I. Real Propety Characterstics, definitions, Ownership, Restrictions , and Transfer (16 Questions) Flashcards
Land along with its improvement?
Read Property or Reality
Includes the Earth’s Surface, subsurface to the center of the earth, The space overhead and the rights to each
Land
3 Common recognized Physical Characteristics of Land?
Immobility
Permanence (or indestructibility)
Uniqueness
Seen as additions to the property that increase its value or enhance its appearance and may include attached property, suchas as a house, garage, or fixtures.
Improvements
The legal term for property deterioration, abuse, or destruction, generally by a negligent tenant.
Waste
This is generally considered anything that is unattached and moveable
Personal Property (AKA Personalty or chattel)
Some Intangible Assets that are personal property?
Bank accounts
Stocks
Many other Securities and financial instruments
One-Moveable items that have been attached to Real Property?
Fixtures
Fixtures used by a business tenant?
Trade fixtures (considered personal property)
Term for how, by attachment, something that was personal property becomes real property?
Annexation
The process of separation a fixutre from the real property.
Severance
The Legal Tests for a fixture (4) are:
- Intention
- Method of attachment or annexation
- Adaptation
- Relationship and General Understanding
Those things that ‘belong” to something else, generally by attachment, and in real estate generally include any number of rights that “run with the land,”
Appurtenances
Crops that a tenant gernerall owns as person property and may return to harvest even after a lease expires.
Emblements
Property descriptions may be legal descriptions such as: (3)
Metes and Bounds
Lot and Block
Street address
One that would not only keep one property from being confused with another, but could be precisely traced by a surveyor/
Full Legal Description
Full Legal Description is
required for a deed to be valid.
Metes and Bounds
system of property descript that “walks” the property boundaries by first identifing a physic Point of Beginning(POB) and then describing the distances and diretions along the property line.
Any of a number of landmarks that provides a stable point of reference for survey is a
Monument
System of Property description is generally used for subdivisions.
Lot and Block or
Lot, block, and tract or
Recorded Plat System
Lot and Block identifies properties according to a
Pat Map or sometimes even an assessor’s map of the subdivision
The Parcel of land under consideration is a
Lot or Site
A crucial element in describing a property and determining its possible uses is
Lot size
The survey acres is how many square feet?
43,560 Square Feet
An East-West line used in measurement is a
Baseline
A North-South line axis is called a
Principal Meridian
A grid system used mostly in the Midwest and West that starts measuring from the axis where a baseline and Principal meridian intersect..
Government Rectangular survey or
Rectangular Survey
Six-Mile by Six-Mail squares are know as
Townships
Townships are identified by where the ____ line (east-west) and _____ line (north-south) are in relation to the principal meridian and baseline.
Township
range
Each township contains __ one-mile squares, or sections.
36
Four townships add up to a
quadrant
Necessary for defining air rights, as in specifying the floor-to-ceiling sale of air logs in multistory condos or co-ops.
Vertical land descriptions.
Established a series of markers nationwide that serve as permanent reference points for orienting accurate surveys
Geodetic survey System
Name of these permanent markers (used in the geodetic survey system) are called
Benchmarks
A term for the point, line or surface from whcih elevations are measured.
Datum
Simply means everything one owns, including both real and personal property
Estate
2 Estates in real property
Freehold Estates
NonFreehold Estates/Leasehold Estates
Owned Property is what type of Estate
Freehold Estate
Leased Property Estate
Leasehold Estate
Freehold estates commonly imply
Fee simple or absolute and complete ownership of real property Also can be called: Fee Fee simple Fee simple absolute estate if fee simple
Fee simple defeasible or defeasible fee or qualified fee means
- *that the deed or title has some sort of qualification
* *makes it subject to being annulled or voided and reverting to the original owner or some third party
Fee simple determinable or qualified fee or determinable fee means
Should a stated condition occur, the estate automatically ends and the grantor has a possibility of revert-er or to the property
fee simple subject to a condition subsequent means
should a state condition occur, the grantor, heirs, or assigns must take action to exercise a right to terminat the estat under the power of termination…If the right isn’t exercised, the estae remains under the control of the grantee.
Type of estate that conveys an estate for the duration of the life of the life tenant
Life Estate
Conventional Life Estates
intentional arrangements amouong the interested parties
Life Estate pur autre vie means”for the life of another” in French and:
measures its duration by the life of someone other than the life tenant, as when a caregiver or companion is allowed to live in a house until the death of a specified other person.
This refers to the right to acquire the estate upon its termination as a life estate
Future Interests
The grantor of the life estate has named someone else to take title, such an individual is referred to as a remainderman
Remainder Interest
The Estate revers to, or is returned to the grantor of the life estat, who is known as a reversioner
Reversionary Interest
Once common terms now used in fewer and fewer states to refer to the property inheritance rights of windows and widowers
Dower and Curtesy
Entities or Parties involved in a real estate transaction may be _____ or ______
businesses
individuals
An individual is the sole owner of a property?
