Real Estate Course Level 4

Deed Restriction recap:

A provision in a deed that limits the use of a property. This is an encumbrance.

Quiz Level 4 Constructive Notice, because it is available to find, but has not been actively shown to someone.

Lets say Janette recorded a deed showing she purchased the property with the county. The deed is there in the public record, available to anybody who cares to look. What kind of notice is that now? Actual or Constructive notice?

Typical deed restrictions

Such covenants or restrictions usually relate to: 1) Type of building. 2) Acceptable uses for the land. 3) Type of construction, height, setbacks, and square footage. 4) Cost. 5) Aesthetic limitations. 6) Prohibit additions.

Constructive notice

The legal presumption that individuals will obtain information through due diligence.

Leases

A form of an encumbrance. A lease is an encumbrance because the party residing in the property does not own the title to the property. In other words, the owner's (or, the lessor's) use of the property is significantly limited. If a home is being leased, then the owner can't just go hang out in the home even though they own it.

Quiz Level 4 b) title

A restrictive covenant puts restrictions on a property's: a) structures b) title c) land) d) insurance

Encroachment

A(n) ____ is created when a person's property (such as a fence, tree, or driveway) crosses the property boundary into an adjacent property. It's a physical intrusion on someone else's property without direct permission.

Quiz Level 4 Constructive Notice, the world can observe that Janette has possession of the property.

Janette owns a house. She lives there. Anyone who observed the house could see her car in the driveway. She goes in and out of the house all day, because, you know, she lives there. What kind of notice is that? Constructive or Actual notice?

Quiz Level 4 d) easement in gross

Jenny has the right to cross her neighbor's property in order to access the boat ramp, but the right ends if she sells her property to another person. What kind of easement does Jenny have? a) floating easement b) easement appurtenant c) dominant estate d) easement in gross

Quiz Level 4 b) Non-possessory

Jonathan holds an interest in a property, but he does NOT have the right to occupy it. His interest in the property can be described as: a) Unencumbered b) Non-possessory c) Encumbered d) Possessory

Land-use control

Ownership of real property includes a number of rights called the "bundle of rights." The bundle of rights includes the right of possession, control, enjoyment, exclusion, and disposition. Essentially, the bundle of rights states that your land is yours to do with as you wish. However, it turns out that it doesn't entitle you to do whatever you want with your property. Land is subject to a variety of public and private land-use controls. These controls help regulate how land is used and they protect the rights to ownership. They concern what you can and can't build.

Actual Notice

The actual knowledge that a person has about the existence of a particular fact.

Solving an encroachment Strategy #1: Talk It Out

The property owner could talk to his encroaching neighbor and ask them to move whatever is encroaching on the property. This could be the simplest solution. example: Joe: Hey Dan, do you mind moving your storage shed back a few fee? It's encroaching on my property. Dan: No problem, Joe. I didn't realize I had been encroaching on your property. I will move it back over the property line.

Quiz Level 4 c) deed restrictions and restrictive covenants

What are the two ways private citizens can control how land is used? a) community board rulings and title controls b) HOA bylaws and community standards c) deed restrictions and restrictive covenants d) zoning laws and lawsuits

Quiz Level 4 c) assessment

Which of these is NOT an encumbrance? a) easement b) lien c) assessment d) deed restriction

Quiz Level 4 a) an encroachment

Without permission, Betsy's neighbor built a fence that extends onto Betsy's property. What is the fence? a) an encroachment b) an estate c) an easement d) an exchange

Private Land-Use Controls recap

1) Private citizens, especially developers, can enforce land-use controls through deed restrictions and restrictive covenants. 2) Deed restrictions run with the land, and pass from owner to owner until they expire or are ended. 3) Deed restrictions that violate municipal, state, or federal laws are unenforceable and should not be followed. 4) When deed restrictions differ from from zoning law, whichever is the most restrictive is the rule to follow.

