Ownership Interest and Encumbrances

Question 1

Police Power

Answer 1

A states authority to preserve power, protect public health and safety and promote general wealth to citizens

Question 2

Eminent Domain

Answer 2

The right of the government to acquire privately owned real estate for public use

Question 3

Riparian Rights

Answer 3

The rights of the owner of the property along the banks of a river

Question 4

Cooperative Ownership

Answer 4

Corporation holds title to the land and building

Question 5

Townhouse ownership

Answer 5

Any type of house connected by walls

Question 6

Encroachments

Answer 6

Occurs when all or part of a structure illegally extends beyond the land of its owner or beyond the legal building lines.

Question 7

License

Answer 7

Personal Personal privilege, can be canceled by the licensor

Question 8

Littoral rights

Answer 8

Rights of owners whose land borders commercially navigable by seas, lakes and oceans.

Question 9

Accretion

Answer 9

Increases in the land resulting from the deposit of soil by the water action

Question 10

Erosion

Answer 10

The gradual and imperceptible wearing away of land by natural forces such as rain, wind and flowing water

Question 11

Avulsion

Answer 11

Sudden removal of soil by act of nature

Question 12

Severity

Answer 12

Title is held by one individual

Question 13

Co-Ownership

Answer 13

Title is held by two or more individuals

Question 14

Trust

Answer 14

A third individual holds title for the benefit of another

Question 15

Brokerage

Answer 15

The business of bringing people together in a real Estate Transaction

Question 16

Appraisal

Answer 16

the process of estimating a properties market value based on established methods

Question 17

Property management

Answer 17

A person or company hired to maintain and manage property on behalf of the owner

Question 18

Financing

Answer 18

is the business of providing funds that make real estate transactions possible

Question 19

Auctioning

Answer 19

Buying or Selling Real Estate at auction uses an open and competitive bidding process

Question 20

Residential Property

Answer 20

Single or Multifamily housing in an urban, suburban or rural area

Question 21

Commercial Property

Answer 21

Office Space, Shopping Centers, Stores, Theaters or Hotels

Question 22

Industrial Property

Answer 22

Warehouses, Factories, Land in Industrial Districts

Question 23

Special Purpose Properties

Answer 23

Churches, Schools, Cemeteries, and government held lands

Question 24

Land

Answer 24

The earths surface extending downward to the center of the earth and upward toward infinity

• Immobility
• Indestructibility
• Uniqueness

Question 25

Real Estate

Answer 25

Land, at, above and below the earths surface. Plus all things permanently attached to it.

Question 26

Real Property

Answer 26

The Interests, benefits and rights that are included in the ownership of the land and real estate

Question 27

Bundle of Legal Rights

Answer 27

- Possession - Control - Enjoyment - Exclusion - Disposition

Question 28

Personal Property

Answer 28

Property that is MOVABLE, such as chairs, tables, clothes and money

Question 29

Conversion

Answer 29

General name for converting personal property into real property or real property into personal property

Question 30

Severance

Answer 30

the operation of converting real property into personal property (cutting down a tree, and making them into boards)

Question 31

Annexation

Answer 31

the operation where personal property is converted into real property

Question 32

Fixture

Answer 32

Personal property that has been so affixed to land that by law it becomes real property

Question 33

Trade Fixture

Answer 33

Personal Property of a business owner, that when attached to a rented space or building remains personal property

Question 34

Economic Characteristics of Real Estate

Answer 34

- Scarcity - Improvements - Permanence of Investments - Location

Question 35

Imobility

Answer 35

The geographic location of any given parcel of land that can never be changed

Question 36

Indestructibility

Answer 36

Because land is indestructible, land does not depreciate

Question 37

Uniqueness

Answer 37

No two parcels of land are exactly the same

Question 38

Laws effecting Real Estate

Answer 38

1. United States Constitution 2. Laws passed by congress 3. States Constitution 4. States Statues 5. Local Ordinances 6. Common Law

Question 39

Real Estate Licensing Act of 2000

Answer 39

Governs the practice of real estate in Illinois and to protect public from fraud, dishonesty and incompetence in real estate transactions

Question 40

Government Control

Answer 40

Most government controls are on a local level

Question 41

Zoning

Answer 41

A regulatory tool that helps communities regulate and control how land is used and limits the type of business in a given area

Question 42

Subdivider

Answer 42

A person who buys undeveloped acreage and divides it into smaller lots for sale

Question 43

Plat

Answer 43

A detailed map that illustrates the geographic boundaries of individual lots

Question 44

Three methods to Real Estate

Answer 44

Metes and bounds Rectangular Lot and block

Question 45

Metes and bounds

Answer 45

Used in illinois when describing irregular tracts

Question 46

Rectangular

Answer 46

- Based on two intersecting lines, principles meridians and baselines - principles meridians run north and south - baselines run east and west

Question 47

Ranges

Answer 47

Land on either side of the principle meridian

Question 48

Remainder Real Estate

Answer 48

A third party who has future ownership interstate the property upon death