Section 1 - Chapter 2 Flashcards Preview

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Flashcards in Section 1 - Chapter 2 Deck (23):
1

land:

the earth's surface extending downward to the center of earth and upward to infinity; includes permanent natural objects; includes subsurface and airspace

2

real estate:

land plus human-made additions

3

improvement:

any artificial addition to land, such as a building or fence (could be a positive or negative attribute affecting value)

4

real property:

real estate plus bundle of rights; interests, benefits, and rights that are automatically included in the ownership of land and real estate

5

appurtenance

anything associated with a property although not necessarily a direct part of it; parking spaces, easements, water rights, etc

6

subsurface rights

rights to the natural resources lying below the earth's surface; separable from surface rights

7

bundle of legal rights:

rights of possession, control the property, enjoyment (to use in any legal manner), exclusion (keep others from entering or using), disposition (sell, transfer, will, etc)

8

personal property or personalty

all property that can be owned that doesn't fit the definition of real property

9

trees w/o annual cultivation;

considered real estate

10

annually cultivated crops:

considered personal property; called emblements

11

real property can become personal property by

severance

12

personal property converted to real property by

annexation

13

real property conveyed by:

deed

14

fixture

personal property that has been so affixed to land or building that becomes part of the real property

15

tests of being a fixture

method of attachment, adapation to real estate, agreement

16

trade/chattel fixtures

fixtures included in use of business and must be removed when leaving the property

17

attachment is:

personal property that turns into real property

18

accession is:

trade fixtures (personal property) becoming owned by landlord

19

4 characteristics of real estate

scarcity, improvements, permanence of investment, location

20

most important economic characteristic of land:

location

21

land's 3 physical characteristics

immobility, indestructibility, uniqueness

22

seven sources of law

US constitution, laws passed by congress, rules of regulatory agencies, state constitutions, state statues, local ordinances, common law

23

purpose of real estate law

protect public from fraud, dishonesty, and incompetence in real estate transactions