Types of Ownership Flashcards
Joint tenancy
Requires the 4 unities
Possession
Interest
Title
Time
tenancy in common
The least restrictive
PITT
possession you DO have a right to use all property
Interest you Don’t need to have equal interest in property
Time you Don’t need to acquire purchase at the same time
Title you Don’t need to create title at the same time
- No right is survivorship you can choose who will inherit property
-
Tenancy by the Entirety
a form of co-ownership where legal spouses each hold an equal and undivided interest in the property. It is accepted in Florida
This is mostly for married couples
tenancy by the entirety also requires the unity of person. Requires 4 unity PITT + The fifth person
Estate in Severalty
only one owner, whether that is a person, corporation, or other legal entity.
Why do corporations own property in severalty?
because the considered legal people
Undivided interest
a type of interest that gives each co-owner the right of possession of the whole property, not simply a portion of it
Right of survivorship
the statutory principle of survivorship tenancy, which means that when one co-owner dies, their ownership interest reverts to the surviving co-owner(s)
Three Types of Co-Ownership
Tenancy in common
Joint tenancy
Tenancy by the entirety
The four unities (conditions) that help identify co-ownership form are:
PITT
Unity of possession
Unity of interest
Unity of time
Unity of title
Tenants in common have:
only Possession of the 4 PITT unities
Undivided interest in the property - meaning they can use any part of the property.
The right of inheritance, not survivorship -meaning they can give the property to anyone not the remaining owner.
The ability to own unequal shares of the property - meaning they can just own like maybe 20% of the property for example
Joint Tenancy
This Co-Ownership requires all 4 unities
possession
Interest
time
title
Community Property ( Couple Co-Ownership )
The legal concept is that all property acquired during a marriage is acquired due to the shared effort of both partners. Therefore, it’s equally owned by the two of them.
Limited to the duration of measuring life
Life Estate
An Estate can be defined as
a possessory interest in real property
Freehold estate
Also name 2 types of freehold estates?
means that the individual with the interest has some degree of ownership for an undetermined or unspecified (and therefore unlimited) period of time.
types of freehold estates:
Fee simple estate
Life estate
fee simple estate
Also name 2 types of fee simple estate
grants the most unlimited, most absolute interest in real property.
Two types of fee simple estate:
absolute and defeasible estates.
absolute estate
is an fee simple estate without restrictions that is freely given to heirs (this is the most common type of residential real estate). This is also called a fee title estate. Again, this is the kind of estate most people have in a home.
defeasible estate
also name 2 types of defeasible estate
(or fee simple defeasible) is an estate characterized by perpetual ownership on the condition that the property is used for a certain purpose or under specific conditions.
Two types:
fee simple defeasible determinable estate
fee simple defeasible condition subsequent estate
fee simple determinable estate
causes the title to automatically revert to the original owner if the deed requirements regarding property use are violated.
It’s already been determined that it will revert to the previous owner if deed conditions are violated.
no legal action is required
fee simple condition subsequent estate
the grantor of the estate must prove (in court) that the defeasible fee estate condition has been violated.
condition subsequent = c. s. = court to sue.
Life estate - Reversionary Interest
Person grants property to someone but if that person dies it goes back to the original owner.
This may also be referred to as a right of reverter.
Life estate - remainder interests
when the person granting the life estate doesn’t want the estate back if the person getting it dies.
remainderman
The person inheriting the Remainder Interest in a life estate when grantor does not want it back
Leasehold - estate for years
(or tenancy for years) is a lease agreement with a fixed start and end date.
covenants, conditions, and restrictions (CC&Rs). Also known as deed restrictions or restrictive covenants, are put in place on a condo by whom?
they are rules attached to the property by a developer.
the document that legally creates the condominium?
declaration
prospectus
a document prepared by a developer that summarizes what is in the condominium documents; required for condos with more than 20 units in Florida to be included with new condo sales only
7 forms required for resale of condo to buyer
- The Declaration
- The Articles of Incorporation
- The Bylaws
- FAQ
- The most recent financial report from the condo, which must be done every year
- The rules of the condo association, which describe how the units or the common elements of the property can be used (rules about pets, regulations concerning holiday decorations, etc.)
