RE Principles Chapter 2-3
Terms
undefined, object
copy deck
- An ownership concept describing all the legal rights that attach the ownership of Real Property.
- BUNDLE OF RIGHTS
-
A legal interest in land;
Defines the nature, degree, and the extent of the ownership in land. - ESTATE
- An estate in real property which continues for an indefinite period of time.
- FREEHOLD ESTATE
- I am a renter with a lease, what type of estate do I have?
-
LESS THAN FREEHOLD ESTATE
Example: Renters and Tenants -
The most complete form of ownership in real property;
Can be passed by descent or by will after death of the owner.
( THREE TERMS) - ESTATE IN FEE OR FEE SIMPLE ABSOLUTE OR ESTATE OF INHERITANCE
-
A Fee Simple Estate that may be lost when an act is performed is a :
IE:
Bill sold his land on the condition a church was to be built, the new owner applied to put a bookstore. - FEE SIMPLE SUBSEQUENT
- I need to get an approval on my loan before my offer can be complete, this is called a ________ __________.
-
CONDITION PRECEDENT
A owner may need to get financing. - The rights a person has to own, use have enjoyment, borrow against, and transfer property.
- BUNDLE OF RIGHTS
- Where do we get most of our Real Estate law practice from?
- ENGLAND
- An estate limited to the duration of the holders' life.
- LIFE ESTATE
- Annie sold her Life Estate holding to Sue, how long does Sue hold the rights to the property?
- Until the death of Annie
- When a life estate holder dies, who does the property go to?
-
To the original granter.
IE:
Annie grants a life estate to sue, sue dies and the property goes back to Annie. - When a Life Estate goes to a Third Party after death verses the original granter, the third person estate is called a what? What is the holder called?
-
ESATE IN REMAINDER
THE NEW PARTY IS THE REMAINDERMAN - What are the obligations and rights of a Life Estate Holder?
-
Pay Taxes
Maintain Property
Can use for rental property
Can Sell the "Life Estate" - A Leasehold Estate is what type of property?
- PERSONAL PROPERTY OR CHATTEL REAL
- Can Real Property be Moved?
- No
- Describe Personal Property. How is it sold?
- Anything that can be owned and is movable. It can be sold with a Bill of Sale.
- Describe REAL PROPERTY
-
Air Space
Mineral Rights
Water Rights
Anything permanently attached to the land or property. Can be fixtures, appliances, built-ins, etc. - If Farmer Ted sells his farm, what happens to his crop?
- The tress and plants are considered REAL property, but products of the crop are PERSONAL property and can be taken or sold.
- If I own a dress shop and close or sell my shop, what happens to my fixtures? What are these fixtures called?
- They are considered TRADE FIXTURES and can be removed, as long as any repairs are made from removal
- There are --- sections in a Township.
- 36
- One township section is ----miles or ----acres
-
1 Square Mile
640 Acres - What direction do Meridians run?
- North---South
- What direction do Base Lines run?
- East---West
- John and Jackie own a house together as co-owners, if Jackie dies, what happens to the title of the home?
- It becomes the sole ownership of John.
- Property owned by a married couple is most likely what type of ownership?
- Community Property with the right of survivorship.
- ___ is the evidence that the owner of the land is in lawful possission.
- TITLE
- When a property is owned by two or more people, it can be held as what four (4) types of ownership?
-
1) Joint Tenants: Equal Ownership
2) Tenancy in Common: Divided Interest ( not always equal)
3) Community Property: Married Only
4) Tenancy in Partnership: Business Partners: CANNOT be INHERITED - Bill and Bob are Partners in a business with a Tenancy in Partnership. Bill dies, can his son inherit his part of the business? Why?
- No, because you cannot force a legal partnership upon the other partner. They both would have to agree to the partnership, or buy out the other.
- Four children inherit the estate of their parents in un-equal shares, they have what type of estate?
- TENANCY IN COMMON
- What are the FOUR UNITS of Joint Tenancy?
