Intro to interest in real estate/Forms of ownership
Lease hold estate
(1) there is possession of the land, but there is no ownership, and (2) the estate has a definite duration.
Four Common Unities
-unity of title -unity of time -unity of interest, and -interest of possession.
In Texas, fee simple estate in land may be held by one owner or by two or more co-owners under one of the following three forms of ownership:
1.Severalty 2.Joint Ownership 3.Tenancy in Common 4.Joint Tenancy 5.Community Property 6.Trust Properties
In what year did the Texas Supreme Court invalidate the state's right to retain all mineral rights to land?
1901
Which Constitutional amendment established the U.S. land ownership concept?
5th amendment
How long does a Chapter 13 debtor have to reinvest the proceeds of his or her home sale in a new homestead or lose their homestead tax exempt status, and therefore return the proceeds to the bankruptcy estate?
6 months
Encumbrances
A claim against, a limitation on, or a liability against real property
Which kind of easement not only allows access to another person's property but also allows the removal of material resources contained in the property?
A profit
Tenancy by the Entirety
A tenancy by the entirety is a particular version of joint tenancy between legally married spouses.
Which of these are forms of tenancy? -Community property -Joint tenancy -Tenants in common
All of these
provided for a similar investment structure in real estate as mutual funds provide for investing in stocks.
Class C do not have pass-through taxation
Community Property
Community property is a special arrangement that exists between married spouses and is only recognized in a handful of states, including Texas.
The largest and most complete bundle of rights of ownership is:
Fee simple absolute
Fee Simple Absolute
It is the largest and most complete bundle of rights one can hold in land: if you own property solely in your name, you own all the rights to that property.
Right of Survivorship
Joint tenancy also establishes the right of survivorship for joint tenants should one of the joint tenants die.
Joint Tenancy
Joint tenancy is a legal arrangement where two or more individuals have undivided ownership of a property.
Riparian Rights
Owning land that borders on a river or stream carries with it the right to use and enjoy the water in common with other landowners whose lands border the same watercourse.
Joint Ownership
Properties can be owned by more than one party. This is known as either joint ownership or a concurrent estate.
Trusts
Real estate property can be held by a third party in an arrangement
The purpose for creating the homestead exemption is:
So that creditors cannot seize a family's home
Tenancy in Common
Tenancy in common is significantly different from joint tenancy or tenancy by the entirety.
Partnership
The business operates under the owners' names or a DBA, the owners are responsible for all acts of the business, and profits and debts pass through the business directly to the owners.
Public beach policy for the state of Texas includes a declaration that:
The public shall have the free and unrestricted right of ingress and egress to and from the state-owned beaches bordering on the seaward shore of the Gulf of Mexico.
Joint tenancy is ended when which of the following unities is ended?
Unity of time
Limited Liability Company
When a group of persons (or a single person) wish to engage in a business but do not want to be held liable for the debts of the business, they can create a fictional individual. This fictional, or legal, person is the corporation or company
One Person (Severalty)
When a single person owns a property alone it can be known as ownership in severalty.
The party holding another property's "stick" has
a claim to a right or that interest in that property
A testamentary trust is created through what?
a will
Affirmative Easement
allow the holder of the easement the right to use another person's property.
Easement in Gross
allows rights to access a servient estate without the easement being attached to, or benefiting, a particular piece of land.
The Right of Enjoyment
also grants the right to collect the commercial profits that are generated by the property, such as rent or admission fees. This right can be constrained without being removed. In other words, a party may be able to use the property but only in specific contexts.
Living Trust
also known as an inter vivos trust, is created during a person's lifetime to manage a person's assets and/or property while living and then seamlessly after the person dies
Federal Tax Lien Priority
are assessed for things like non-payment of federal income tax
Judgment Liens
are established as a result of a lawsuit judgment. The court-ordered lien is placed to guarantee the payment of the damages to an injured party.
per the 10th amendment of the constitution the powers not specifically delegated to the federal government
are reserved to the states or the people
Littoral Rights
concerned with the use and enjoyment of the shore.
Mortgages are a common type of __________ lien.
consensual
Liens can be separated into three general categories
consensual liens, statutory liens, and judgment liens.
An __________ is an easement that is established without the permission of a landowner or the existence of a situation that requires an easement.
easement by prescription
The Right of Exclusion
has the recognized authority to determine who can and cannot cross into a piece of real estate. The right to exclude parties from accessing a property is part of what makes private property private.