3 types of land-use controls

1) Public land use controls: government-issued land-use controls such as zoning ordinances, subdivision regulations, and building codes. 2) Private land use controls: land-use controls that are put into place by non-governmental entities, such as real estate developers - most commonly, these come in the form of deed restrictions. 3) Public ownership of land: the role of government to own and maintain public land such as streets, highways, and parks.

Easement by Grant

1) The easement may be noted in the deed before the property is transferred. An easement that is granted to someone in a deed or other document. An easement by express grant is created when a property owner sells a portion of their land but retains the right to cross it by formally stating that in the deed.

Encroachment problems

1) The most common type of encroachment is a fence that was not placed on the property line. 2) The second most common encroachment is a driveway that crosses the edge of someone else's property. Roofs of storage buildings hanging over the property line is another common encroachment. As you can see, encroachments aren't usually done meticulously (or even on purpose). Which is why, when trying to resolve one, it makes sense to approach the encroacher in a friendly way before jumping to a legal solution.

How Easements are created

1) by the deed (called an easement by grant). 2) by an agreement between the parties. 3) by the operation of law (called an easement by implication).

Types of Encumbrances

1. Easements 2. Deed Restrictions (private controls) 3. Leases 4. Liens 5. Clouds on titles As a license holder, you'll be charged with walking your buyers through dealing with any encumbrances that may arise.

Party Wall

A ___ ___ is a wall shared by two separate properties. The owners on each side share the right of use, often as an easement. Specifically, both property owners have an appurtenant easement in the other side of the wall. ___ ___'s are very common in condos. Maintenance costs related to the ___ ___ will be shared between the two parties.

Negative easement

A ____ easement prevents a property owner from doing something that would otherwise be legal. For example, The most common example of a ____ easement is when a property owner is prohibited from building a structure or planting a tree on their property because it would block a neighboring property's view.

Licenses

A ____ is the revocable and temporary permission to use someone else's property for a specific purpose. A license does not run with the land or transfer with the deed or title, which is what makes a license different from an encumbrance.

Lien recap:

A claim or charge against a property, usually as security for a debt. This is an encumbrance.

Cloud on the title recap:

A dispute on an otherwise clear title. This is an encumbrance.

Easement by Condemnation

A easement by ____ is an easement in which private property is taken for public use. This is made possible by eminent domain, which is the government's power to seize private property for public use. (The government must pay the property owner just compensation for the property.) An easement by ___ sometimes functions as a declaration that a structure must be closed or demolished because it is unfit for occupants. But it's not always a safety thing. It's also common in situations where the property is safe, but the public needs to use it for things like expanding utilities or roads.

Floating Easement

A floating easement just means that there is no exact, fixed location that the easement grants access to. So, instead of a clearly marked path, the dominant estate has access to cross the land wherever they need. If the servient estate was to build a clearly marked path, then the easement might stop being considered a floating easement.

Gathering Stormclouds

AN OWNERS DEATH: consider a scenario in which a property owner dies. The home is inherited by a relative who wants to sell it. If the estate was not probated (the validity of the will was not established), the agent may have to assist the seller in locating others who may have a claim to the inheritance. Those other relatives and friends may have to sign off on the property, indicating that they don't expect anything from the estate before the sale can move forward. Asking the right questions at the listing appointment will put the license holder on notice that a problem could arise. DIVORCE: another example could be divorce, in which title issues could arise. A married couple may buy a home together and later decide to go their separate ways. Although the attorneys handling the divorce should transfer ownership to the proper person, it doesn't always happen that way. That's why an agent on a listing appointment should ask the seller if they bought the property with anyone else. If the agent fails to ask, it's possible that just before the closing, a title company employee may call and say the names on the official documents do not match with the names on the contract. The buyer wouldn't be happy about the delay this could cause. At this point, the agent would have to locate the ex-spouse to sign a legal document stating that they have no claim to the property. This isn't always easy to accomplish. Love, after all is a battlefield. The document the ex would have to sign to clear up the title is called a quitclaim deed, which "quits" or terminates their rights or claim to the property. Alas, it's much better to ask the right questions before the property is marketed, not after. FRAUD: An additional cloud on the title could be created by some type of fraud. For example, there are cases where a land developer sells the same tract of property to more than one person, even though they know that the originator of the subdivision will be long gone when the parties find out that they all think they are rightful owners of the subject lot. This issue can be resolved, but usually to only one person's satisfaction.

