REAL PROP Flashcards
What are Present Estates?
Exclusive right to use, possess, occupy or transfer property now at this very moment.
Includes devisable, descendible, and alienable interests.
What is a Fee Simple Absolute?
An estate with no conditions attached, allowing A to have the estate forever.
Example: “To A” or “To A and her heirs”.
What are Defeasible Fees?
Estates always subject to a condition; must have clear and durational language.
Intent alone is not enough.
What is a Fee Simple Determinable?
Automatically terminates and reverts back to Grantor upon the occurrence of a specified event.
Example: “To A for so long as…”
What is a Fee Simple Subject to a Condition Subsequent?
Reverts back to Grantor if a specified condition occurs, but requires action by Grantor to reclaim.
Example: “To A but if X occurs…”
What is a Fee Simple Subject to Executory Limitation?
Interest is transferred to a third party upon the occurrence of a specified event.
Example: “To A but if X occurs, then to B.”
What is a Life Estate?
Entitles the holder to possession during their lifetime, with future interests reverting to Grantor or a third party.
Example: “To A for life.”
What is a Life Tenant’s duty?
Must maintain the property, can rent out or convey interests, but cannot commit waste.
Waste includes affirmative, permissive, and ameliorative waste.
What is a Remainder?
A future interest in a third person that arises immediately upon the termination of a preceding life estate.
Can be conveyed or passed by intestacy.
What is a Vested Remainder?
Future interest given to an identifiable person with no conditions.
Example: “O conveys to A for life, then to B.”
What is a Contingent Remainder?
Future interest conditioned upon the occurrence or non-occurrence of an event.
Example: “To A’s children who are alive when I die.”
What is an Executory Interest?
Future interest held by a third party that cuts off another’s interest.
Example: “but if X occurs, then to Y.”
What is the Rule Against Perpetuities?
No property interest is valid unless it must vest not later than 21 years after the death of a life in being at the time interest was created.
Applies to contingent remainders and executory interests.
What is Tenancy in Common?
One estate owned jointly by two or more co-tenants with no right of survivorship.
Each co-tenant has a separate, undivided interest.
What is Joint Tenancy?
An estate owned jointly with right of survivorship, requiring PITT (Possession, Identical Interests, Time, Title).
Example: “To A and B as JT with right of survivorship.”
What is Tenancy by the Entirety?
An estate owned by married couples with right of survivorship, cannot be conveyed unilaterally.
A deed executed by only one spouse is ineffective.
What is a Leasehold Interest?
A lease grants a tenant present possessory interest in real property for a limited time.
The landlord has a future interest (reversion).
What is a Tenancy for Years?
Lasts for a fixed period of time and automatically terminates at the end.
Example: “To T for 10 years.”
What is a Periodic Tenancy?
Automatically continues for additional equal periods until valid notice is given to terminate.
Example: “To T for month to month.”
What are Tenant Duties?
Tenant must maintain premises, pay rent, and avoid waste.
If T stops paying rent, LL can evict or sue for damages.
What are Landlord Duties?
Landlord must deliver actual possession, ensure quiet enjoyment, and disclose latent defects.
LL is liable for ordinary negligence if they had notice.
What is the Implied Warranty of Habitability?
Landlord must provide habitable living conditions for residential leases.
If breached, tenant may terminate lease or seek damages.
What is Constructive Eviction?
Occurs when a landlord breaches the covenant of quiet enjoyment, making premises uninhabitable.
Tenant must vacate after giving notice of the issue.
What is an Assignment?
Tenant transfers all remaining lease interest to a third party (assignee).
Original tenant remains liable for unpaid rent.
What is a Sublease?
Tenant transfers only some of their remaining lease interest.
Sublessee is not liable to the landlord for rent.
What is Surrender?
Agreement to end a lease early, which must be accepted by the landlord.
Attempts to surrender do not constitute acceptance.
What is a Real Covenant?
A non-possessory interest in land that obligates the holder to do or refrain from doing something.
Enforceable promise that runs with the land.
What is an Equitable Servitude?
A restriction on land use enforceable by injunctive relief if the burdened estate has notice.
Must have writing, intent, and servitude that touches and concerns the land.
What is the Common Scheme or Plan Doctrine?
Binds land parcels in a subdivision if there was a common scheme and the owner had notice of restrictions.
Can be void if changed conditions make the property unusable.
What is an Easement?
A non-possessory interest to use someone else’s land.
Can be appurtenant (benefits any owner’s enjoyment) or in gross (benefits a specific owner’s enjoyment).
How is an Easement Created?
Can be created by grant, implication, necessity, or prescription.
Requires a writing signed by the grantor for a grant.
How can an Easement be Terminated?
Can be terminated by estoppel, necessity, destruction, condemnation, written release, abandonment, merger, or prescription.
Mere nonuse is not sufficient for abandonment.
What is a Land License?
A non-exclusive privilege to enter another’s land for a specific reason.
Can be revoked at any time by the licensor.
What is a Profit?
A non-possessory property interest giving the holder the right to remove resources from another’s land.
Typically involves the right to harvest or extract.