-
T-Time:become tenants at the same time
T-Title: All on the same deed
I: Interest: All have same share
P: Possession: Equal Right of Possession - All property acquired by a married couple except _______ is _____________.
-
1) Separate Property
2) Community Property - A property that is burdned with legal obligations on the titled is ________.
- ENCUMBERED
- What are some types of encumberances you might see on a title?
-
1) Loans
2) Mechanics Leins for debt
3) judgements against a party - A _________ is the right to use anothers land for a specific purpose that is legal.
- EASEMENT
-
A property is split in half. The above property needs an easement through the below property for access to the road. The above property is the _____ (1)
The below property is the _____ (2) -
(1) DOMINANT ( using the easement)
(2) SERVIENT ( Giving the easement) - ________ are given by a developer on the property to ensure proper use and maintenance of the property. Commonly known as ______.
-
1) RESTRICTIONS
2) CC AND R'S -
Permanent improvements that align on adjacent property owned by another are called __________.
Common examples -
1) ENCROACHMENTS
2) FENCES, SHED, SHRUBS, WALK PATHS - What is the benefit of Title Insurance?
- To protect collection on the property of the former owner from loss, theft, forgery, unrecorded lien or judgments.
- Vesting refers to:
- HOW A PROPERTY IS OWNED
- Corporation "x" would take title to the property how? Why?
-
SOLE AND SEPERATE..SEVERALTY
Because the corporation is "one" sole entity. -
What type of a contract is one that is "void" if performance is not completed within the specified amount of time:
EX: Listing to sell within 45 Days - EXECUTORY ( think execute)
- What happens if a minor enters into a contract and changes his/her mind?
- The minor has the ability to cancel the contract.
- What are the five things that make a contract legal?
-
1) OFFER
2) ACCEPTANCE OF THE OFFER
3) CONDSIDERATION
4) CAPISITY
5) LEGALITY - Define Consideration.
-
When a promise or offer has something to exchange of legal value for BOTH parties.
Money----PROPERTY - Aunt Sally inherits 100K and offers to give her niece 10K. She doesn't give her the money. Did they have a contract? Why?
-
NO
A contract must have consideration/ - When a promise to do something is followed by a promise to do something, you have what type of contract?
- BI-LATERAL (Two)
- A radio station offers 1000 to the 9th caller, what type of contract do they have with the callers?
- UNILATERAL
- When two parties have a contract where all the terms are outlined clearly, what type of contract exists?
- EXPRESS CONTRACT
- Does a contract have to be written? What is the exceptions?
-
No.
Real Estate,work over 750.00, or a contract that will exist over one year. - Contracts such as Cell Phones, Club Memberships. Real Estate. Construction are Formal or Informal?
- INFORMAL
-
I have a contract that has all the 5 points of a contract?
Is this
Valid-Void-Voidable-Unforceable - VALID
-
My contract for murder is:
Valid--Void--Voidable--Unforceable -
VOID
An illegal action can hold no contract. - Aunt Sally has a mental condition, she enters a contract, but needs to get out of it. She can because why?
- It is a voidable contract because of her lacking capacity. This applies to minors, duress, fraud also.
- If Greenacre is deeded to Lou by Mary for the life of Nancy, Nancy has what interest?
- NONE
- A fee simple estate that is conditioned on the owner remaining in occupancy is a __________.
- FEE SIMPLE DEFEASIBLE
- A fee simple estate that will take effect when a condition is met is a ______ ______.
- CONDITION PRECEDENT
- How many feet are in a mile?
- 5280
- A fee simple estate and a life estate are both _________ estates.
- FREEHOLD
- A fee simple estate that may be lost if a certain act is performed is a ________________________.
- FEE SIMPLE ON CONDITION SUBSEQUENT
- Three Joint Tenants share interest in a property. If one joint tenants share is sold the new owner will hold what type of tenancy?
- TENANCY IN COMMON