Chapter 1: Personal Property vs. Real Property

Real property is...

-The land(surface), down to the center of the earth(subsurface), above to infinity(air rights) -All improvements to the land (house, fence, barn) -Your "bundle of rights", which includes your right to sell, rent, enjoy, control, etc.

A Bill of Sale would be used to convey which of the following?

A Refrigerator

Which is the best definition or a trade fixture versus a non-trade fixture?

A trade fixture can be moved, where non-trade fixtures cannot

What are the physical characteristics of land?

All land is immobile All land is indestructible All land is unique (non-homogeneous)

What do you call rights, privileges, and improvements that pass with the property?

An appurtenance

The owner if a house wants to fence the yard for a family pet. When the fence is erected, the fencing materials become real estate through...

Annexation

All are chattels except a

Antique Candelier

All are chattels except

Antique chandelier

Which of the following groups of items would normally transfer to a new owner in a sale?

Custom made mini-blinds, built-in dishwasher, and oven/range

A Farmre sold his farm. Several months later the farmer was able to go back and harvest the crops that he had planted. The crops are called:

Emblements

Real Property

Fixed property, principally land and buildings; the interests, benefits, and rights inherent in the real estate ownership.

Emblements

Growing crops that are produced annually through labor and industry. Emblements are considered to be the personal property of the one who did the planting. Emblements are crops which require planting and/or care. Example: When a farm is sold, the corn belongs to the seller who planted the corn, not the buyer.

Which is not a test to determine whether something is a fixture or personal property?

Homogeneity of the article

Which is true about personal property?

It is not attached to the real property or the land.

Personal Property

Items that do not fit into the definition of real property; moveable objects -Not attached to the land -It is movable -It does not pass with the land when bought/sold Examples: Free standing shed, portable gas grill Other words: Chattel, Personalty

Which of the following is considered personal property?

Lease on an apartment for 6 months

If the owner of a rental house that is being sold tell the listing broker that the microwave stays, even though the microwave belongs to the tenant, does the buyer get the microwave at closing?

No, because the microwave is the property of a lease.

By definition, a fixture is an article that was...

Once personal property

All of the following would transfer to the new owner in the sale of a home except?

Refrigerator

Trade Fixtures

Removable personal property that the tenant attaches to a leased property for business purposes. Take fixtures are considered to be the personal property of the tenant in a commercial lease. Trade fixtures are any attached/installed equipment the tenant uses to conduct his/her trade/business. Example: The stove or dishwasher in a restaurant.

Which is not an appurtenance that belongs to and passes with the land?

Reversion

Real property can become personal property known as...

Severance

Which of the following is an example of personal property?

The rented water softener in the basement at the time of sale of the house

Which would not be considered real property?

Trade Fixtures

What would be physical characteristics of land?

Uniqueness

An artist had a stained glass window in a hallway. Upon selling the property the artist wanted to take down the window. Can he do this?

Yes, al long as he made it clear before he signed the contract and got agreement.

A commercial tenant's lease was about to expire. The tenant wanted to move some shelving that he had installed. Could he do this?

Yes, if he removes the shelves before the lease expires.