I. REAL PROPERTY CHARACTERISTICS, LEGAL DESCRIPTION, AND PROPERTY USE

Question 1

An item that was personal property; however, it has been attached in such a way that it has become real property.

Answer 1

Fixture

Question 2

The process of ATTACHING a fixture is:

Answer 2

Annexation

Question 3

The process of real property becoming personal property

Answer 3

Severance

Question 4

Fixtures installed by a tenant in order to carry out a BUSINESS that may be
removed from leased property prior to the termination of the lease.

Answer 4

Trade Fixtures

Question 5

Crops cultivated ANNUALLY.

Ownership can be transferred with a bill of sale, or the cultivating farmer may make arrangements to return to the property and harvest them one time after the sale closes and the crops are ready for harvest.

Answer 5

Emblements

Question 6

When personal property is included in a sale, an ADDENDUMS may be attached
to the contract to describe the details of the transaction. This is called a:

Answer 6

Bill of Sale

Question 7

This Characteristic describes that no two pieces are exactly alike.

A more current term is uniqueness. Each piece of land is unique.

Answer 7

Nonhomogeneity

Question 8

This Characteristic describes that land cannot be moved - a person must go to the land

Answer 8

Immobility

Question 9

This Characteristic describes durability - it will always be there

Answer 9

Indestructibility

Question 10

In short supply where DEMAND is great and is usually based on geographic considerations.

Answer 10

Scarcity

Question 11

Land use and value are greatly INFLUENCED by improvements made by man to land and to surrounding parcels of land.

Answer 11

Modification

Question 12

Land, buildings, and other improvements to land are considered FIXED or permanent investments – they are not liquid assets.

Answer 12

Fixity

Question 13

LOCATION preference, or location from an economic rather than a geographic standpoint.

(This can change over time as people change.)

Answer 13

Situs

Question 14

Legal descriptions that use terminal POINTS and angles and always have a p.o.b. (point
of beginning).

This method uses compass directions, degrees, and minutes.

Answer 14

Metes and bounds

Question 15

Legal Description derived from a recorded map called a PLAT.

This is the most common description used in residential listing agreements.

Answer 15

Lot, block, and subdivision

Question 16

Legal Description that takes into consideration baselines, and meridians, townships, and sections. Townships and Sections are located in Ranges.

One township contains 36 sections. Each section contains 640 acres, which is 1 square mile. Each acre contains 43,560 square feet.

Answer 16

The Rectangular Survey System (RSS) also known as the Government Survey System,

Question 17

The power given to a municipality to REGULATE and control the character and
use of property for the health, safety, and general welfare of the public.

Answer 17

Police Power

Question 18

The right of the government to take private property for public use through the action of CONDEMNATION This is the only time the government must compensate
property owners.

Answer 18

Eminent Domain

Question 19

Property taxes are the highest priority lien on real property. Property taxes are
ad valorem taxes, or according to value. Unpaid taxes create an automatic lien on property.
At foreclosure, property taxes are always paid first.

Answer 19

Taxation

Question 20

Property reverts to the state when someone dies, leaving NO will and no heirs or kindred.

Can also be used if property is Abandoned.

Answer 20

Escheat

Question 21

The most common example of police power.

Regulations are local laws to control land use.

For example, R-1 zoning means residential, single-family only.

Answer 21

Zoning

Question 22

A CHANGE in zoning may result in a:

Answer 22

Non-Conforming use.

This use was permissible under former rules, but new rules prohibit it. A non-conforming use is allowed to continue as it is considered grandfathered.

The non-conforming use is automatic; no hearing or application process is required.

A non-conforming use cannot be altered or expanded without permission, but it can be sold to a party who wishes to continue the existing use.

If the property is destroyed, the non-conforming use may not be rebuilt without permission.

(Note – there is no violation of zoning here.)

Question 23

If your property VIOLATES zoning, you may request a

Answer 23

Variance

A variance may also be requested prior to construction.

Adding on to the front of a building would usually require a variance.

The process to obtain a variance is to apply to the zoning committee.

A hearing will be scheduled, and all neighborhood property owners will be invited to the hearing to voice any objections they might have to the variance.