Encumbrance

An ____ is a non-possessory interest in a property that burdens the title. ____ are attached to the title, not the owner of the property. If an ____ was a ghost in a scary movie, it would be the kind of ghost that haunts one specific house, not a poltergeist that follows a person. That is to say, encumbrances may transfer in the transfer of the deed or ownership.

Easement

An ____ is an interest in, or a right to use, another individual's land or property, generally for a specific, limited purpose. An ____ gives one party the right to access another party's land. This access can be granted to public entities or private individuals. for instance, a right of way is an easement giving the holder the right to cross another's land. ____ are a type of encumbrance, so the rights run with the land and will convey in the transfer of the deed or title.

Easements

An ____ is an interest in, or a right to use, another individual's land or property, generally for a specific, limited purpose. When someone has a right to use an ____, what they actually have is an interest in the property, but not an estate in it. ____ are often limited to a specific part of the land and for a necessary purpose, such as use of a shared driveway to access an otherwise landlocked parcel of land. ____ run with the land, meaning these rights of use by another will convey in the transfer of that deed or title.

Easement Appurtenance (appurtenant)

An easement ____ is an easement that exists when two different parties own adjacent parcels of land and one owner has the ability to cross the other's land. The easement ____ gives that person the right to cross their neighbor's land. This type of easement transfers with the land and cannot be discontinued by a new property owner.

Easement by Prescription

An easement by ___ is granted after the dominant tenement has used the property in a continuous and open manner for a prescribed period of time without the owner's permission. To establish an easement by ___, the area in question would have to have been used continuously by the non-owner of the property for at least 10 years.

Easement by necessity

An easement by ____ is a type of easement by implication that occurs when the dominant tenement could not be used without an easement, even without a longstanding, apparent use. It's sometimes referred to as an easement of necessity. When an owner cuts up a larger piece of property into two or more pieces to sell them off, it's possible that the owners of the properties in the back will be landlocked - they won't have a road to get in or out of the property unless they drive across someone else's land, rendering the land inaccessible by public means. Since there is no other choice but to use someone else's land, the people who need a way in and out will be granted an easement by necessity. In other words, it is necessary for them to have the easement.

Easement for light and air

An easement for ___ and ___ is a negative appurtenant easement that prevents the owner of adjoining land from doing anything that could block light and air from the dominant tenement. Example: If Dean's house has a beautiful view of the ocean, Dean would love to have an easement for light and air. This is sometimes called a view easement as well. It would prevent the neighboring landowner from building a multistory building that blocks the gorgeous view.

Easement in Gross

An easement in ___ applies to a person or entity, not the specific land. The person or company who benefits from an easement in gross is called the dominant tenant. They can sell or assign this easement to another company or person. Example: an electric company would have the right to be on someone's land to clear limbs from power lines thanks to an easement in ___

Cloud on the title

An encumbrance to title can also be called a cloud on the title. A cloud on the title is a dispute on an otherwise clear title. These clouds can come from confusion over who has a claim to the property, changes in ownership like death or divorce, or even something like fraud. To remove this cloud, an owner may need to initiate a quiet title suit. A quiet title suit is a lawsuit against anyone who has a claim on the land. If the property owner wins the suit to quiet title, no further challenges to the title can be brought. In short, a suit to quiet title clears the title record of any unrecorded claims.

Easement recap:

An interest in, or a right to use, another individual's land or property, generally for a specific, limited purpose. This is an encumbrance.

Deed Restrictions

Another type of encumbrance is a deed restriction (also known as a restrictive covenant), which is a type of non-governmental private land-use control.

Mutual Agreement

Another way to create an easement is to simply agree on creating one. The two parties come to an agreement to create the easement, whether it is for convenience or necessity. Example: Leanna would like to have an easement to cross Sarah's property. Sarah is cool with it, so the agreement is made. It doesn't matter whether Leanna needs the easement to access her own property or if she simply likes having the convenient option of crossing Sarah's property.

