Chapter 8 - Freehold Estates

Question 1

Freehold Estate is

Answer 1

An interest in land which permits possession without interference from others.
A ‘freehold estate’ means ownership of real property.
**Regardless of the loan

Question 2

What are two types of freehold estates?

Answer 2

Fee Estates

Life Estates

Question 3

Which type of freehold estate has more rights than the other?

Answer 3

Fee Estates have more rights then Life Estates.
Fee Estates - can be willed or given through inheritance.
Life Estates are non-inheritable and can only be deeded.

Question 4

Fee =

Answer 4

inheritable

Question 5

Two types of fee estates

Answer 5

1) Fee Simple
2) Conditional of Defeasible Fee
- fee simple determinable

Question 6

What is fee simple?

What’s another name for it?

Answer 6

AKA Fee Simple Absolute

Highest form of ownership (maximum rights) - continues forever

Question 7

What is conditional or defeasible fee?

What’s another name for it?

Answer 7

You own property, but with certain conditions
‘so long as’ ‘until’ etc.
AKA Fee Simple Determinable

Question 8

What is Conventional Life Estate

Answer 8

An estate that is DEEDED to someone for the course of their life or another’s.
Non-inheritable.
2 types of life estates.

Question 9

What are the 2 different types of Life Estates

Answer 9

Voluntary and Legal

Question 10

List the 3 Voluntary Life Estate types

Answer 10

Freehold Estate > (Conventional) Life Estate > Voluntary Life Estate

1) Estate in Reversion
2) Estate in Remainder
3) Reservation

Question 11

Estate in Reversion

Answer 11

a Voluntary life estate
Reverts back to the grantor after temporary ownership.
Grantor gives the grantee a life estate but retains future rights:
-For the life of the grantee or . . .
-For someone else’s life (pur autre vie - for the life of another)

Question 12

Estate in Remainder

Answer 12

a Voluntary life estate
Reverts to 3rd party.
Grantor gives grantee a life estate. When it ends it does not go back to Grantor.
Goes to 3rd party (REMAINDERMAN)
Remainderman owns property in ‘fee simple’

Question 13

What kind of estate will the remainderman own?

What was the type of estate before when it passed to the remainderman?

Answer 13

Fee Simple

Estate in Remainder

Question 14

Reservation

Answer 14

a Voluntary Life Estate

Grantor (owner) transfers ownership but retains possession for the grantor’s own life

Question 15

Legal Life Estates are created by:

Answer 15

Laws

Question 16

What are the three legal life estates

Answer 16

1) Homestead
2) Curtesy
3) Dower

Question 17

What is a homestead life estate

Answer 17

property occupied as family home - family is protected from being evicted by general creditors for personal debts

Question 18

What is a curtesy life estate?

Answer 18

Interest in property given to the surviving husband that was owned by wife at TIME OF DEATH

Question 19

What is a dower life estate?

Answer 19

Interest in property given to the surviving wife that was owned by husband at TIME OF DEATH

Question 20

How many spouses sign to buy and sell?

Answer 20

1 to buy

2 to sell

Question 21

Pur Autre Vie

Answer 21

For the life of another

Question 22

Life Estates . . .

Answer 22

Can be sold
Can be leased
Can be mortgaged
Cannot be willed or wasted (destroyed or used for illegal activity)
Rights in a life estate are transferred to another while the life estate is in force - receiver only gets rights of owner