Flashcards in Real Property Deck (8)
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1
Real Property:
Freehold Estates
Fee Simple: complete ownership unlimited period of time
Fee Simple Defeasible: ownership auto. terminates upon happening of event
Life Estate: Title held by grantor or third party, but subject to holder of life estate to the possession, use, and ordinary profit
- taxable as gift or inheritance and can be mortgaged
- life tenant must maintain property and pay taxes
Future Interests: nonpossory interest where right to possession is postponed
- Reversion Interest: when terminated, reverts to owner
- Remainder Interest: life estate to son, title to grandkids
2
Real Property:
NonFreehold Estate
Leasehold Estates:
1. Tenancy for Years: specific time period
2. Tenancy from Period to Period: auto renewal unless terminated
3. Tenancy at Will: continues with permission
4. Tenancy at Sufferance: without consent
3
Real Property:
NonPossessory Interests
Easements:
1. Appurtenant: right to adjacent land
2. In Gross: right to single tract of land
3. Profit: take part of land
4. Grant: conveyance by contract or deed
5. Implication: parties demonstrate, by circumstances, intent to create an easement
6. Necessity: created by law to allow another access to that land
4
Real Property:
NonPossessory Interests 2
Fixtures
- All fixtures are initially personal property. Trade fixtures, such as display case, remain that way
- Becomes a fixture if:
- intent to be a fixture
- so attached that it becomes part of realty
5
Real Property:
NonPossessory Interests 3
Liens
- Judicial Liens: real property
- Mechanic's Lien: statutorily filed lien by creditor who renders services, labor, or material to improve real estate and not paid
- must file, usually within 60-120 days
- creditor can be: materials supply store, subcontractor, general contractor, employee of either
- lien on entire realty and if not paid, foreclosed
- most states mechanic's lien and mortgage are equal
- upon foreclosure, only surplus to owner
6
Real Property:
Acquisition
General: Same as acquisition of personal property for:
1. Gift
2. Will or inheritance
3. Sale or Contract
- writing
- earnest money aka liquidated damages
- give marketable title
- creditor furnished either abstract or title insurance
- implied warranty of habitability
- monies placed in escrow
- assignable
- Closing is final settlement
7
Real Property:
Acquisition
How Transfer Occurs By Deed
Warranty Deed: highest protection
Special Warranty Deed: no problems with title only for time owned by grantor
QuitClaim Deed: only what title grantor has
Requirements to be valid:
1. writing
2. signed by grantor
3. include description of land
Recording:
- not required, but protects from loss of title
1. Race: first to record takes clear of any subsequent
2. Notice: last to take title from grantor
3. Race/notice or notice/race: first BFP to record unless they know
8