Helping a client buy a home and what might effect the value in the long run of the property.

As a real estate professional, you'll be involved in helping individuals make what might be the biggest financial investment in their lives - the purchase of a home. Helping your clients make an informed decision means making them aware of the many factors that must be taken into consideration when evaluating a property. One such factor is the existence of easements and deed restrictions that can seriously impact the value of the property as well as the plans the buyer might have for it. 1) Easements - is an interest in, or a right to use, another individual's land or property, generally for a specific, limited purpose. When someone has a right to use an easement, what they actually have is an interest in the property, but not an estate in it. Easements are often limited to a specific part of the land and for a necessary purpose, such as use of a shared driveway to access an otherwise landlocked parcel of land. Easements run with the land, meaning these rights of use by another will convey in the transfer of that deed or title. 2) Deed restrictions - A deed restriction is a provision in a deed that restricts the land use of a property. It is attached to a deed, runs with the land, and applies to all future owners of the property. The terms "deed restriction" and "restrictive covenant" are often used interchangeably, but the difference is that a restrictive covenant isn't necessarily attached to the property's deed, while a deed restriction is. Deed restriction and restrictive covenants are also known as covenants, conditions, and restrictions, or CC&Rs. Most commonly, deed restrictions are put in place by a developer, and are disclosed to parcel buyers in the sales contract.

Zoning Ordinances vs. Deed Restrictions

Commonly, deed restrictions will create rules that are even stricter than zoning ordinances for a particular subdivision. For example, a neighborhood might be zoned for any kind of residential use, but the deed restrictions recorded by the developer specify that only one-family homes can be built there. In that case, whichever set of rules is more restrictive is the one landowners must follow. However, if a deed restriction is in conflict with a local, state, or federal law or local zoning ordinance, the deed restriction is not enforceable. For example, an older property may have once had a deed restriction forbidding the sale of the property to certain racial, ethnic, or religious groups. As that violates the Civil Rights Act of 1968, it would be nullified. Deed restrictions and restrictive covenants also can't prevent owners from selling or mortgaging the property in the future.

Quiz Level 4 b) Easements

Could be obtained by prescription when the area has been used by the non-owner of the property for at least 10 years. a) Liens b) Easements c) Encroachments d) Restrictions

Easement by Implication

Created when land is divided and there is a longstanding, apparent use that is reasonably necessary. It's created by operation of law (not express grant or reservation). Some people also call this an implied easement. Need to check for the existence of easements? Easements are recorded in public records in the county where the easement is located.

Terminating a Deed Restriction or Restrictive Covenant

Here are the ways a deed restriction or restrictive covenant can be ended: 1) Many restrictions come with baked-in end dates, often 25 years from their creation. 2) The owner is released from the covenant, by a court, by HOA or neighborhood association, or by the creator of the covenant. 3) If conditions change drastically and nobody is receiving benefit from the covenant, it can be terminated. 4) A law makes the covenant unenforceable. 5) The property is abandoned.

What Deed restrictions can't do

Deed restrictions usually are considered valid if they are reasonable restraints and are for the benefit of all property owners in the subdivision. They may NOT, however, violate local, state, or federal laws. Deed restrictions in violation of fair housing laws, such as restricting the sale of property to people of a particular religion or race, are not enforceable. If a restrictive covenant or condition is considered void by a court, the validity of the deed is not affected. The estate simply stands free from the invalid covenant or condition. NO BOATS ALLOWED! For example, the restrictions in one subdivision development specify that a home be at least 75% brick with at least 2,500 square feet and that no boat or recreational vehicle may be kept on the street, driveway, or lot. You'll have to find another place to park your boat Travis. A deed restriction does not influence how a title is transferred to a buyer, though it does set limits on how the property may be used by the owner.

Quiz Level 4 c) license, because it was granted to a person.

