chattel
aka personal property aka personalty; any personal effects that are not real; movable; use a bill of sale to transfer ownership Y3
fixture
an item that used to be personal property but has been permanently attached to real property
related: trade fixtures, agricultural fixtures Y3
IRMA
Total Circumstances Test - is it real or personal?
Intent of person attaching item (is it supposed to be temp?); Relationship of attaching person (owner or tenant?); Method of attachment (removal causes damage?); Adaptability (has property or item been al
trade fixtures
items attached to real property by a tenant under a commercial lease; personal property of the tenant ex. refrigeration, sink, shelves
if not removed by end of lease, it becomes real property of the owner Y4
agricultural fixture
items attached to real property by a tenant under a farm lease; becomes real property when attached and remain when tenant leaves Y4
UCC
Uniform Commercial Code
if personal property is purchased on credit, it remains personal property until paid off (ex. new furnace or kitchen); creditor can still come and remove it if buyer defaults Y4
fee simple
aka fee simple absolute; absolute ownership with no time limit; highest form of estate; only form of real estate that agents are authorized to sell. Y5
freehold estate
ownership that lasts at least a lifetime
related: fee states, nonfee estates Y4
nonfreehold estate
possessor does not own the property; possession does not last a lifetime (ex. lease) Y4
estate
an interest in real property that includes a present or future right of possession
related: freehold estates, nonfreehold estates Y4
subjacent support
right to have surface property supported from beneath Y9
lateral support
right to have adjacent property support the natural boundaries of the land Y9
subsurface rights
aka mineral rights; right to use the space below ground level and to extract natural resources Y9
air rights
right to air above the land itself Y9
avulsion
sudden loss of land due to force of nature like hurricane or flood Y9
erosion
gradual reduction in land due to water action Y9
reliction
gradual increase in land by permanent recession of body of water Y9
accretion
increase in land due to gradual accumulation of soil Y9
foreshore
strip of land between high and low tide lines; owned by state of NC Y9
water ownership
no tide non-navigable bodies of water - land owner owns to center of body of water
no tide navigable bodies of water - land owner owns to water's edge
oceans and lakes with tides - landowners owner to water's edge
foreshore - state of NC owns Y9
appurtenance
a right or privilege that goes with the ownership of the land B18
riparian rights
the right of landowners on a shore of a river, stream or lake to use the water (swim, boat, fish, etc) Y9
littoral rights
the right of landowners on a shore of an ocean or a large lake with tides to use the water (swim, boat, fish, etc) Y9
real property
land, improvements to the land, improvements on the land, and rights inherent to the land Y3/B619
categories of real property
Residential - housing
Commercial - businesses
Industrial - factories
Agricultural - farming
Special Purpose - government, churches, cemeteries, etc B9
land
Earth's surface, below the surface to the center of the Earth, above the surface to infinity; immobile, indestructable, and unique (uniqueness=heterogeneity) B2
encumberance
any right or interest in land which normally diminishes the value of the estate Y10
lien
right to collect a debt out of someone else's real property Y10
general lien
a lien against someone's current and future real and personal property Y10
judgment lien
a general lien owed as a result of a judgment imposed by a court of law; becomes valid when judgment is docketed; valid for 10 years; should be attached in the county where the property is located Y10
specific lien
a lien against a specific piece of real estate Y10
mortgage or deed of trust
a specific lien on a piece of real estate used as collateral for a loan Y10
IRS lien
a general lien owed to the federal government Y10
NC Dept of Revenue lien
a general lien owned to the state of NC Y10
personal property tax lien
a general lien owned on personal property Y10
mechanic's lien
a specific lien for failing to pay a contractor or subk for services performed on a property; must be filed within 120 days of the last day that labor/materials were furnished; valid from first day labor/materials were furnished Y10
special assessment lien
a specific lien for failing to pay for a special assessment (improvement) on the land Y10
real property tax lien
aka ad valorem tax lien; a specific lien for taxes to the county and/or city in which property is located Y11
ad valorem
amount of tax varies in accordance with the value of the property being taxed B49
Machinery Act