Which of these IS NOT a form of common interest ownership? Co-op Timeshare Condo Hotel room
hotel room
Covenants
is a contractual agreement and is usually written into the document that grants the title.
Fee Simple Defeasible
is a conveyance of property with conditions placed on it.
Liens
is a legal claim made on another person's property for the purpose of securing or repaying a debt
Consensual Liens
is a lien that is voluntarily agreed to, most often as a result of a loan or other credit extension
License
is a privilege given to someone to use a piece of real estate.
Profits
is a specific kind of easement that not only allows access to another person's property but also allows the removal of material resources contained in the property.
Right-of-Way Grant
is a temporary easement that allows a utility access to a public property in order to install or maintain a piece of equipment like a water pipeline.
easement appurtenant
is an easement that attaches to a specific piece of land and benefits the easement owner.
Reversionary Interest
is an interest in property in which a party's right to occupy land is subjected to a certain condition(s) and if unfulfilled or violated, all interests in the property revert to the original owner.
Easement by Necessity
is created solely by the necessity of the situation. The easement goes away, however, if and when the situation requiring the easement goes away.
Testamentary Trust
is created through instructions in a deceased's will and goes into effect upon an individual's death
Lien Priority
is established by local law
Statutory Liens
is one that has some basis in federal or state laws. This kind of lien does not require the consent of the party having the lien imposed upon them.
Express Easement
is one that is explicitly laid down in a contract, deed, or will.
Easement by Prescription
is one where an easement is established without the permission of a landowner or without necessity.
The Right of Control
is the official recognition that the holder of this right is allowed to determine how the property is used.
Easements
is the right of one party to use the property of another party
The Right of Disposition
is the right to rent, transfer, sell, or (in some cases) abandon a property. they can give up some, or all, of their control over a property
Groundwater
is the water held underground, below the earth's surface, in the soil or in pores and crevices in rock and below the saturation point.
Conservation Land Trusts
land trust is created by a private, nonprofit organization that generally has the stated goal of land conservation.
Fee Simple
means complete ownership, including the right to transfer it at will or upon death.
The Right of Possession
means that a party is officially allowed to occupy and exercise direct control over a piece of real property.
Right of ownership
means that a party is recognized as being allowed to hold the bundle of rights and organize the distribution of rights that the bundle contains.
Sole Proprietorship
means that an individual is engaged in business as themselves. The business must be done under the individual's name, that individual has full responsibility for acts committed by the business, and all profit from the business is attributed directly to the individual (and taxed accordingly)
Encroachments
occurs when a property owner builds something, intentionally or unintentionally, that sits, at least partially, on a neighboring property owner's land
Easement by Implication
occurs when there is a subdivision of a property and one of the smaller sections requires an easement
Negative Easement
on the other hand, allow the holder of the easement to prevent affected property owners from doing something with the property
Escheat
or revert, to the state.
Real Estate Investment Trusts (REITs)
provided for a similar investment structure in real estate as mutual funds provide for investing in stocks.
Remainder Interest
refers to someone with a future interest in an asset. It may be a future interest in the estate created by a trust, a contingent interest when a life tenant surrenders a claim to the estate, or a vested interest that becomes effective at a specified future date
Which type of common property ownership is for the exclusive use of a property for a specified number of days each year?
resort timesharing
Which of these IS NOT a source of "water rights" issues? -Surface water -Swimming pools -Navigable waters -Subsurface water
swimming pools
Line of Vegetation
the extreme seaward boundary of natural vegetation which spreads continuously inland.
police power is the ability of the state to?
to regulate the citizens behavior and enforce order within their jurisdiction, for the betterment of the health, safety, morals, and general welfare of their inhabitants
Who Is Subject to a Covenant
usually applies to the current owners, and thus expires when the property is transferred to a new owner.
Bundle of Rights
we are looking at the property rights held by individuals when they own or rent real estate.
Private Land Trust
where a trustee is appointed to maintain ownership of a piece of real property for the benefit of another party: the beneficiary of the trust.
Rule of Capture
which means that a landowner has the right to pump as much groundwater (the general rule of capture covers groundwater, oil, gas, and game animals) as they choose without holding them liable for damage to others through their usage
"First in Time, First in Right"
which simply means that older loans must be paid off before younger loans.