Ella granted Ol' Sam permission to gather chanterelles in her woods. When Ol' Sam passed, Lil' Sam came by asking to take over the mushroom hunting. Ella said no. Did Ol' Sam have a license or an easement, and why? a) easement, because it was not a written agreement. b) easement, because it runs with the land. c) license, because it was granted to a person. d) license, because it involved something on the land, not the land itself.

Encumbrances: good or bad

Encumbrances in simple terms means something stopping you from doing something. other types of encumbrances that might not seem drastic to a buyer include: 1) There might be a height restriction on a property that wouldn't let a homeowner build a windmill on their property. 2) There could be a dam on the property that needs to be kept up in a certain condition. 3) The property might not include subsurface rights. While these seem like a natural extension of the property, things like this are still considered encumbrances.

Quiz Level 4 c) The deed restriction, because the strictest rule is the one that is followed.

If a deed restriction has a stricter rule than a zoning ordinance, which rule must be followed and why? a) The zoning ordinance, because the laxest rule is the one that is followed. b) The deed restriction, because deed restrictions always trump zoning rules. c) The deed restriction, because the strictest rule is the one that is followed. d) The zoning ordinance, because it is a municipal law.

Quiz Level 4 a) They lose the title to the property.

If a property has a conditional deed restriction, what happens if the property owner violates the deed restriction? a) They lose the title to the property. b) They have to pay a fee. c) They have to fix the problem. d) They are taken to court.

The Doctrine of Laches

If neighbors want to be able to enforce deed restrictions at all, they must do so in a set period of time as the violation occurs or it won't work. The ___ __ ___ is a legal principle used to bar dated claims. It's used in conjunction with an unreasonable delay or negligence in asserting or defending one's rights. Essentially, according to the ___ __ ___, if a neighborhood fails to enforce a deed restriction when the violation happens, they may not be able to enforce it later. This helps ensure that enforcement is fair and that the rules apply to everyone. You can't let a violation slide for neighbors you like and then turn around and enforce the rules with neighbors you don't. The ___ __ ___ stems from the legal maxim of equity that states, "otherwise known as "you snooze, you lose").

Quiz Level 4 b) Yes, because that is how deed restrictions are enforced.

If the deed restriction Jason was trying to enforce HADN'T violated a law, would he have been able to sue to enforce it? why or why not? a) No, because Nora had already purchased the house and moved in. b) Yes, because that is how deed restrictions are enforced. c) Yes, because Nora knew about the deed restriction when she bought the house (if she hadn't known, it would have been unenforceable). d) No, because Jason did't require her to sign a document promising to abide by the restriction.

Affirmative easement

If the easement gives someone the right to use a property for a specific purpose, then it is an ____ easement. Most easements are ____ easements. For example: the right to access a public beach through a gate on a private property is an ____ easement.

Solving an Encroachment Strategy #3: The Law Suit Approach

If the encroacher does not want to either move his encroachment or purchase the land from the owner, you can take him to court. This is the worst option, because lawyers are expensive.

Solving an Encroachment Strategy #2: The Tiny Sale

If the encroacher does not want to move the encroachment (fence or shed), they can always purchase the part of the land from the property owner that contains the encroachment. If a sale is to occur, the mortgage lender would need to be contacted. example: Joe: Hey Dan, do you mind moving your storage shed back a few feet? It's encroaching on my property. Dan: Actually, Joe, what if I bought that piece of your land from you? It's really the only place my storage shed can go. Joe: I think we can work something out Dan. I will get my lawyer to draft a contract and will inform the mortgage lender of the sale. Dan: I think I'll nominate you for Neighbor of the Year at this year's Homeowner's Association Awards. Joe: Thank you, Dan. I hope I win.

Quiz Level 4 b) easement by grant.

Jim's family decided to sell one of their next-door brownstones, but still wanted to be able to use the next-door driveway to access their parking spot. In the deed of the house they sold, they created an easement across the driveway. What kind of easement is it? a) easement by consensus. b) easement by grant. c) easement by law. d) easement by agreement.

