Real Property vs Personal Property

Question 1

appurtenance

Answer 1

used to describe rights, privileges,

or improvements that belong to and pass with the land

Question 2

Improvements

Answer 2

are man’s additions to the

land, such as buildings and landscaping

Question 3

Personal property, chattel, personality

Answer 3

is a right or interest in something of a temporary or movable nature and includes
anything not classed as real property

Question 4

Bill of Sale

Answer 4

Ownership is transferred by a

Question 5

A fixture

Answer 5

is an item that was personal property; however, it has been attached in such a way that it
has become real property; The word “installed” often indicates a permanent attachment. A fixture is
never freestanding.

Question 6

annexation.

Answer 6

the process of attaching a fixture

Question 7

severance

Answer 7

the process of real property becoming personal

Question 8

Trade Fixtures

Answer 8

s are fixtures installed by a tenant in order to carry out a business, and they may be
removed from leased property prior to the termination of the lease. If trade fixtures are not removed
prior to the termination of the lease, they become real property and pass to the landlord

Question 9

Emblements

Answer 9

are crops grown annually. Even though they are attached to the ground, they are
considered the personal property of the farmer who cultivated them. They are not automatically part
of the sale of a farm or ranch. Ownership can be transferred with a bill of sale, or the cultivating
farmer may make arrangements to return to the property and harvest them one time after the sale
closes and the crops are ready for harvest.

Question 10

Nonhomogeneity

Answer 10

no two pieces are exactly alike. A more current term is uniqueness.
Each piece of land is unique.

Question 11

Immobility

Answer 11

land cannot be moved - a person must go to the land.

Question 12

Indestructibility

Answer 12

durability - it will always be there.

Question 13

Scarcity

Answer 13

in short supply where demand is great

Question 14

Modification

Answer 14

land use and value are greatly influenced by improvements made by man to
land and to surrounding parcels of land.

Question 15

Fixity

Answer 15

land and buildings and other improvements to land are considered fixed or permanent investments – they are not liquid assets.

Question 16

Situs

Answer 16

• location preference, or location from an economic rather than a geographic standpoint. (This can change over time as peop

Question 17

Police Power

Answer 17

is the power given to a municipality to regulate and control the character and
use of property for the health, safety, and general welfare of the public (Zoning is the most common example of police power. Zoning regulations are local laws to
control land use. For example, R-1 zoning means residential, single-family only)

Question 18

A change in zoning may result in a _______.

Answer 18

A change in zoning may result in a non-conforming use. This use was permissible under
former rules, but new rules prohibit it. A non-conforming use is allowed to continue as it is
considered grandfathered. The non-conforming use is automatic; no hearing or application
process is required. A non-conforming use cannot be altered or expanded without permission, but it can be sold to a party who wishes to continue the existing use. If the property is
destroyed, the non-conforming use may not be rebuilt without permission. (Note – there is
no violation of zoning here.)

Question 19

If your property violates zoning, you may request a ______

Answer 19

If your property violates zoning, you may request a variance. A variance may also be
requested prior to construction. Adding on to the front of a building would usually require
a variance. The process to obtain a variance is to apply to the zoning committee. A hearing
will be scheduled, and all neighborhood property owners will be invited to the hearing to
voice any objections they might have to the variance. A variance goes with the property
when the property is sold.

Question 20

A conditional use or special use

Answer 20

can be granted by a zoning committee or deed restrictions
(HOA). This use would benefit the neighborhood, like a school within a residential neighborhood. Another conditional use is a PUD – a planned unit development. A PUD zone
allows for a higher population density with houses clustered together, leaving more green
area open for parks and recreation. A non-profit community association is organized to
provide maintenance of the common areas. An extra tax may apply to property owners in a
PUD

Question 21

A buffer zone

Answer 21

is an area of land separating one land use from another, such as residential
from commercial. The buffer zone is located between incompatible uses. The buffer zone is
a transitional use. Example: single family, apartments, retail. The apartments are the buffer
zone.

Question 22

Eminent Domain

Answer 22

n is the right of the government to take private property for public use
through the action of condemnation. This is the only time the government must compensate property owners.

Question 23

Inverse

condemnation

Answer 23

When an individual forces the government to buy his or her property

Question 24

Taxation

Answer 24

Property taxes are the highest priority lien on real property. Property taxes are
ad valorem taxes, or according to value. Unpaid taxes create an automatic lien on property.
At foreclosure, property taxes are always paid first

Question 25

Escheat

Answer 25

Property reverts to the state when someone dies, leaving no will and no heirs or kindred. Escheat can also be used if property is abandoned. The purpose of escheat is to ensure that no land remains unowned

Question 26

. CC&R’s are commonly referred to as

Answer 26

deed restrictions or deed covenants.

Question 27

Deed Restrictions

Answer 27

are imposed to control land use, development, and methods, and materials for construction. Style and appearance requirements can also be enforced (garages facing the rear of the property etc.). They are found in a recorded document called a Declaration of Restrictions. They are imposed by the grantor. Violation can result in civil court action brought by other property owners who are bound by the same deed restrictions. The court will issue an injunction to enforce the restrictions.

Question 28

An encumbrance

Answer 28

e is a limit on a property or a limit on a property’s owner’s rights that may or may not also be a cloud on the title. The following are all examples of encumbrances.

Question 29

A reservation

Answer 29

imposed by the grantor withholds title to a part of the land described in the deed (Example: an easement or mineral rights).

Question 30

When a structure or improvement overlaps or trespasses onto another’s property, it is an ________

Answer 30

When a structure or improvement overlaps or trespasses onto another’s property, it is an Encroachment

Question 31

An easement

Answer 31

allows limited use or enjoyment of another’s land. It is a right in land and should be created in writing and recorded. It is use without possession. Easements can be created by express (written or verbal) or implied (by actions or evidence) grant, agreement, reservation, limitation or prescription, necessity, or condemnation.

Question 32

The government will take an easement by _________ for itself

Answer 32

The government will take an easement by condemnation for itself. f, the utilities, or the railroads. Easements can be terminated by merger (acquiring the adjacent property), release, or abandonment.

Question 33

Dominant and Servient Estates

Answer 33

- If you have two parcels of land with a road across one parcel, the owner who crosses over the other’s land is dominant. The dominant estate would be landlocked without the easement, in most cases. The property with the road is servient to the dominant estate. The dominant estate benefits from the easement, while the servient estate is encumbered. The most common reason for this type of easement is entry and exit from the property. This easement is called an Easement Appurtenant. It goes with the land, and the landowner owns the easement.

Question 34

An Easement in Gross

Answer 34

belongs to a person or corporation. An example is a utility easement. No matter who owns the land, the easement still belongs to the utility company.

Question 35

A license

Answer 35

e is permission to do a particular act upon the land or property of another. A theater ticket or sports event ticket is a license that grants the use of one seat for one performance. A license is similar to an easement but of much more limited duration. It is not a right in land. It is often given verbally and easily revoked.

Question 36

Adverse Possession

Answer 36

(squatter’s rights) occurs when property is acquired from the rightful owner through the Statute Of Limitations. Occupancy must be hostile, visible or open, actual or notorious, continuous, and distinct for the statutory period.

Question 37

Lis pendens

Answer 37

is a recorded notice filed against a specific property, meaning that some form of lawsuit has been filed but not yet resolved in court. A lis pendens may become the responsibility of a new owner if not settled prior to closing. Broker license candidates may see a reference to a lis pendens for the foreclosure of a traditional mortgage