A variance goes with the property when the property is sold.

*Setbacks are apart of Zoning

Question 24

A CONDITIONAL use or SPECIAL use can be granted by a:

Answer 24

Zoning committee or Deed restrictions (HOA).

This use would benefit the neighborhood, like a school within a residential neighborhood.

Another conditional use is a:

PUD – A Planned Unit Development.

A PUD zone allows for a higher population density with houses clustered together, leaving more green area open for parks and recreation.

A non-profit community association is organized to provide maintenance of the common areas. An extra tax may apply to property owners in a PUD.

Question 25

An area of land SEPARATING one land use from another, such as residential from commercial.

Answer 25

A Buffer Zone

Question 26

The government also has the right to regulate SPECIAL land types for the public good. These are called:

Answer 26

Coastal Properties and Wetlands. Standards have been set to keep construction a set distance from protected wetlands. The space between the wetlands and construction is another example of a buffer zone.

Question 27

Police power provides the government with the right to establish these codes:

Answer 27

Building Codes Specific construction requirements, designs, materials, safety guidelines, etc., can all be regulated. New construction frequently requires a Certificate of Occupancy to be issued.

Question 28

The most common private controls of land use are

Answer 28

CC&Rs - deed covenants, conditions, and restrictions. HOA (Home Owner Association) or POA (Property Owner Association) regulations are like deed restrictions but usually apply to condominium complexes and subdivisions. Deed Restrictions are imposed to control land use, development, and methods, and materials for construction

Question 29

A LIMIT on a property or a limit on a property’s owner’s RIGHTS that may or may not also be a cloud on the title.

Answer 29

An Encumbrance

Question 30

Imposed by the grantor withholds title to a part of the land described in the deed (Example: an easement or MINERAL rights).

Answer 30

A Reservation

Question 31

When a structure or improvement overlaps or TRESPASSES onto another’s property, it is an:

Answer 31

Encroachment Encroachments must be disclosed. The determination of an encroachment requires a survey. Note: A listing agent discloses an encroachment, a buyer’s agent recommends a survey. In the case of an encroachment, the injured party has the right to demand the removal of the encroachment.

Question 32

Allows limited use or ENJOYMENT of another’s land. It is a right in land and should be created in writing and recorded. It is use WITHOUT possession.

Answer 32

An Easement

Question 33

Easements can be CREATED by:

Answer 33

Express (written or verbal) Implied (by actions or evidence) Grant Agreement Reservation Limitation Prescription Necessity Condemnation

Question 34

Easements can be TERMINATED by:

Answer 34

Merger (acquiring the adjacent property) Release Abandonment The government will take an easement by Condemnation for itself, the utilities, or the railroads.

Question 35

If you have two parcels of land with a road across one parcel, the owner who crosses over the other’s land is:

Answer 35

Dominant Estate The dominant estate would be landlocked without the easement, in most cases. The dominant estate benefits from the Easement.

Question 36

The property with the road that is servient to the Dominant Estate is the:

Answer 36

Servient Estate The servient estate is Encumbered. The most common reason for this type of easement is entry and exit from the property. This easement is called an Easement Appurtenant. It goes with the land, and the landowner owns the easement.

Question 37

belongs to a person or COOPERATION. An example is a UTILITY easement. No matter who owns the land, the easement still belongs to the utility company.

Answer 37

An Easement in Gross

Question 38

The permission to do a PARTICULAR act upon the land or property of another.

Answer 38

A license A theater ticket or sports event ticket is a license that grants the use of one seat for one performance.

Question 39

Occurs when property is acquired from the rightful owner through the Statute Of Limitations. Occupancy must be hostile, visible or open, actual or notorious, continuous, and distinct for the statutory period. (Squatter’s rights)

Answer 39

Adverse Possession

Question 40

A RECORDED notice filed against a specific property, meaning that some form of lawsuit has been filed but not yet resolved in court.

Answer 40

Lis pendens A lis pendens may become the responsibility of a new owner if not settled prior to closing. Broker license candidates may see a reference to a lis pendens for the foreclosure of a TRADITIONAL mortgage.