Real Estate Principles - Chapter 3

Name the 3 Reassessment Events

1. Sale of property. 2. Improvements to the property. 3. Maximum increase in dollar amount of 2% per year

How many square ft in an acre?

43,560 square feet

How many years of non-payment of taxes before action is taken?

5 years, then a property tax sale (like a foreclosure)

How many feet in 1 mile?

5280 linear ft

Township Method: Meridian Line

Central N/S running line- Lines that parallel the meridian are called "Range Lines"

Zoning class - C

Commercial

Crops vs. Shrubs

Crops are personal property of the person who planted them. Shrubs need no cultivation and are considered real property.

Trade fixtures

Exemption to general rule of fixtures included in the sale - These are items one would use in their trade or profession - For example, a restauranteur leases space brings in stoves.

Zoning I

Industrial

Real Estate

Land plus improvements (Structures, buildings landscaping, utilities) and whatever is erected upon or affixed thereto.

Condemnation

Process of the govt taking private land for public use

Zoning classification R3

Residential, 5 or more units

Zoning mixed use

Retail on floor 1, residential units above

Escheat

Right of govt to property when one dies intestate (no will) and there are non known heirs. After 5 years, property is sold at a public auction.

Riparian rights

Right of landowner to use flowing water (such as a river) that is adjacent to the land.

Appurtenances

That which runs with the land and adds to the land's benefit (e.g. a well)

Setback

The distance a structure must be placed away from a street.

Erosion

The eating away of a coastline or land by the action of water, ice and/or wind. Or wearing away of a surface by corrosion or traffic - can accumulate elsewhere - may add to someone's existing land.

Accession

The potential right of ownership of land which is produced and then added or united to the owner's land.

Accretion

The process of gradual growth over a period of time from naturally occurring events, resulting in additional layers of matter.

Littoral rights

The right of a land owner whose land borders a body of water (such as a lake, ocean or sea) to reasonable use and enjoyment of the shore and water that borders the property.

If there is a dispute regarding fixtures what will the court defer to first?

The sales contract. CA Assoc of Realtors form to list what is included. After that, consider, intent, relationship to object, method of attachment - cause damage?

Side Yard

A yard that extends along a side lot line from the front yard to the rear yard.

Rear Yard

A yard that extends along the full length of a rear lot line.

Zoning - A

Agricultural

Township Method: Base Line

Base line runs east and west. Lines that run parallel to the base line are called "township lines."

Zoning laws

Form of police power. Controls land use and development according to a general plan set by the governing authority - city council or county board of supervisors)

Front foot

From the street line back into the lot - perpendicular

Taxation

Govt interest in land - raise $ - In Ca, Prop 13, 1979 - 1% of "assessed value" determined by what the buyer paid - plus 1/4% for the county. Plus voter-approved bonds.

Government rights in land - Police Power

Govt right to regulate for health, safety and welfare of people (zoning laws, building codes, liquor licenses, etc)

In general, what determines "real" vs "personal" property?

Immovability

Land

Included but not limited to the soil, earth and ground that is the result of nature or man-made, as well as an indefinite extent upward into the air and downward in a direct line from surface to center of the earth.

Special Use Permit

Individual can ask for a special permit to use property outside of zoning regs. E.g. In-home day care

Bundle of rights

Interests that an individual has in a particular piece of property. Right to dispose, encumber, possess, use, exclude others (quiet). (DEPUREO) Each right can be transferred separately.

Fixture

Item of personal property that becomes real property after being attached to real property.

When are property taxes paid?

No Darn Fooling Around 1st prop tax due on Nov 1, Delinquent of Dec 10 2nd installment is due Feb 1, Delinquent on Apr 10

Landowner

Owns what is directly above your land. In reality, fed govt owns much of the air.

Exceptions to Zoning - Non-conforming use

The historical use differs from new zoning rules - ask for an exception otherwise undue hardship. Property cannot be enlarged - If structure destroyed - new structure must conform with current zoning laws.

Frontage

The linear distance along which a building faces a lot or roadway. The more the better in commercial r.e.

Legal Definition of Land: Lock and Block or Tract System

Used in cities or densely populated suburb - planning offices have maps with each parcel of land. Grid like. - Contiguous - lots that touch at any point - even corners

Legal Description of land: Metes and Bounds

Uses measurements and boundaries or distance and direction - a complex method of describing land - used for irregular-shaped parcels.

Legal Description of Land: US Govt Survey Method or Township Method

Using a number and a direction. Draw a grid, cut-up into 36 sections. Farthest NE section is #1. Each section is 640 acres (1 square mile)

Eminent Domain

Right of the govt to "take" private property for public use but they must pay "just compensation"

Real Property

That which is immovable - land and things affixed to the land - Real estate plus the bundle of rights

Variance

The authorization to improve or develop a particular property in a manner not authorized by zoning. An exemption from the current zoning regulation.

Right to possession

Whoever is in possession of the property

Right to encumber

Right to borrow money against the property.

Zoning Classification R1

Single family residential (1-4 units)

Informal description of land?

Street address

The right of lateral and subjacent support

Right of land owner to have the natural physical support of the adjoining piece of land (water rights.)

Right of Quiet (Exclude Others)

Right to be free from disturbance.

Right to dispose

Right to sell the property

Right to use

Right to use the property

Water rights

Rights of land owners/occupiers to use adjacent bodies of water in a reasonable fashion

Extraction rights

Water, oil and gas beneath the surface may belong to someone else - holder of a right of extraction