Sole Ownership or
Tenancy in Serveralty or
Serveralty
Ownership by two or more parties at the same time?
Concurrent Ownership or co-ownership
Parties hold an undivided fractional interest in the property
Tenancy in Common
Type of ownership in which Each tenant may hold a deed that does not name any of the other owners
Tenancy in Common
The parites hold an undivided rather than uneven shares in the ownership
Joint Tenancy
Four Unities of Joint Tenancy ownership
Unity of Title
Unity of Time
Unity of Possession
Unity of Interest
What is the right of Survivorship?
as each individual joint tenant passes away, the remaining tenants’ interest would increase until the last remaining person becomes the sole owner;
Tenancy by the Entireties, or Tenancy by the Entirety means :
Ownership has the same unities as a joint tenancy, but adds the concept that the couple owns the property as one indivisible legal unit, which provides broad property protections against creditors..
Property acquired by married people during the marriage is owned by both, unless it is exempted by one party acquiring it as separe property through gift, inheritance, or separe funds…
Community Property
Type of ownership that generally refers to multiple owners having an overlappping, inseparable interest in a property complex
Common Interest Ownership
Condominium ownership grants the owner (2)
1) fee simple title to the unit
2) an undivided interest in the jointly owned common areas as tenants in common
Horizontal Property acts are normally created so ______ owns the unit’s airspace.
Condominium
THe Occupant is a shareholder who owns stock in the company that owns the complex, and in exchange for agreeing to obey the bylaws and pay the fee, is granted a proprietary least interest to occupy the specific unit.
Cooperative Ownership or
Co-op
How are the taxes different between a coop and condo?
Coop is liable for the entire building’s property taxes and collects them from the owners through the co-op fee.
Condo owners is directly and solely responsible for taxes
TYpicall characterized by fee simple ownership of interval occupancy of a specified unit.
Timeshare Ownership
A specialized category of subdivision that is both a regulatory process and a type of building development.
Planned Unit Development (PUD)
The rights of an owner to the use of a flowing watercourse, such as a river, pond, or lake that borders the property, or a stream that crosses one’s land. This term is generally understood to refer to a commercially nonnavigable waterway, and gives an owner who borders on it ownership to its middle.
Riparian Rights
Rights an owner has to the use of frontage on an ocean, sea, or large lake. This term is generally understood to refer to commercially navigable waterways, and gives an owner who borders on it ownership to the high-water mark.
Littoral Rights
Terms of addition, or deposits:
accession, accretion, alluvial, alluviou
Terms of reduction, or removal,
corrosion, avulsion and deliction
This doctrine asserts that those along a waterway may take all they want regardless of those downstream.
Doctrine of prior appropriation.
4 Government Powers
Police Power
Taxation
Eminent Domain
Escheat
The STate’s authority to provide for the general welfare of the community through legislation and a range of enabling acts, or enabling sttures, that authorized agencies to organize and both implement and enforce their obligations
Police Power
Type of Police Power under which municipalites can regulate land use
Zoning
Zoning begins with a
Master Plan or Comprehensive plan, or general plan
Identifies the broad economic objectives and goals and seeks to achieve them through classifying certain areas or buildings as usable for specific purposes…
Master Plan
_____ in zoning refers to a property continuing a prior use after a zoning change
Nonconforming use
Allows for a use other than the primary zoning catagory–or that is not standard according to the zoning codes–but may be granted after review by the zoning authorities
Variance
similar to Variance, but is more restrictive and is governed by a permit that can be revoked
Conditional Use or Special Use
The specified distance a building myst be from a property line
Setback
Are that serves to separate one use from another
Buffer Zone
The physical outline of a building or other property improvement
Footprint
Simple municipal regulations govering zoning and land-use requirements
Zoning Ordinances
Governed by zoning ordinances and outline the local requirements for construction standards
Building Codes or Housing Codes
Required to begin new construction or significant renovations; they serve to notify the municipality of intened imporvements and allow the municipality to review the plans for conformity with codes
Building Permit
Typically Required in order for residents to move into a newly constructed building or return to a renovated one
Certificate of Occupancy or CO
Both Federal and state, are public controls grounded in the governmen’s exercise of police power…
Environmental regulations
A Government power necessary to raise revenue for municipal expenses, like schools and roads
Taxation
The general real estate taxes are also call _____ taxes, which means they are taxed “at value” so that properties with a higher assessed value pay proportionally more than those with a lesser value
ad valorem
In the event of an outstanding sepecial assessment or unpaid general taxes, the governmental power of taxation includes the power to place ____ ON PROPERTY.
LIENS
One mill =
1/1,000 of a dollar or 1/10 of one cent (.1 cent)
$85500 access value taxes at a mill rate of 34.5 =
85500 * 34.5 /1000=$2949.75
Government power that refers to the talking of title to real property for some use, public or private, that has been judged by the appropriately authorized governemtal enitity to be beneficial to the community’s interest,..
