Chapter 2

Limited Liability Company (LLC)

A business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation.

IMPROVMENT

A designed change that increases the usefulness of a product, service, or process. To make better!

Condominium

A form of ownership of real property recognized in all states that consists of individual ownership of some aspects and co-ownership in other aspects of the property.

What is the primary distinction between a tenancy in common and a joint tenancy...?

A joint tenancy includes the right of survivorship

LIMITED PARTNERSHIP

A partnership with one or more general partners and one or more limited partners.

Deed

A written document by which ownership of land is transferred from one party to another.

The rights in real property to the reasonable use of the air space above the surface of the land are known as...?

Air rights

Personal Property

All property that is not considered to be real property. That which is movable (not attached to land).

Corporation

An entity established and treated by law as an individual or unit with rights and liabilities, or both, distinct and apart from those of the persons composing it. A corporation is a creature of law having certain powers and duties of a natural person. Being created by law it may continue for any length of time the law prescribes.term-76

A trust involves a trustor, trustee, and a...?

Beneficiary

A written instrument given to pass title of personal property from a vendor to a vendee is referred to as a...?

Bill of sale

Personal property is also known as...?

Chattels

A written document by which ownership of land is transferred from one party to another is known as a...?

Deed

MANUFACTURED HOUSING

Dwellings that are built off site and trucked to a building lot where they are installed or assembled.

The crops and other annual plantings considered to be personal property of the cultivator are known as...?

Emblements

Personal property that has become real property by having been permanently attached or adapted to real property is known as a...?

Fixture

Chattels

Goods or every species of property movable or immovable which are not real property.

Real Estate

Land and everything permanently attached to land.

Annexation

Legally adding land area to a city in the United States

The landowner's ability to take minerals from the earth or to sell or lease this right to others is known as...?

Mineral rights

A structure transportable in one or more sections, designed and equipped to contain not more than two dwelling units to be used with or without a foundation system is referred to as a...?

Mobile home

Beneficiary

One entitled to the benefit of a trust.

Trustor

One who borrows money from a trust deed lender, then deeds the real property securing the loan to a trustee to be held as security until trustor has performed the obligation to the lender under terms of a deed of trust.

Trustee

One who holds property in trust for another to secure the performance of an obligation. Third party under a deed of trust.

Severalty Ownership

Owned by one person only. Sole ownership.

Tenancy by the Entirety

Ownership by married persons where each owns the entire estate with the survivor taking the whole estate upon the death of the other.

Common Elements

Parts of a property that are necessary or convenient to the existence, maintenance, and safety of a condominium or are normally in common use by all of the condominium residents. Each condominium owner has an undivided ownership interest in the common elements.

All property that is not considered to be real property is known as...?

Personal property

Fixtures

Personal property that has become real property by having been permanently attached or adapted to real property.

Community Property

Property acquired by husband and/or wife during a marriage when not acquired as the separate property of either spouse. Each spouse had equal rights of management, alienation, and testamentary disposition of community property.

Ownership in a cooperative consists of which of the following...?

Proprietary lease

Land and everything permanently attached to land is known as...?

Real estate

Real Property

Real estate plus the bundle of rights.

The right of a surviving tenant or tenants to succeed to the entire interest of the deceased tenant is referred to as the...?

Right of survivorship

SUB SURFACE RIGHTS

Rights to use the space below ground level and to extract the natural resources lying below the earth's surface.

Real property that is owned by only one person is referred to as...?

Severalty ownership

A condominium is considered real property...?

T (True)

An estate or interest in land held by two or more persons, each having equal rights of possession and enjoyment, but without any right of succession by survivorship between the owners is considered...?

Tenancy in common

Emblements

The crops and other annual plantings considered to be personal property of the cultivator.

Title

The evidence of right which a person has to the ownership and possession of land, commonly considered as a history of rights.

Mineral Rights

The landowner's ability to take minerals from the earth or to sell or lease this right to others.

WATER RIGHTS

The legal rights to use the water in a river, stream, or other body

Land

The material of the earth, whatever may be the ingredients of which it is composed, whether soil, rock, or other substance, and includes free or unoccupied space for an indefinite distance upwards as well as downwards.

SEVERALITY

The owner is the sole owner of the property and is said to have an estate in _____. Single or married person can hold property in severality....the spouse must sign away all rights.

The evidence of right which a person has to the ownership and possession of land, commonly considered as a history of rights is known as...?

Title

Co Ownership

Title ownership held by two or more persons.

Items that are installed by a commercial tenant and are removable upon termination of the tenancy are considered...?

Trade fixtures

The individual who contributes real property to a trust is considered the...?

Trustor

Joint Tenancy

Two or more natural persons own that comes with a special benefit called the right of survivorship.Undivided ownership of a property interest by two or more persons each of whom has a right to an equal share in the interest and a right of survivorship, i.e., the right to share equally with other surviving joint tenants in the interest of a deceased joint tenant.

Separate Property

Under community property law, property owned solely by either spouse before the marriage, acquired by gift or inheritance after the marriage, or purchased with separate funds after the marriage.

Trade Fixtures

items that are installed by a commercial tenant and are removable upon termination of the tenancy.

General Partnership

partnership in which partners share equally in both responsibility and liability

SEVERANCE

the action of ending a connection or relationship

SURFACE RIGHTS

the rights to use the surface of the earth

Partnership

An association of two or more people who operate a business as co-owners and share in the business profits and losses.

Bill of Sale

A written instrument given to pass title of personal property from vendor to vendee.

Cooperative

A form of ownership in which stock holders in a corporation occupy property owned by the corporation under a lease.

Trusts

A legal device whereby one person transfers ownership of property to someone else to hold or manage for the benefit of a third party.

Time-Share

A license or contractual or membership right of occupancy in a project which is not coupled with an estate in the real property.

Mobile Home

A structure transportable in one or more sections, designed and equipped to contain not more than two dwelling units to be used with or without a foundation system.

Tenancy in Common

An estate or interest in land held by two or more persons, each having equal rights of possession and enjoyment, but without any right of succession by survivorship between the owners.

The rights of an owner of a freehold estate to possession, enjoyment, control, and disposition of real property is known as...?

Bundle of rights

Married couples in Texas typically own property as...?

Community property

A form of ownership in which stockholders in a corporation occupy property owned by the corporation under a lease is known as a...?

Cooperative

An entity established and treated by law as an individual or unit with rights and liabilities, or both, distinct and apart from those of the persons composing it is known as a...?

Corporation

Which of the following business entities can own real property...?

Corporations Limited Liability Companies Partnerships All of the above

Right of Survivorship

The right of a surviving tenant or tenants to succeed to the entire interest of the deceased tenant; the distinguishing feature of a joint tenancy.

Air Rights

The rights in real property to the reasonable use of the air space above the surface of the land.

Bundle of Rights

The rights of an owner of a freehold estate to possession, enjoyment, control, and disposition of real property.