Vocabulary: Chapter 4- Forms Of Real Estate

Question 0

Community property

Answer 0

A system of property ownership based on the theory that each spouse has an equal interest in the property acquired by the efforts of either spouse during marriage

Question 1

Common elements

Answer 1

Parts of the property that are necessary or convenient to the existence, maintenance, and safety of the condominium or are normally in common use by all the condominium residents. Each condominium owner has an undivided ownership interest in the common elements

Question 2

Condominium

Answer 2

The absolute ownership of the unit and a multiunit building based on a legal description of the airspace the the unit actually occupies, plus an undivided interest in the ownership of the common elements, which are owned jointly with the other condominium unit owners

Question 3

Cooperative

Answer 3

A residential multiunit whose title is held by a trust or corporation that is owned by and operated for the benefit of people living within the building who are the beneficial owners of the trust or shareholders of the corporation each possessing a proprietary lease

Question 4

Corporation

Answer 4

An entity or organization, created by operation of law, whose rights of doing business are essentially the same as those of an individual. The entity has continuous existence until it is dissolved according to legal procedures

Question 5

Joint tenancy

Answer 5

Ownership of real estate between two or more parties who have been named in one conveyance as joint tenants. Upon death of a joint tenant, the decedents interests passes to the surviving joint tenant or tenant by rights of survivorship

Question 6

LLC

Answer 6

A form of business that combines the most attractive features of limited partnerships and corporations

Question 8

Partition

Answer 8

The division of co-tenants interest in real property when the parties do not all voluntarily agree to terminate the co-ownership; takes place through court procedures

Question 9

PITT

Answer 9

Joint tenancy where tenants enjoy the four unities: possession, interest, time, and title

Question 10

Right of survivorship

Answer 10

Upon death of a joint tenant, interest transfers to surviving joint tenants

Question 11

Separate property

Answer 11

Under community property law, property owned solely by either spouse before the marriage, acquired by gift or inheritance after marriage, or purchased with separate funds after the marriage

Question 12

Severalty

Answer 12

Ownership of real property by one person only. Sole ownership

Question 13

Tenancy by the entirety

Answer 13

The joint ownership, recognized in some states, of property acquired by husband and wife during marriage. Upon death of one spouse, the survivor becomes the owner of the property

Question 14

Tenancy in common

Answer 14

A form of co-ownership by which each owner holds an undivided interest in real property as if each were sole owner. Each individual owner has the right to partition. Unlike joint tenants, tenants in common have rights of inheritance

Question 15

Time share

Answer 15

A form of ownership interest that may include an estate interest in property and that allows use of the property for a fixed or variable time period

Question 16

Town house

Answer 16

A type of residential dwelling with two floors that is connected to one or more dwellings by a common wall or walls. Title to the unit and lot best in the owner who shares a fractional interest with other owners for the common areas

Question 17

Trust

Answer 17

A fiduciary agreement whereby property is conveyed to a person or institution, called a trustee, to be held and administered on behalf of another person, called a beneficiary. The one who conveys the interest is called the trustor

Question 20

Co-ownership

Answer 20

Title ownership held by two or more persons