Unit 3: Interests In Real Estate Flashcards
This type of estate lasts for an indeterminable amount of time such as a lifetime
Freehold estate
A freehold estate that continues for an indefinite period and may be passed along to the owners heirs.
Fee simple estate
The highest interest in real estate recognized by law
Fee simple estate or fee simple absolute- holder is entitled to all rights to the property intended to last forever. Passes to heirs
This type of estate has a condition and is a qualified fee estate that is subject to the occurrrence or nonoccurrence of some specified event.
Fee simple defeasible
A fee simple defeasible estate that may be inherited
Fee simple determinable
A freehold estate limited in duration to either the life of the holder of the estate or the life of some other designated person or persons
Life estate
A legal life estate in real estate occupied as the family home
Homestead
A type of interest in real estate that does not rise to the level of ownership or possession yet still gives an individual some degree of use of control of the real property.
Encumbrance
Name types of encumbrances
*Easements and licenses which permit a limited use of property.
*private restrictions found in property deeds
*liens, which give notice of claim against property
*encroachments, result when neighboring improvement extends over a property boundary.
Name three ways a freehold estate can occur
- Fee simple defeasible
- Fee simple determinable
- Life estate
The person the property will pass to when the life estate ends
The remainder interest
An investigation of home ownership
Title search
This is not created by a property owner but established by law
Legal life estate
This protects a woman when husband dies
Dowers law (entitled to 1/3 right of interest)
Curtesy Law
This law protects a man
This protects the property owner against most creditors
Homestead
Conditions or restrictions to ownership
Deed restrictions- agent must inform the buyer in the listing
The right to use the land of another person
Easement
What are three ways to create an easement
- By agreement
- By necessity (2 homes on land, need to walk through front yard and sidewalk to get to your property)
- By prescription -adverse usage without permission
A personal privilege to enter the land of another for a specific purpose
Licenses (attend concerts, movies, public parking)
Overhang onto another persons property
Encroachment
What are the four Governmental powers?
- Police power- control use of land
- Eminent domain - right of Govt to acquire privately owned real estate for public use I.e. build roads where house exists.
- Taxation- raises money to meet the needs of community, roads, schools etc.
- Escheat- take ownership when there is no ownership. No heirs- becomes state owned property.
