Definitions Flashcards
Real Property
This encompasses real estate along with the interests, benefits, and rights inherent in real estate ownership. Real property is transferred from one party to another via a deed
Real Estate
This includes the land itself and all things permanently affixed to it, either naturally or through human intervention
Land
Refers to the earth’s surface, extending downward to the center of the earth and upward to the limitless sky, inclusive of permanently attached natural objects
Improvements
These are artificial attachments to land, such as buildings, fences, and other structures
Personal Property
Also known as Chattel, this includes all items not classified as real property and is transferred using a bill of sale or receipt
Ex: A freestanding washing machine is considered personal property because it can be easily moved and is not permanently fixed to the home’s plumbing system. On the other hand, an integrated dishwasher, which is built into the kitchen cabinetry and connected permanently to the plumbing, is considered real property
Possession
The right of the owner to occupy the property
Control
The owner’s authority to determine uses of the property
Exclusion
The ability of the owner to decide who can and cannot enter the property
Enjoyment
The owner’s right to use the property in any lawful manner
Disposition
The right of the owner to sell, lease, or otherwise convey the property
MARIA test
Method of Annexation
Adaptability for Use
Relationship of the Parties
Intention in Placing
Agreement of the Parties
Fixture
An item that becomes real property by virtue of its permanent attachment to the land or buildings.
Examples include light fixtures or HVAC systems. If there is any ambiguity, it should be explicitly addressed in the sales contract to specify whether such fixtures are included in the sale
Trade Fixture
Fixtures used in the course of business and attached to a leased space. They are generally considered personal property, and tenants can remove them at the end of a lease term. However, tenants are responsible for any damage caused by the removal of trade fixtures.