Eminent domain
Eminent domain is a type of involuntary alienation and involves 2 steps:
1) the process of condemnation
2) Payment of just compensation of the displaced owner.
Refers to the transfer of property ownership from an indivudual to the state when the individual dies intestate, or without a whill and with no know heirs…
Escheat
Non-Ownership interests that represent a restriction on the use and/or transfer of real property are
Encumbrances
Non-monetary encumbrances include such physical and legal restrictions as (4)
easements
encroachments
subdivision CC&Rs
Owners’ association rules that encumber the use and/or transfer of property
Interests in land that give a non-owner the right to use a property for a specific purpose, generally to cross over it
Easements
The right to use one property for the benefit of another one
Easement appurtenant or appurtenant easement
Most common is a right-of-way
Appurtenant rights and interests are say to ___ ___ ___ Land.
run with the
A special but common, type of appurtenant easement that arises automatically in cases where an owner sells a landlocked parcel of a larger property
Easement by necessity or easement of necessity
The property that privides and must allow the access is referred to as the
Servient tenement or servient estate
Land that “commands” the benefits of this use is referred to as
the dominant tenement or dominant estate
Owners that allow others to use their land without a specific arrangement may lose the right to stop that use if it becomes protected by law after a legal actions:
easement by prescription or prescriptive easement, or adverse easement
Prescriptive easements must meet several legal tests, most notably, that the use of the property has occurred
regularly for the minimum statutory period required by state law.
The Principle by which a new owner may be able to claim a previous owner’s period of similar adverse use to satisfy a statutory minimum-period requirement.
tacking
An owner is forced to allow a particular, limited use, which may be extinguished if abandoned
Adverse possession of a property
A common wall or a stand-alone wall either on or at a property line and therefore involves both owners in ownership, maintenance, and/or access issues
Party wall easement
Benefits an entity (commercial use) or individual (personal use), but differs from an easement appurtenant in that there is only a servient tenement.
Easement in gross
Something granted by an owner to someone else to use the property, typically in a brief, limited way, and may or may not include compensation..
License is a personal, revocable right or privilege…
Special type of encumbrance that involve some form of overlapping use of one property by another..
Encroachments
Unauthorized and/or illegal infringements that can affect a title’s marketability
encroachments
Simple encroachments may be removed by: (2)
selling the property in question to the encroaching property owner
Deeding the use as an easement
Some form of litigation against the property is pending that may become the responsibility of a new owner
‘lis pendens” or Pending lawsuit
A monetary encumbrance that asserts the lienholder has a creditor’s claim to a specific monetary interest in the property’s value
Lien
Voluntary transfer (4)
1) deeding it after selling it or making it a gift
2) assigning it to another
3) Dedicating it for public use
4) Wiling it to an heir
The donation of private property for public use
Dedication
Refers to having a will
testate
Someone who has made a will
Testator
Refers to a situation where a person dies without a valid will
Intestate
The public, leagal process of executing the terms outlined in a will, or determining how to settle the estate if there is not will
probate
The person designated to see that the terms of a will are carried out
Personal Representative
Executor
is/was the term for a personal representative appointed by the testor in the will to execute the terms of the will
Executrix
female of the Executor
The term for a personal representative appointed by probate when someone dies intestate or when there is a will and the court sees a reason to appoint an _____
Administrator
the distribution of an estate that is not governed by a will and follows state laws of descent and distribution for intestacy
Intestate succession
The process of property reverting to the state in the event someone dies intestate and with no heirs
Escheat
Witnessed, which are typically prepared with the help of an attorney
Formal Will
Handwritten and unwitnessed
Holographic Will
Is spoken by the person who is near death and written down by a witness
Oral or Numcupative
Real Property disposed of in a will is known as a
devise
Recipient of real property disposed of in a will is a
divisee
Personal property disposed of in a will is known as a
legacy or bequest
The Recipient of personal property in a will is a
legatee
Any situation where title transfers in a manner that the owner may not have any control over or would generally prefer not to have happen
Involuntary transfer or
Involuntary alienation
Involuntary transfer or involuntary alienation types (7)
1) foreclosure
2) condemnation
3) inverse condemnation
4) escheat
5) adverse possession as a result of open, notorious and hostile use of a property for a state-determined statutory period
6) Partition
7) Reversion duo to a breach in the terms of the deed or contract, or other unmet conditions
An alternattive by which the creditor refrains from taking legal action against a borrower in default after being satisfied that th eborrower is taking acceptable measures to satisfy the debt (possibly a mortgage modification)
forbearance
A situation in which the owner gives a lender the deed rather than going through a foreclosure proceeding
Deed in lieu of foreclosure or deed in lieu
Refers to the right to pay off a debt, even after mortgage default and reclaim the property
redemption
May include a before-foreclosure-sale right known as the equitable right of redemption or even a statutory period after a sale, known as a statutory right of redemption are called ____ rights
Redemption
