UNIT 1 Flashcards
DEFINITION OF LAND (pg 4)
THINK:
- NORTH / SOUTH (SPACE/ EARTH)
- INCLUDING TREES /BOULDERS
- MINERALS & SUBSTANCES (BELOW EARTH) = SUB-SURFACE
- UP INTO SPACE
Earths surface extending down word to the center of the earth and upward into space including permanent natural objects such as trees and water.
REAL ESTATE (PG 4/5)
THINK:
DEFINITION OF LAND + (PLUS)
NATURALLY & ARTIFICIALLY PERMANENTLY ATTACHED / HOUSE / BOULDERS
REAL PROPERTY ( PG 5). TEST
THINK: INCLUDES Land + R. E. + the rights that are automatically included in the ownership of the land and real estate.
THINK: STICK BUNDLE
✅Right of POSSESSION
✅ Right to CONTROL the property within the framework of the law
✅Right of ENJOYMENT to use the property in any legal manner
✅Right of EXCLUSION to keep others from entering or using the property
✅Right of DISPOSITION (to sell, will, transfer, or otherwise dispose of or encumber the property)
✅can also be a TITLE see page 6
The general term PROPERTY refers to anything that can be owned
IMPROVEMENT (PG 5)
Any artificial thing attached to land, such as a building or fence, or improvements such as streets, utilities, and sewers.
A house built on a piece of land, (real estate), is an IMPROVEMENT
TITLE (PG 6)
THINK:
✅ownership of land, including the owners bundle of legal rights (real property)
✅ evidence of that ownership by DEED
⏭ TITLE refers to ownership of real property NOT a printed document,
A DOCUMENT by which the owner transfer title to the real property is the DEED
SURFACE RIGHTS SUBSURFACE RIGHTS (PG 6)
SEE 1.3 FIGURE PG 6
ALSO SEE “IN PRACTICE” PG7i
SURFACE RIGHTS: The rights to use above the earth
SUBSURFACE RIGHTS: The rights to the NATURAL RESOURCES laying below the earths surface.
SEE FIGURE 1.3 (PG 6)
⏭A land owner MAY TRANSFER the surface rights WITHOUT transferring the subsurface rights
AIR RIGHTS (PG7)
THINK: refers to space above the earth
✅can be sold or leased
⏭example for needs:
▶️large office buildings & possibly interferences
with air and space crafts
▶️A large building needs to be constructed which
may interfere with air crafts
▶️solar panels
for example small buildings with solar panels
then a larger building gets put up blocking the
smaller buildings sunlight
WATER RIGHTS (PAGE 7)
Special COMMON LAW RIGHTS held by owners of land ADJACENT TO
▶️rivers, lakes, or oceans and are restrictions on the
rights of land ownership
▶️particularly IMPORTANT rights in dryer western
states where water is scarce and valuable
commodity
Types of FACTORY BUILT HOUSING (PG 8)
- BUILT UNDER (MINIMUM) HUD SPECS
What do the HUD specs say
-NATIONAL MANUFACTURE NATIONAL HOUSING CONSTRUCTION & SAFETY ACT OF 1976
BUILT Offsite and trucked to a building lot where they are installed or assembled INCLUDES: ✅modular ✅panelized ✅precut ✅mobile homes
BUILT UNDER (MNIMUM) HUD SPECS:
✅Non-removable chassis
✅at least 8 feet wide and 40 feet long
at least 320 ft. of living space
✅capable of being lived in with or without a
permanent foundation
✅contains a red label indicating that the home has
been built in (minimum) compliance with HUD
construction and safety standards
The term mobile homes was phased out with the passage of the NATIONAL MANUFACTURE NATIONAL HOUSING CONSTRUCTION & SAFETY ACT OF 1976 when manufacture homes became FEDERALLY REGULATED.
MOST STATES have agencies that administer and enforce federal regulations for manufactured homes.