What is a Land License?
A non-exclusive privilege to enter another’s land for a specific reason or in a particular way. It doesn’t need to be in writing and can be revoked at any time by the licensor, but can be estopped if the licensee invested money or labor in reasonable reliance.
Does not give permission to remove anything; NOT an INTEREST in LAND.
What is a Profit?
A non-possessory property interest giving the holder the right to take natural resources from the land of another, such as petroleum, minerals, timber, and wild game.
What is a Fixture?
Personal property affixed to the land or dwelling so that it becomes part of the land. Fixtures pass with the real property if there was intent to make the item a fixture.
DAMN: 1) Damage caused by removal, 2) Adaptation of item to property, 3) Manner in which it is attached, 4) Nature of item.
What is Adverse Possession?
Allows the possessor of land to acquire title to that land by showing OCEAN: 1) OPEN and notorious, 2) CONTINUOUS, 3) EXCLUSIVE, 4) ACTUAL physical presence, 5) NONPERMISSIVE.
Title is not marketable unless there has been action to quiet the title.
What is the Statute of Limitations in relation to Adverse Possession?
The Statute of Limitations does not begin to run if the true owner was under some disability at the time adverse possession began.
What is Tacking in Adverse Possession?
Adverse possessors may aggregate their years spent possessing the property to meet the statutory period, requiring privity when land is voluntarily transferred to another.
What are the parts of Land Conveyance?
Every conveyance of real estate has two parts: the land contract (which conveys equitable title) and the closing (where the deed passes legal title).
What are the requirements for a valid Land Sale Contract?
To be valid under the Statute of Frauds, a land contract must be in writing, contain essential terms, and be signed by the party from whom enforcement is sought.
Exception: if the buyer partially performs.
What is the Merger Doctrine?
Once the deed is delivered and accepted, the land sale contract merges with the deed, extinguishing the right to sue under the contract.
What is the Warranty of Marketable Title?
The seller has a duty to convey marketable title at the day of closing, which must be free from doubt and threat of litigation.
Unmarketable title includes substantial defects such as defects in the record chain of title or encumbrances.
What is Equitable Conversion?
During escrow, the buyer owns the real property while the seller owns the personal property (right to proceeds of sale). The seller holds legal title in trust for the buyer.
The risk of loss shifts to the buyer under Equitable Conversion.
What happens at Closing?
At closing, the seller provides the buyer with a marketable title free from doubt, and the deed must be lawfully executed and delivered.
Delivery requires intent to pass title and acceptance by the grantee.
What is the Home Builder’s Implied Warranty?
Protects buyers of newly built homes against latent defects and warrants that the home is safe and fit for human habitation at the time of sale.
Latent defects are those that could not have been discovered by reasonable inspection.
What are the requirements for a valid Deed?
A valid deed must be in writing, identify and describe the land, be signed by the grantor, and be delivered with intent to convey land.
What are the covenants in a General Warranty Deed?
A general warranty deed contains six title covenants: 3 present (Covenants of Seisin, Right to Convey, Against Encumbrances) and 3 future (Warranty, Quiet Enjoyment, Further Assurances).
Present covenants apply at closing; future covenants run with the land.
What is a Special Warranty Deed?
A special warranty deed warrants that the seller has not breached covenants of title during ownership.
What is a Quitclaim Deed?
An ‘as is’ deed that contains no warranties, meaning the grantee takes the land subject to any defects in title.
What are the types of Recording Statutes?
1) Notice Statute: protects subsequent BFPs without notice unless recorded. 2) Race-Notice Statute: protects subsequent BFPs if recorded before prior grantee. 3) Race Statute: protects whoever is the first to record, regardless of notice.
What is a BFP?
A BFP is a purchaser who takes real property without notice of prior conveyances and pays valuable consideration.
Gifts or heirs do not count.
What is a Mortgage?
A financing agreement that conveys a security interest in land intended for collateral. To be valid, it must be in writing, signed by the party to be charged, and reasonably identify the parties and the land.
What is a Purchase Money Mortgage?
A loan used by the buyer to purchase real property, where the seller acts as the lender and secures the mortgage on the property, giving the holder priority over junior and senior lenders.
What is a Deed of Trust?
A mortgage involving three parties: the borrower (purchaser), the lender, and a third-party trustee who holds title until the loan is paid off.
What happens during Foreclosure?
Upon default, the mortgagee can satisfy the debt through foreclosure, which extinguishes all junior mortgages but not senior mortgages.
The mortgagee may seek a deficiency judgment if proceeds are insufficient.
What are Zoning Ordinances?
Land-use regulations allowed when they reasonably protect the health, safety, morals, or general welfare of the community. Owners can seek variances for unnecessary hardship.
What are the Rights Incident to Land?
Rights include lateral support, subjacent support, and water rights, which protect landowners from damage caused by adjacent land use.
What does the Fair Housing Act prohibit?
The FHA prohibits discrimination in housing sales or rentals based on race, color, religion, sex, familial status, disability, or national origin.
It does not apply to private clubs, religious organizations, or owner-occupied buildings with no more than four units.