- The governance form a document created by the DBPR to spell out the rights and responsibilities of condo owners under Florida law
What is included in new condo sale
Condo declaration
The bylaws
Articles of association
FAQ
Estimated operating budget
Prospectus
cooperative (or co-op) is a:
a building owned by a corporation. The residents are shareholders in the corporation. Each shareholder has a proprietary lease for their particular unit, which is a long-term and exclusive lease given to residents and stock owners of a cooperative. Each shareholder also has the right to use common areas.
Instead of owning the unit itself, owners have shares of stock in the corporation or cooperative
what are Supporting Rights
Lateral support is provided by adjacent properties.
Subjacent support comes from the underlying earth.
Reliction
is a gradual increase in land area when water gradually withdraws. Like Lake Mead
Accession
is the right to all that one’s own property produces, including that which is added, either naturally or by human action, to the property already owned. This often comes into play when dealing with crops.
Hint : plants ascend up
Accretion
is the process that results in the gradual increase in land area through deposits of soil by natural forces.
AccRETION (Acc - Add Retention)
Avulsion
is the sudden loss of land by flood or when a stream or river changes course. Because it’s a sudden change, no title is lost. Avulsion is caused by water.
it sounds like convulsion, which is a sudden movement
Chattel
is a commonly used term for personal property in the world of real estate.
personal property is moveable and chattel is personal property, cattle can be chattel.”
emblements
Annually cultivated crops are called fructus industriales, also called emblements
and are generally considered to be personal property,
clue: Emblements Embra to grow in Spanish
fixture
is an object that was once personal property but is now firmly attached to the land in such a way that it is considered to be real property. like a fan
3 ways of Creating a Fixture: Annexation
Close association - garage door
Adoption - drapes made to fit
Agreement - to parties agree to create fixture
trade fixtures
Personal property added to real property for a business purpose and are property of the tenant.
Severance
is the act of converting real property into personal property. You could say, then, that severance is the opposite of affixation
taking down shelves you added
4 methods to determine if an item is a fixture
Method of attachment - Anything that would damage the home to remove
Adaptability - specifically adapted to the home (like window shades)
Relationship or agreement of the parties
Intent
partition or partition suit
If you want to divide certain forms of co-ownership into separate interests
partition suit - when owners can not decide how to dissolve their co ownership and take it to court
Life Estate - reversionary interest
Is when the person giving the life estate (the grantor) wants it back when the person with the measuring life dies. This may also be referred to as a right of reverter.
Life Estate - remainder interest
is when the person granting the life estate doesn’t want the estate back when the person with the measuring life dies. Instead, they want the estate to pass to someone else.
The person inheriting the remainder interest is called the remainderman
Conventional life estate
the measuring life is that of the tenant
Elective share laws
are state laws for a Legal Life Estate that let a spouse make a claim to their deceased spouse’s property, despite what is in the will.
Florida its 30% and must claim by 2 yr of death of spouse
Homestead in Florida. Every homeowner or family of homeowners is allowed one homestead exemption What is required to qualify
A person’s primary residence
No bigger than 0.5 acres in a city
No bigger than 160 acres outside of a city
Located in Florida (you knew that one already I bet)
Name 3 Legal Life Estates:
Homestead
Elective share
Dower and Curtesy not applicable in FL
Difference between:
Leasehold and freehold Estates.
Freehold have an indefinite duration of time while Leasehold have a definite duration of time.
In a co-op. What is the name of the document that allows him (and no one else) to occupy in his particular unit?
Proprietary Lease
Affixation
Adding personal property or (chattel) to real property