governs standards for real estate property taxation, tax assessment, tax appraisal and requirements for tax-exempt status B49
easement
a right or privilege one entity has in the land of another related: appurtenant easement, easement in gross Y11
appurtenant easement
an easement that runs with the land itself; continues indefinitely, transfers with title Y11
dominant estate
land that receives the benefit of the easement Y11
servient estate
land that has the easement attached to it Y11
easement in gross
an easement granted to a person or entity for a lifetime; is void when entity ceases to exist Y11
prescriptive easement
easement acquired through adverse use. Related: adverse possession Y11
restrictive covenants
aka protective covenants, deed restrictions; a private restriction which limits use of real property; are private land use controls and must be enforced in a civil court Y12
defeasible fee estate
may be lost on the occurrence or nonoccurence of a specified event; aka qualified fee estate; related: fee simple determinable, fee simple subject to a condition subsequent B26
fee simple determinable
requires that a specified activity or land use continue; if owner no longer uses the land for that purpose, ownership reverts automatically back to original owner (ex. Land can only be used for church purposes) Y5
fee simple subject to a condition subsequent
states what action or activity that an owner cannot perform; if owner performs that action, former owner can retake possession through court proceedings (ex. Do not sell alcohol on property) Y5
pur autre vie
estate for the life of another; one person is given the right to use the property as long as another person is alive; can use estovers of the land, must pay ad valorem taxes and interest on pre-existing loans; entitle to all income and property arising du
life estate
a freehold estate in which a tenant has the right to a certain property for his/her lifetime; at death the property reverts to original owner or passes to a remainder man Y5
estovers
leftovers" of the land. Life estate tenants live off the land but cannot do anything to waste the life estate (ex. Use wood, but not sell timber rights); Y5
nonfreehold estate
temporarily transfer possession, not ownership. Have a definite end period at some point; aka leasehold estate Y6
estate for years
has a definite term with a beginning and end date; terminates automatically without notice ex. Hotel room, beach house rental Y6
estate at will
tenacy at both the pleasure of the landlord and tenant; normally on a friendly basis and either party can terminate at any time without notice Y6
estate at sufferance
tenant entered into the estate lawfully, but now retains possession unlawfully; possession is on a hostile basis and eviction is required to terminate ex. refusing to leave a rented house Y6
severalty
sole ownership; ownership by only one person or entity Y6
concurrent ownership
ownership by more than one person or entity Y6
tenancy by the entireties
exists only between husband and wife; survivorship always exists automatically Y7
tenancy in common
two or more people who are not married; survivorship can not exist; each owner may encumber has part of the property; each owner has the right to force a division of the property by asking for a partition on the property Y7
joint tenancy
owners have equal undivided interest that they acquired at the same time; can be joint tenants with the right of survivorship; normally exists for same-sex couples or couples planning to be married; Y7
voluntary alienation
voluntarily transferring title by deed through a sale or gift; deed is tangible evidence of title to real estate Y12
grantor
the seller that gives the deed Y12
grantee
the buyer that receives the deed Y13
devise
when one gives a title to real property in a will Y12
bequeath
when one gives a title to personal property Y12
testate
a person dies with a last will and testament Y12
intestate
a person dies without a last will and testament Y12
intestate succession law
tells how property will be distributed if you die intestate Y12
involuntary alientation
giving up title to real estate involuntarily Y13
lien foreclosure sale
occurs when one defaults on a loan or fails to pay property taxes Y13
adverse possession
occurs when a person occupies another's property for the statutory period (7 years if possessor has color of title; 20 years otherwise) related: OCEAN Y13
OCEAN
Open (well known); Continuous (uninterrupted); Exclusive (not shared with another); Adverse (intent to take land); Notorious (hostile, no permission by owner) B77
escheat
occurs when state takes title to real estate because there are no heirs Y13
eminent domain
the state's power or right to take private property Y13
condemnation
the state uses eminent domain and actually takes title of private property and pays fair compensation Y13
lis pendens
