Property, Mortgages, & Bankruptcy Flashcards
land title office
- a system of land title registration
- Torrens system
- government guaranteed
- priority of chronological registered
- one central on-line registry
estate in fee simple
(always own)
- freehold
life estate
(own until die)
- 80 year old remarried example, wife on farm example
leasehold
(set time)
- 90 year lease example
joint tenancy (owners)
- equal owners
- right of survivorship
tenancy (owners) in common
- ownership need not be equal
- no right of survivorship
encumbrances
- aka charges/liens
easement
- access right over adjoining property
- Dominant Tenement -benefits
- Subservient Tenement -yields benefit
statutory right of way
- access
- no dominant tenement
- governments and utilities
restrictive covenant
- negative (wording)
mortgage
- secured debt
- registered in land title office
assignment of rents
- collect rent directly from tenants
agreement of sale
- vendor financing
option to purchase
- buy the right to buy
- a right to buy property at a pre-determined price
right of first refusal
- price match
- usually a promise by the owner of property not to sell it without first offering it to the holder of the right on the same terms and conditions
lease
- term
- right of term renewal
- base rent -square foot rent
or - gross rent -percentage rent -7%
and - additional rent -covers expenses, -property taxes, -insurances, -operating costs
- usage
- non competition clauses
assignment of lease
sublease
parking
signage
repairs
tenant improvements
mineral rights
- is the right of the owner to exploit, mine, and/or produce any or all of the minerals lying below the surface of the property
land use contract
- a contract between a property owner and a local government that governs the use and development of the property such as land use, building siting and density.
judgement
- 2 years
- renewable
caveat
- short term freeze, 60 days
certificate of pending litigation
- long term freeze
land spouse protection act
- claim ties up property
builder’s lien
- work, or materials
- 45 days of completion of project
- 10% holdback for 55 days
notice of community charter
- violation
important terms of a mortgage
most important:
- covenant to pay
- pledge of land
- to pay property taxes
- insurance-first lost payee
- good repair
- no illegal operations
payment
interest
term
penalty for prepayment
foreclosure
Notice of Intention to Enforce Security -demand letter
Petition of Foreclosure -file, pay, serve
Order Nisi of Foreclosure -judgement -redemption period -6 months
order of conduct of sale
- court ordered sale (judicial sale)
- claims extinquished
- accounting
- property taxes -realtor commissions -legal cost -1st mortgage -other claims -surplus goes to owner -owner responsible for shortfall
periodic tenancy
- tenancy that automatically renews by its rental period
termination of rent increase on one period notice
distraint
- the seizure of someone’s property in order to obtain payment of money owed, especially rent
Bankruptcy Act
- insolvent
bankruptcy happens through courts by:
-petitioned into bankruptcy
or
-voluntary assignment into bankruptcy
in bankruptcy for 9 months, then discharged
trustree in bankruptcy
- turnover assets and liabilities
Exemptions to bankruptcy:
- fraud
- child abuse
- child support / alimony
- student loans (min 6 years)
order of creditors paid
1) secured creditors paid first
2) preferred creditors
- government
- lawyer
- wages
- leases
3) general creditors
- banks
intellectual property
Federal
Trademarks -registration
Patents -registration
Copyright -(C) on document
order absolute of foreclosure
- mortgage holder becomes owner
- extinguishes all lower claims
- no accounting