Conditional Deed Restrictions

Most deed restrictions do not have conditions. That means if someone violates the restriction, their neighbors or the former owner can sue them, but they can't strip them of ownership of the property.

Encroachment recap:

Physical property that crosses the boundary into a neighboring landowner's property. Not an encumbrance, but could affect the owner.

Deed restrictions and subdivisions

One common deed restriction applies to land bought within an established subdivision. It is usually stated in the deed that such property may not be developed for commercial or industrial uses - that is, the deed limits development projects that are roughly the same as the surrounding residential properties. If a property owners bound by this kind of deed restriction were to run any type of large business out of their homes, they would probably be violating the deed restriction.

Deed restrictions

One common type of restrictive covenant is a ____ ____. A ____ ____ is a provision in a deed that restricts the land use of a property. It is attached to a deed, runs with the land, and applies to all future owners of the property. The terms "____ ____" and "restrictive covenant" are often used interchangeably, but the difference is that a restrictive covenant isn't necessarily attached to the property's deed, while a ___ ___ is. ____ ____ and restrictive covenants are also known as covenants, conditions, and restrictions, or CC&Rs. Most commonly, ___ ___ are put in place by a developer, and are disclosed to parcel buyers in the sales contract. These restrictions must: 1) not be discriminatory 2) Promote the general welfare of the public 3) Be consistent 4) Be exercised reasonably 5) Be clear and specific When a lot in a subdivision is conveyed by an owner's deed, the deed refers to the plat (a plat map is a detailed map that notes the property lines dividing individual lots) and incorporates these restrictions as limitations on the title conveyed by the deed.

The problem with encumbrances

One of the major concerns with a property that has encumbrances is its perceived limited appeal to buyers. Some encumbrances, like easements and liens, can render a property virtually unmarketable. On the other hand, it is not unusual for an encumbrance to either be eliminated at the time of sale or cause no hardship to the new property owner and remain in place indefinitely. It's not impossible to sell a property with encumbrances, but you must go about it carefully. The title can be transferred, but certain encumbrances have the potential to make a property less valuable, harder to market, or less appealing to buyers. Buyers don't favor properties with encumbrances, because they may inherit that encumbrance if they purchase the property. Some encumbrances are more likely to stick around after the sale than others. Sellers may be unaware of (or unforthcoming about) encumbrances on their property. Buyers are gonna be less than enthused about any surprise limitations on how they can use their property, and who else may be using it. Encumbrances can lead to a deal falling through if not handled properly.

Private Land-Use Controls

Owners and developers enact private land-use controls through something called a "restrictive covenant." A Restrictive covenant is a limit on land use that is imposed by a property owner. Restrictive covenants put restrictions on a property's conveyance, or the instrument that transfers a grantor's interest in real property. Most often, that conveyance (transport) is in the form of a deed, but it doesn't have to be. Once a restrictive covenant is in the recorded chain of title, future owners are subject to the restriction. If the covenant relates to land use, it runs with the land. (this means that the restriction stays with the land and not the owner: It applies no matter who owns the property.) Restrictive covenants can be made by an individual owner as a term of sale or inheritance. For example, an owner could create a restrictive covenant that prohibits the future owner from smoking on the property or from tearing down a beloved shed. But much more commonly, restrictive covenants are created by developers as part of subdividing a parcel of land. They concern things like the size and type of building that can be constructed in the subdivision, setback requirements, height limits, square footage minimums or maximums, allowable additions, limits on occupancy or animal ownership, and even aesthetic things like roof styles, paint colors, or siding.

Quiz Level 4 Because of The Doctrine of Laches. Rhoda and her HOA failed to enforce the paint color regulations when her Wolverine fan neighbor painted his house unapproved colors. It now may be too late to enforce the rule at all. After all, it wouldn't be fair for her to only require regulation paint for people supporting teams she doesn't like.

