Real Property Flashcards
Joint tenancy
each party owns half with right of survivorship
If you convey your interest it will sever the joint tenancy into a ___
tenancy in common
Tenancy in common
each party owns half with NO right of survivorship
Tenancy by the entirety
married couple have right of survivorship. One spouse cant convey their interest without the other spouses consent
Key elements of a real estate K:
a. Must be in Writing – Statute of Frauds
b. Must Include Parties, Price, terms, etc, K principles
c. Execution transfers EQUITABLE TITLE via EQUITABLE CONVERSION- Risk of loss on buyer
d. Marketable Title implied in K
Key elements of a Deed:
- Must be DELIVERY of Deed-by SELLER shows Intent to convey
- ACCEPTANCE is PRESUMED by BUYER unless FACTS say Otherwise
- Must include legal description of property
- Identifiable Grantees
- Merger of Real estate k
- Execution conveys LEGAL TITLE (Ownership)
General warranty deed
Conveys clean title, promising all is ok forever
Special warranty deed
Conveys clean title promises all is ok while current owner lived there
Quitclaim deed
Conveys only what title seller has, no promises
Mortgage
loan that uses the land as collateral
Purchase money
money that is borrowed to buy a house. it always has priority
Two types of mortgages
assumable and subject to
Assumable
New owner becomes personally liable on the note (takes over original house mortgage). Bank can come after new payer first and then original owner secondarily unless you execute a novation
Subject to
Original owner remains liable on the note, buyer takes no financial responsibility for original mortgage
Lien theory
Bank has a lien on property, resident has LEGAL title
Title theory
Bank has LEGAL title, resident has an equitable interest. hen resident pays off mortgage they receive title
Equitable redemption
Period of time from Notice of Foreclosure until sale that resident can pay off debt and keep property.
Statutory redemption
Period of time from Sale until whatever Statute provides that resident can still keep property.
For adverse possession, you need the following factors to get title:
1) Exclusive
2) Continuous
3) Open
4) Notorious
5) Hostile
Three types of recording statutes
race, pure notice, race notice
Race
First person to courthouse who records deed, wins!
Pure notice
LAST BFP with NO NOTICE, wins!
Bona Fide Purchaser
Someone paid value and had NO Notice
Once a deed is recorded, you are put on ___
notice
Race notice
First BFP who records, wins!
Easements
One owner lets another do something on their land
Easements are created by ___
necessity, implication, prescription
Necessity
its necessary to cross land of another to access public road (landlocked)
Implication
implied from prior use that you get to keep using the property
Prescription
using property of another for statutory period of time without their permission and have acquired the right to keep using it (similar to adverse possession but here you only have the right to keep using the easement)
Easements can be terminated by
Abandonment – non use/express an intent not to return
Merger – acquire the land upon which you have the right to exercise
Covenants are
a promise between 2 owners to do or NOT to do something
Covenants need to be __
in writing
A restrictive covenant is a
promise not to do something
Look for intent and these factors:
Touch and Concern the Land
Notice
Writing
Privity
An equitable servitude is
A restriction on use of land that looks like Restrictive Covenant, but is found in Subdivision (Common plan or scheme). As long as ALL lots have same restriction, it is enforceable.
License
permission to enter the land of another, but REVOCABLE at will
Profit
The right to TAKE something off the land of another
Fee simple absolute
own 100% for all time
Life estate
owns 100% for your life, Future interest= Remainder (Contingent – vested)
Fee simple determinable
“so long as”.. Future Interest= Possibility of Reverter, interest automatically reverts back
Fee simple subject to condition consequent
“But If = Right of Re-Entry
Rule against Perpetuity
If it is either Determinable or Subject to Condition Subseq. and there is a subsequent grantee, then RAP applies and that conveyance is VOID! Only the conveyance that violates the rule is void, the others are still OK.
Types of tenancies
years, month to month, at will, sufferance
Landlord duties
Habitability, Make Repairs
Tenant duties
To pay Rent, No Waste
Who remains liable with a sublease?
Original tenant remains primarily liable
Who remains liable with an assignment?
New tenant becomes primarily liable
Fixtures are
Chattel that by removing them would lead to damage of the property
