For subdivision developers. Maintaining specific standards in subdivision
CC&R’s
The right to use the land of another for a particular puropose
Easement
This is attached to the ownership of real estate and allows the owner of that property the use of a neighbor;s land
Easement appurtenant
Parcel benefiting from easement
dominant tenement
parcel which the easement runs through
servient tenement
Ex: shared driveway. exterior wall of a building that straddles the boundary line b/w two lots
party wall
Recipricol interest of each owner in the property of the other
cross easement.
An individual OR COMPANY interest in or right to use someone else’s land
Easement in gross
Easements are created by
written agreements
An easment that is created when an owner sells a parcel of land that has no legal access to a street of public way except over seller’s remaining land. preventing someone from being landlocked
Easement by necessity
“Squatter’s rights” If claimant has made use of another’s land for a certain period of time as defined by state law, then this type of easement is acquired
Easement by prescription
Personal privelage to enter the land of another for a specific purpose
License
WHen a building, fence or driveway illegally extends beyond the boundaries of the land its owner or legal building lines
encroachment
“Yellow flag. Warning sign. Notice filed in the public record of a pending legal action affecting the title to or possession of a property
Lis pendens
The four governmental powers
Police power. eminent domain. taxation. escheat.
Action bought by a property owner seeking just compensation for land adjacent to land used for public purpose when the property’s use and value have been diminished
Inverse condemnation
Charge on real estate to rise funds to finance the operation of government facilities and services
taxation
The process by which the state may acquire privately owned real or personal property
Escheat