Rhoda lives in a community with a lot of CC&Rs. For example, there is a limited number of colors that homes may be painted. Rhoda's neighbor Merle is a very enthusiastic fan of the Michigan Wolverines. Merle paints his entire house maize and blue. Unsurprisingly, these colors are not on the approved list. Odd, but harmless, Rhoda decides. A few years pass, and a new neighbor moves in. This neighbor, being a fan of the Alabama Crimson Tide, paints his house crimson and houndstooth. Enough is enough, decides Rhoda (a dedicated Auburn Tiger). She calls a meeting of the HOA to enforce the CC&R. But when they talk to their lawyer, she informs them the CC&R may be unenforceable. Why would Rhoda's HOA be unable to enforce the CC&R regarding paint color?

What is an Appurtenant?

Since easement appurtenant isn't part of most people's everyday ling, lets pause to learn another key term. Appurtenances are rights that run with real property ownership. They are most often transferred with the property (as is the case with an easement appurtenant), but it's possible in some cases to sell appurtenances separately. Dominant and Servient Tenements When an easement appurtenant exists, there is one parcel of land which benefits at the (relative) expense of another. The parcel of land that benefits from an easement appurtenant by having the right to cross another owner's adjacent land is called the servient tenement.

How Restrictive Covenants and Deed Restrictions are Enforced

So what happens if the neighborhood nogoodnik starts violating the deed restrictions in the subdivision? Obviously, the first step is to give that person dirty looks when you see them out mowing their lawn, and badmouth them thoroughly whenever you're having a nice gossip with your other neighbors. If that fails to get results, neighbors can file for an injunction with the court. If the injunction is granted, Violator Vicky has to fix the violation or she would be in contempt of court.

Lien

Some encumbrances are financial, instead of physical. The most common financial encumbrance that affects title is a ___. A ___ is a claim made by a creditor against real or personal property pledged by a debtor as collateral. There are several different kinds of ___ you may encounter, and we'll go over them later in this level.

Easement Appurtenant vs. Easement in Gross

The difference between an easement in gross and an easement in appurtenant is that easements in gross are granted to a person, not a property. It will expire on the death of the person (if granted to an individual), or when the property changes hands, unless renewed. Remember: Easement appurtenant applies to the land regardless of the owner. Easement in gross applies to the person or entity, not the specific land. Example: People are gross and land is permanent (which kinda rhymes with appurtenant). Scenarios: example: An easement appurtenant is granted that allows Party A (dominant tenement) to use the boat ramp of Party B (servient tenement). When Party B sells their property to Party C, the easement still exists and Party A can still use the boat ramp of Party C. The easement belongs to the land; it doesn't matter who owns it. Conversely, if a easement in gross is granted for the same boat ramp scenario, then the easement would not transfer when Party B sold their property. If Party A still wants to use the boat ramp after Party C closes on the property, then they would have to negotiate a new easement.

Operation of Law

The final way to create an easement

Licenses vs. Easements

The main difference between a license and an easement is that a license can be withdrawn at any time. Other important differences between licenses and easements include: 1) Creation: Licenses can be established with nothing more than an oral agreement between the property owner and the license holder. An easement generally requires legal action or a written agreement. 2) Duration: Licenses are temporary, but easements continue to exist indefinitely. 3) Attachment: Licenses don't have to run with the property, but easements always do. 4) Assignment: Unlike an easement, a license terminates if the license holder dies. The license holder can't assign their license to someone else, either.

Quiz Level 4 d) Dominant Tenant

The person or company who benefits from an easement in gross is called the: a) licensee b) primary party c) servient tenant d) dominant tenant

License recap:

The revocable and temporary permission to use someone else's property for a specific purpose. Not an encumbrance, but could affect the owner.

Quiz Level 4 c) easement

The right of one party to access or use the land of another is a(n): a) lien b) assessment c) easement d) encroachment

Licenses and Encroachments

These are not encumbrances, but still have an effect on the ownership rights of a property owner. 1) Licenses 2) Encroachments Licenses - A license (not to be confused with a real estate license) is the revocable and temporary permission to use someone else's property for a specific purpose. A license does not run with the land or transfer with the deed or title, which is what makes a license different from an encumbrance. A license is temporary and can be withdrawn at any time, upon the sale of the property to someone else, or when one of the parties dies. example: A landowner decides to give a certain person permission to hunt on their property. Encroachments - An encroachment is a physical property that crosses the boundary into a neighboring landowner's property. An encroachment is created when a person's property (such as a fence, tree, or driveway) crosses the property boundary into an adjacent property. It's a physical intrusion on someone else's property without direct permission.

