Property Ownership Rights

A Chattel Real -

A personal property interest in someone else's property.

Legal Life Estate = Dower/Curtsey -

A wife's right to use and possess the land is called the dower. The husband's right is called the curtsey. They can't be forced to leave, but they cannot sell either.

Abandon/abandonment of Property -

An owner has the right to abandon property.

Freehold Estate =

Lifetime Possession - The use and possession under a Freehold Estate is of unlimited duration. For a person's lifetime.

Interest -

Means a person has a Right involving the land.

Lender Interest in Property -

Mortgage lenders have an interest in property; a lien on the property. - no possession rights.

Ownership/Title to Property -

Most of the houses that are sold provide ownership which includes a title AND an estate. The owner has the right of ownership as well as to use and possession of the property.

Non-Freehold Estate =

Not for Lifetime Possession- AKA Less-than-Freehold Estate, Leasehold Estate, or Chattels Real. LIMITED DURATION. A Leasehold Estate would be the length of time the tenant has the right to live in their leased property.

Right to Sell -

Owners can sell their property and grant title to another. Though rare, government can prevent the sale of property.

Property Taxation -

Property tax for all real estate and for business's personal property is issued by the county, BUT often times shares the taxes with cities, school districts, and the State.

Fee Conditional Estate -

Restrictions are placed but it is still inheritable by heirs.

Police Power -

The government has the right to pursue police power over property.

A Fee Simple Absolute Estate -

There are NO restrictions on the use and possession for life.

Demise Rental Estate -

These rental estates are also known as a personal property right.

Maggie owns a lease for 10 years on a horse field. She can utilize the field for her horses, she can sub-lease the field to others, she can sell the lease, etc.

This lease agreement is a chattels real or personal property.

Seizin -

This right of " occupancy and use" of the property. So a person with a Freehold Estate is able to occupy and use the property as they wish for the rest of their life.

Devise -

To pass title to heirs.

At Sufferance Rental Estate -

Use and possession without Permission. This is when a person continues to stay with the property after a lease has expired. Improper Holdover or Trespass

Conventional Life Estate -

Usually created by a will or trust by the original owner.

Fee Estate -

an estate that is inheritable and can be passed on

Example of Lender Interest in Property -

A mortgage holder (bank) has an interest in property, but it does not have an estate. The bank cannot use or possess the property as long as the owner makes their mortgage payments.

Remainderman -

A person is given use and possession until their death and then a 3rd party becomes owner of rights.

Reversionary Interest -

A person is given use and possession until their death and then the land reverts back to the owner or his/her estate.

leasehold estate

A person who is a tenant can have the right of possession, no ownership, but do not have title to the property..

Example of a covenant (or promise) implemented by deed.

A purchaser of land from the original owner has a covenant preventing him/her from cutting down the trees in the front part of the property.

Escheats -

A reversionary interest. If an owner dies without heirs, the property goes (escheats) to the state.

Life Estate -

Allows use and possession for life but it is NOT INHERITABLE.

Present Interest -

Cannot use or possess the land, but has a monetary interest in the property.. Most common is lien, mortgage or an encumbrance on property.

Written Agreement -

Contracts must be in writing EXCEPT leases that are less than one year or Month-to-Month Lease

Future Interest -

Example: Grandpa Mike placed a restriction on his property to his heirs. He requires the trees in the back 40 acres never be cut down. It they are cut down, the property goes to the YMCA. The YMCA has a possible future interest in the property.

Example of Fee Conditional Estate -

Grandpa Mike placed a restriction on his property to his heirs. He requires the trees in the back 40 acres never be cut down. Though the property can be passed on from generation to generation, no one can cut down those trees. If they do cut down the trees they could lose ownership.

For Years Rental Estate -

Has a definite ending date. Example: "You may use my house as a residence until I come back on May 14, 2015 OR the lease runs out on 12/3/2016."

Example of Chattels Real or personal property that is good for only 1 year.

If Tom signs a one year lease for an apartment, he has a 1 year Non-Freehold Estate.

Less Than Fee Simple Absolute Estate -

If an owner sells the mineral rights to an oil company. The mineral rights cannot pass the mineral rights to heirs.

Demise Possession -

Is to pass on estate or possession (lease) rights to heirs. Example: Helen has a 5 year lease on retail space for her business. If she dies, she can demise (pass on) the lease/leasehold estate to her daughter.

At Will Rental Estate -

Permission to use and possess for an indefinite length of time. - No security regarding notice of termination. Example: Month-to-month lease. or You allow your cousin to live in your summer cabin as a house sitter.

Estate =

Possession

What is in the owner's Bundle of Rights?

Right to Dispose Right to Occupy Right to Sell Right to Develope Finance the Property Use the Land Abandon/abandonment of Property Pass on Property to Heirs

Periodic Rental Estate (AKA Periodic Tenancy) -

Standard rental agreement most people are familiar with. Example: A lease agreement is from 1/12/2015 to 1/12/2016.

An Estate-

The degree, quality, nature, and extent of use and possession of real property, includes the right of possession and use of the property for a period of time.

Eminent Domain -

The government has the right to take title to owned property in the public interest. Under the 5th Amendment, the government must give just compensation for the property.

Reverter/Reversionary Interest -

The landlord has a reversionary interest in that the lease agreement has a Reverter Clause. When the tenant moves out the landlord gains possession once more.

Government Restrictions -

The most common control is the use of zoning restrictions. If a person wants to build a 50 story office tower, the area would have to be zoned as such.

Occupy -

The right to occupy and use land is subject to local government regulations. Local governments have what is called zoning. The owner can occupy their land as long as the land is used as zoned.

Dispose -

The right to- give the property away, sell off portions of property, to exclude others (no trespassing).

Use of Land -

The right to- grant easements, covenants, and abandon the property.

Finance Property -

The right to- mortgage, finance, deed of trust, or devise property. The owner has the right to utilize the land for monetary purposes.

Pass on Property to Heirs -

The right to- pass property onto heirs, charities, acquaintances, etc. at death.

Develop -

The right to: build, develop, and expand the owned real property.