Forms of RE Ownership

Question 1

Joint Tenancy

Answer 1

People own property whether married or unmarried. What separates joint tenancy from the rest is the right of survivorship. If one party member is downed then the other takes full ownership.

Question 2

P.I.T.T (Needed for Joint Tenancy)

Answer 2

P - possession
I - Interest
T - Time
T - Title

Question 3

Co-ownership

Answer 3

When title to property is held by two or more individuals.

Question 4

Tenancy in Common

Answer 4

When there is more than one person involved. In this case, the interest is divided by ownership and not by property. Both are entitled to possession and use of entire property.

Question 5

Creating Joint Tenancy

Answer 5

A joint tenancy can only be created through a will or living trust. Can’t be made through the operation of law or other normal circumstances.

Question 6

Terminating a Joint Tenancy

Answer 6

A joint tenancy can only be terminated if one of the four people involved is unalived. Also, another joint tenant can’t be the owner and instead, it should be a common tenant.

Question 7

Partition

Answer 7

Partition is another legal way to dissolve the relationship between co-owners of RE when parties don’t voluntarily agree to it’s termination.

Question 8

Tenancy by the entirety

Answer 8

Special form of ownership used in some states that allows the other spouse’s ownership interest to be inherited upon the death of the other.

Question 9

Community Property

Answer 9

Laws are based on the idea that spouses, rather than merging into one entity, are equal partners in the marriage.

Question 10

Separate Property

Answer 10

Generally, real or personal property that was owned solely by either spouse before the marriage. And the spouse wants to keep it that way.

Question 11

Trust

Answer 11

A device by which one person transfers ownership of property to someone else to hold or manage for the benefit of a third party.

Question 12

Land Trust

Answer 12

Like a normal trust but in a land trust, as the name suggests. It’s only land that acts like the interest being transferred.

Question 13

Partnership

Answer 13

An association of two or more people who carry on a business for profit as co-owners. General partnership - All partners participate in the operation and management of the business.
Limited partnership - One person participates in most of the business in fear that the others will mess it up.

Question 14

Corporation

Answer 14

A legal entity created under the authority of laws of the state and is then managed/operated by a board of directors.

Question 15

LLC

Answer 15

A refined version of a corporation that coincidently is taxes friendly.

Question 16

Condominium Ownership

Answer 16

Owner holds a fee simple title to the unit.

Question 17

Common Elements

Answer 17

Individual unit owners also own a specified share of the undivided interest in the remainder of the building and land.

Question 18

Cooperative Ownership

Answer 18

Corpo hold title to land and building. It then offers shares of stock to prospective tenants.

Question 19

Share-holder

Answer 19

Purchaser of stock offered by corpo in cooperative ownership. Stock is owned as personal property and not real property.

Question 20

Proprietary Lease

Answer 20

This is what a Prospective tenant now has because of buying stock in cooperative ownership.

Question 21

Model Real Estate Time-Share Act

Answer 21

Deals with time-share management and protections for purchasers of units.