Chapter 4 - Interests in Real Estate Flashcards
*** An ENCUMBRANCE is…
Anything such as a mortgage, tax, or judgment liens; an easement; a restriction on the use of the land; or an outstanding dower right - that may diminish the value or use and enjoyment of a property.
*** A right given by law to certain creditors to have their debts paid out of the property of a defaulting debtor is called a…
*** A LIEN. (often by court order)
A lien is made to enforce the payment of money.
***A property owner who has the legal right to use a neighbors land holds an_________.
***An EASEMENT
*** An __________ ________ is attached to the ownership of real estate and allow the owner of that property the use of a neighbor’s land.
**An EASEMENT APPURTENANT.
For an easement appurtenant to exist, two adjacent parcels of land must be owned by two different parties. IT RUNS WITH THE LAND.
***A ______ _____ can be an EXTERIOR wall of a building that straddles the boundary line between two lots, OR it can be a shared pared partition wall between two connected properties.
***PARTY WALL
The individual lot owners own the half of the wall on their lot, and each has an easement appurtenant in the other half of the wall.
***An _____ __ ____ is an individual or company interest in or right to use someone else’s land
***EASEMENT IN GROSS
a Utility company (pipeline or power line)or a railroad’s right of way is an easement in gross.
***How is an EASEMENT CREATED?
*** An easement is created by a written agreement between the the one who owns the land over which the easement runs and the other party who benefits from the easement. TWO OTHER WAYS for an easement to be created…EASEMENT BY NECESSITY and EASEMENT BY PRESCRIPTION.
***What is an EASEMENT BY NECESSITY?
***An easement by necessity is created by COURT ORDER based on the principle that OWNERS MUST have the RIGHT to enter and exit their land - the right of ingress (enter) and egress (exit); they cannot be landlocked. (it is not merely for convenience).
***What is an EASEMENT BY PRESCRIPTION or prescriptive easement?
***When a claimant has made use of another’s land for 10 - 21 years. The claimant’s use must have been CONTINUOUS, NONEXCLUSIVE and WITHOUT the owner’s permission. the use must be VISIBLE, OPEN, and NOTORIOUS, and the owner must have been able to learn of it.
*** A LICENSES is a personal privilege to ____ ____ ____ of another for a ____ purpose. A license differs from an easement in that is can be terminated or canceled
**A LICENSES is a personal privilege to enter the land for specific purpose.
***When a building, fence, or driveway illegally extends beyond the boundaries of the land of its owner or legal building lines, an ___________ occurs.
**ENCROACHMENT.
physical trespass …like a tree.
***What does a LIS PENDENS mean?
*** It’s latin for LITIGATION PENDING. It’s a notice filed in the public record of a pending legal action affecting the title to or possession of property. A LIS PENDENS creates a ‘cloud on the title’ to the property, which may prevent the property from being sold or further encumbered. (don’t buy it until you know the outcome of the lawsuit).
***An ____ __ _____ defines the degree, quantity, nature, and extent of an owner’s interest in real property.
** ESTATE IN LAND
Many types of estate exist, but not all INTERESTS in real estate or ESTATES.
you can have an ‘interest’ in land but if you can’t say it’s mine you don’t have an estate. if you don’t own the land you don’t have an estate.
***A FREEHOLD ESTATE… what is it?
***An estate in land in which ownership is for an indeterminate length of time, in contract to a lease-hold estate.
A FREEHOLD ESTATE can be a ‘fee simple estate’ and may be passed along to the owner’s heirs. OR a Freehold Estate can be a ‘life estate’ that is held only for the lifetime of a person (who may not be the holder of the life estate) and ends when that individual dies.
***A FEE SIMPLE ESTATE or FEE SIMPLE ABSOLUTE, is the HIGHEST interest in real estate recognized by law. This estate is intended to run forever. Upon the death of the owner, the property interest passes to:
- The Decedent’s co-owner (if there is one and the co-owndership was accompanied by a right of survivorship) or
- The person(s) specified in the decedent’s will (the devisee) or
- If the decedent has left no will, to the person(s) designated by the state’s law of intestate (left no will) succession.