Quiz Level 4 c) by looking at the county records.

When going through the closing process, the agent could have found any easements: a) in the letter from the lender. b) in the special provisions paragraph of the contract. c) by looking at the county records. d) on the MLS listing.

Quiz Level 4 c) a driveway that partially crosses a neighbor's property boundary.

Which of the following is an example of encroachment? a) an owner who is behind on paying their property taxes. b) an HOA preventing members from planting cacti in their front yards c) a driveway that partially crosses a neighbor's property boundary. d) a property owner granting their neighbor access to their property while retaining full ownership.

Quiz Level 4 d) Christine looks up the deed for a property she's interested in buying.

Which of these actions would constitute actual notice? a) Charles records the deed to the house he just bought with the county. b) Charlene lives in a house, and everyone can see her doing just that. c) Chandler publishes a notice about his home in the local paper. d) Christine looks up the deed for a property she's interested in buying.

Quiz Level 4 a) Brady is allowed to cross his neighbor's field to reach his home

Which of these describes a dominant tenement? a) Brady is allowed to cross his neighbor's field to reach his home. b) Bri is required to allow her neighbor to use her beach access. c) Bryce allows his landlocked neighbor to use his driveway. d) Braeylinne's neighbor's fence is built onto part of her property.

Quiz Level 4 c) corporate land-use controls

Which of these is NOT a type of land-use-control? a) private land-use controls b) government ownership of land c) corporate land-use controls d) public land-use controls

Quiz Level 4 d) The covenant places undue burden on the homeowner.

Which of these is NOT a way to terminate a restrictive covenant? a) The covenant violates a law. b) The covenant expires. c) The homeowner is released from the covenant. d) The covenant places undue burden on the homeowner.

Quiz Level 4 d) signing a quitclaim deed a "quitclaim deed", "quits" or terminates their rights or claim to the property.

Which of these is a way to clear a cloud on a title caused by divorce or death? a) doing a signatory sweep b) retaining a title specialist c) creating a probate fund d) signing a quitclaim deed

Quiz Level 4 c) Tori can't build higher than two stories on her ocean-view lot.

Which of these is an example of a negative easement? a) Therese has the right to drive her ATV through her neighbor's back woods. b) Tim uses part of his neighbor's driveway to access his home. c) Tori can't build higher than two stories on her ocean-view lot. d) Toby walks across part of his neighbor's dock to access his mooring.

Quiz Level 4 d) discriminate against any protected group

Which of these is something that a deed restriction CAN'T do? a) require a minimum square footage b) make a development single-family-home-only c) create a height limit for buildings d) discriminate against any protected group

Quiz Level 4 c) Harmony Acres didn't make Jim take down his ugly fence prohibition can't be enforced.

Which of these scenarios illustrates the doctrine of laches? a) Cypress Hollow's HOA board is composed of home owners, developers, and a planner from the city. b) Setback from the street must be a minimum of 15 feet in Shady Grove. c) Harmony Acres didn't make Jim take down his ugly fence prohibition can't be enforced. d) Plucky Pines requires homebuyers to contribute $250 a month to an HOA fund.

Conditional Deed Restrictions Example

___ ___ ___ are deed restrictions that state that if that property owner violates the restriction, the title will revert to the previous owner. Example, Uncle Ray sells his home to Little Nephew with a deed restriction stating that Little Nephew must not remove that marble statues of Uncle Ray that dot the property or he (Little Nephew) will lose the title. If Little Nephew tears those works of art down in a fit of pettiness, the property's title reverts to Uncle Ray. This is called a qualified fee estate. Such restrictions are one of the things title companies search for before a buyer closes on a property to guarantee there is nothing to cloud their fee simple ownership of the property.