Estates In Real Property Flashcards
A possessory interest gives…
a person the right to occupy a property
A non-possessory interest in a property gives…
someone the right to exercise some amount of control over the property without actually possessing it (easements, liens (including mortgages), and the government’s public regulations over land
When a land or real estate interest is described as a freehold estate, it means…
absolute ownership
The owner of a freehold estate is called a freehold tenant. Depending on the type of freehold estate, the freehold tenant may also have a right of
Disposition, or right to convey, the interest they own.
In North Carolina, freehold estates can be classified as
“estates of inheritance”
“life estates,” which exist only
For the term of a person’s life.
A fee simple estate is when
You absolutely own the home and can pass it along to whomever you wish.
Fee simple estates can be further broken down into
Absolute and defeasible estates.
An absolute estate is an estate.
Without restrictions, that is freely given to heirs.
A fee simple defeasible estate (or defeasible) is an estate characterized by
Conditions that – if violated – could make ownership null or void.
To run with the land means…
That the condition is attached to the property, not the owner, if the property is sold, the condition will also apply to the next owner.
An encumbrance is…
a restriction or limitation on a property that might be annoying or limiting to an owner.
There are two different kinds of defeasible estates:
Determinable
Condition subsequent
Their qualification as one or the other is determined by the language around the condition attached to the property.
A fee-simple determinable estate is
A type of fee simple defeasible estate which causes the title to automatically revert to the original owner if the deed requirements are violated. No legal action is required of the grantor to assume recovery of this kind of estate.
“It’s determined that ___ will regain the property if ___ happens.”
A fee simple condition subsequent estate is another type of defeasible fee estate. This is the same as a determinable estate in that it comes with specific requirements (or conditions).
The difference is that, for ownership to change, the grantor of the estate must…
Must prove (in court) that the defeasible fee estate condition has been violated. This MUST happen within a specific time frame. This change of ownership is NOT automatic, as is the case with a fee-simple determinable estate.