a recorded notice informing all interested parties that a legal action has begun which may affect the title of a real property Y12
encroachment
an improvement that extends across the boundary lines of a property without authorization and encroaches on an adjacent property; the only encumberance not discovered by a title search Y12
deed
a written instrument that transfers an interest in real property from the grantor to the grantee
required elements of a deed
1. must be in writing 2. grantor must be true owner of the real estate 3. both grantor and grantee must be named in the deed 4. property must be adequately described 5. language in deed must be adequate to show conveyance 6. the grantor must sign the deed
general warranty deed
grantor promises to defend the title forever against anyone making a claim; includes from original title Y16
special warranty deed
grantor promises to defend the title against anymore making a claim covering the time the seller actually owned the property Y16
quit claim deed
releases the person who signs it from any interest that he/she may have the property; used to remove a cloud on title Y16
trustee's deed
given by trustee at a deed of trust foreclosure sale Y16
sheriff's deed
given at execution sale for a judgment against the property owner Y16
tax deed
given at a tax foreclosure sale Y16
deed of gift
used to give a gift of real property; must be recorded within 2 years to be valid Y16
timber deed
used to transfer timber rights Y16
mineral deed
used to transfer subsurface rights Y16
devisee
a person who receives real property by will B78
beneficiary
a person receiving personal property by will B78
marketable title
title must be: 1. free from any significant liens and encumberances; 2. disclose no serious defects; 3. be free of doubtful questions regarding validity; 4. protect a purchaser from any threat of quiet enjoyment; 5. convince a reasonably well-informed per
title search
examination of all public records that might affect a title B78
chain of title
shows the record of ownership of the property over a period of time B78
abstract of title
condensed history of the title B79
marketable title act
provides that if a chain of title can be traced back for 30 years and no other claim has been recorded during that time B79
title insurance
a contract by which a title insurance company agrees to indemnify (compensate) the insured against any losses sustained as a result of defects in a title B79
ALTA
American Land Title Association policy - extended title license insurance policy to cover risks that may be discovered only through inspection of the property B78
Connor Act
state law that provides that many real estate documents are not valid as to third parties unless they are recorded; pure race state - first one to record the deed prevails B82
subdivision
all divisions of a tract or parcel of land into two or more lots, building sites or other divisions for the purpose of sale or building development B92
plat map
a map of the subdivision indicating the location and boundaries of individual properties B617
subdivision process
initial planning stage - analyze property for highest and best use; final planning stage - final plans are approved, budgets prepared; start-up stage - carries the subdividing process to a conclusion B95
flood hazard areas
areas bordering on rivers and streams which are subject to federal regulations concerning improvements and construction in those areas; required to have flood insurance if federally related mortgage is used B96
laches
the loss of a right through undue delay or failure to assert it B98
metes and bounds
a type of property description in which a surveyor begins at a readily identifiable point of beginning and describes the boundaries of a property through a series of calls (direction and distance between landmarks or monuments); must return to POB Y16
townships
aka government survey; a type of property description in which each township contains 36 equal sections of land which are 1 mile long and 1 mile wide; not used in NC Y17
references to a recorded plat
a type of property description uses a subdivision lot number and page number of a map book in the courthouse to describe real estate Y17
reference to a prior recorded deed
a type of property description that makes reference to a deed that has already been recorded for the property (prior deed should have metes & bounds desc) Y17
informal reference
a type of property description that only uses a street address or house number to describe the property; acceptable use for a lease but not to convey ownership; should be combined with a reference to recorded plat Y17
excise tax definition
aka revenue stamps/deed stamps; a deed transfer tax paid by the seller; is required to be noted on a deed by state law B610
caveot emptor
let the buyer beware" - sellers do not have to disclose any facts about the property being sold. NC is a caveot emptor state B605