PERSONAL PROPERTY (PG8)
Sometimes called “personality”
AKA: CHATTELS
PERSONAL PROPERTY IS MOVEABLE ⏭If you take a house with all its contents in it and turn it upside down, anything that falls out is considered PERSONAL PROPERTY ✅chairs ✅tables ✅clothing ✅money ✅bonds ✅bank accounts
MANUFACTURED HOUSING REAL OR
PERSONAL PROPERTY??? (PG9)
-THE DISTINCTION BETWEEN REAL & PERSONAL
PROPERTY WHEN DEALING WITH
MANUFACTURED HOMES:
-WHEN DOES IT BECOME REAL ESTATE?FACTORY BUILT HOUSES: generally is considered to be personal property even though it may be limited to only a one time move. (From the manufacture to a lot)
In PA NEW manufactured homes are defined as MOTOR VEHICLES are sold by LICENSED MOTOR VEHICLE SALES PERSONS
After initial purchase a manufacture home MAY BE considered real estate:
▶️IF it is transferred in CONJUNCTION WITH & AS a part of an assignment of a land lease
▶️OR the transfer of an interest in land on which the manufacture home is situated.
▶️OR the manufacture home is permanently attached to a foundation
▶️AND registration of the manufacture home is canceled by the owner with the Pennsylvania bureau of Motor Vehicles
Once this is done the home is in considered REAL ESTATE and may be sold by a real estate licensee
PLANTS (PG 9)
-WHAT’S CONSIDERED PERSONAL
PROPERTY & WHAT’S CONSIDERED REAL
ESTATE??
-VOCAB WORD: EMBLEMENTSTypically two classes of trees and crops. Fructus naturales: DO NOT require annual cultivation CONSIDERED REAL ESTATE (NON FRUIT BEARING) ✅include trees ✅perennial bushes ✅and grasses
Fructus Industriales: EMBELEMTS
REQUIRES ANNUAL CULTIVATION usually considered PERSONAL PROPERTY
✅fruit
✅vegetables
✅and grain or known as EMBELEMENTS (generally considered personal property)
In this case, a farmer will not have to dig up his growing crop/vegetable and haul them away until it is ready to harvest, UNLESS the sales contract says so. The farmer may come back and harvest the vegetable/corn when it is ready.
This makes it so that the farmer (or previous owner/tenant) is entitled to harvest the crops that result from HIS labor.
PERENNIAL CROPS such as orchards and vineyards ARE NOT considered personal property and so convey with the land
SEVERENCE (PG9)
To sever.
An item of REAL PROPERTY CAN become PERSONAL PROPERTY by severance
An apple tree is REAL ESTATE until the owner cuts it down,…..severed.
Similarly an apple can become PERSONAL PROPERTY once it is picked from a tree it was severed
ANNEXATION (PG9)
To CHANGE PERSONAL PROPERTY into REAL PROPERTY through a process known as annexation.
If a landowner buys cement, stones & sand (all personal property) it and then mixes them into a concrete & constructs a sidewalk, the landowner has converted personal property (the cement, stones, and sand) into real property (the sidewalk)
✅REAL PROPERTY: conveyed by a deed
✅PERSONAL PROPERTY:conveyed by a bill of sale
or receipt
This is necessary to know whether it is considered personal property or real property when the property is transferred from one owner to another.
FIXTURES & TRADE FIXTURES: (PG9/10)
-DESCRIBE DIFFERENCES
-ACCESSION (VOCAB) WHAT DOES IT
MEAN??
FIXTURES: (PERMANENTLY AFFIXED) PERSONAL PROPERTY that has been affixed to the land or building that by law it becomes a part of the real property. Any item that has been added as a permanent part of the building is considered a fixture ✅Heating plants ✅Elevator equipment in high-rise buildings ✅Radiators ✅Kitchen cabinets ✅Light fixtures ✅Plumbing
TRADE FIXTURES: (REMOVABLE) (AKA CHATTEL FIXTURE)
Typically deals tenant and attached to a rented space or building or used in conducting business.
Owned and installed by a tenant for the tenants use, EXAMPLES:
✅Oven
✅Bowling alleys
✅Store shelves
✅Bar room
✅Restaurant equipment
✅Agricultural fixtures such as
✅Chicken coops &
✅Tool sheds are also included
Trade fixtures must be REMOVED ON/BEFORE the last day the property is rented
TENANT responsible for any damage caused by removal if they ARE NOT REMOVED they become REAL PROPERTY of the LANDLORD
Acquiring property this way is known as ACCESSION
