Real Estate Unit 1, Section 6, Unit 2: Voluntary and Involuntary Alienation
Whew! You met all of the requirements for a claim of adverse possession, and now you can just kick back and relax in your new million dollar home, right? Not quite. What else do you need to do to acquire ownership of your new abode? Select the two that apply. - File the paperwork to transfer title and send a quitclaim deed request to the owner. - Appear in court and move to quiet title. - Prove you've met all requirements for the statutory period of time. - File an affidavit of intent with the title company.
- Appear in court and move to quiet title. - Prove you've met all requirements for the statutory period of time. *You can't just claim something and take it. You have to prove you've been the possessor to a court of law.
So, what does a public grant actually grant to private individuals?
- Power - License - Real Property
What happens after a lien foreclosure sale if not enough money were made from the auctioning of the property to pay off the lien holders?
A deficiency judgment against the property owner for the outstanding balance to the lien holders is issued.
Which term describes the addition of value to property through labor or the addition of new materials?
Accession
If a private individual tries to lay claim to someone else's property because he has been living on and using the property as his own for an extended period of time, the individual may acquire the property through _______.
Adverse Possession
Which method of alienation is being used? Al lived in a shed behind Ed's house for 10 years. Ed lists the house for sale; Al claims the shed and the property on which it sits is his.
Adverse Possession
What is tacking?
An adverse possessor claimant who inherited a property but hasn't possessed it long enough to meet the statutory requirement for adverse possession may be able to take advantage of the principle of tacking. This means adding the time the claimant has possessed the property onto the time another possessed the property to meet the statutory period of time for an adverse possession claim.
The first defense against foreclosure is stopping it altogether. Which options apply to the right of redemption, and which don't? The defaulting homeowner must repay any accrued interest.
Applies
The first defense against foreclosure is stopping it altogether. Which options apply to the right of redemption, and which don't? The defaulting homeowner must repay the lender's costs associated with the foreclosure.
Applies
The first defense against foreclosure is stopping it altogether. Which options apply to the right of redemption, and which don't? The defaulting homeowner must repay the principal amount of the debt owed.
Applies
Greg died of a heart attack on his 75th birthday, leaving no will. His wife is deceased, and the couple had no children. Greg's estate goes into probate, and the court determines which of Greg's heirs will inherit the family home. What method of alienation was used in this situation?
Because Greg died without a will, his estate's assets were distributed according to the law of descent.
Condemnation or Inverse Condemnation? There are two ways a taking can occur. Match the forms of taking with their correct descriptions. The government appraised the property it was taking and offered the property owner the appraised value as just compensation.
Condemnation
Eminent domain is the governments' power to take private land for public use. What is it called when the government actually seizes someone's property?
Condemnation
When the government takes someone's property using the power of eminent domain and the owner receives compensation for the property value
Condemnation
Which method of alienation is being used? Eric and Amy were divorcing and couldn't agree how to divide their assets. The court stepped in and made the decision for them.
Court-ordered Partioning
Which method of alienation is being used? Jan wants her daughter to have her house, so she has a lawyer draft a sales agreement and she sells it to her for $1.
Deed
Through which method of voluntary alienation does the grantor convey real property and transfer title to the grantee?
Deed *The person who conveys title through means of a deed is the grantor, and the person who receives title is the grantee.
If Carol and Doug Shields died intestate, their estate would be conveyed to their heirs through which method of alienation?
Descent
Through which method of involuntary alienation may the government take private land for public use?
Eminent Domain
Which method of alienation is being used? Marcia has to sell her house to the state, which is removing houses to widen a highway.
Eminent Domain
The power of the government to take private land for public use
Eminent domain
Alice died alone with no known relatives and no will. No one made a claim to her house, so the property is taken by the state and turned into a home for children. What method of involuntary alienation was used in this situation?
Escheat
Jack, 25, Jerry, 27, and Joe Smythe, 28, inherited the family home as tenants in common when their parents died. Which options are true if one of them wanted to sell the home? The oldest, Joe, would have the most say, as he would be the primary owner. - T/F
False
Jack, 25, Jerry, 27, and Joe Smythe, 28, inherited the family home as tenants in common when their parents died. Which options are true if one of them wanted to sell the home? Whoever decides to sell first would receive all of the proceeds from the sale. - T/F
False
Select which options are true of tacking claims in adverse possession. The use can be interrupted from one individual to another. - T/F
False
All lienholders are automatically paid off after the sale is finalized. - T/F
False *If the proceeds from the sale aren't enough to pay off the lien holders, the lien holders may be able to bring a deficiency judgment against the foreclosed-upon party for the outstanding balance.
Jack, 25, Jerry, 27, and Joe Smythe, 28, inherited the family home as tenants in common when their parents died. Which options are true if one of them wanted to sell the home? The property the house is on will be divided between the brothers for each to do as he pleases. - T/F
False *It could be divided up if it was for a larger piece of land, but not a house.
Foreclosure requires the homeowner's consent. - T/F
False *The property owner's consent for the sale isn't required, because the lien itself gives the lien holder the right to foreclose in order to generate the funds with which to satisfy the lien.
Which action can be taken if you don't pay a lien against your property?
Foreclosure
Which method of alienation is being used? Sam fell behind on his mortgage payments, and eventually the bank stepped in and forced the property to be sold.
Foreclosure
The Johnsons have owned a small restaurant for more than 20 years. It's open for lunch and dinner six days a week, and 80% of its weekday revenue comes from the happy hour drink and appetizer specials. The town in which their restaurant is located recently constructed a new middle school and stripped the liquor license from the Johnsons' restaurant, because it no longer complies with the ordinance to be 500 feet from a school property. The Johnsons have accused the town of _____.
Inverse Condemnation
Condemnation or Inverse Condemnation? There are two ways a taking can occur. Match the forms of taking with their correct descriptions. The property owner was not offered just compensation when the taking occurred, and the taking was probably regulatory in nature.
Inverse condemnation
Which method of involuntary alienation involves accession, accretion, reliction, or avulsion?
Natural processes
Jerome has four grown children. When he dies, he leaves his home to all four children, making them tenants in common with equal shares. One child wants to live in the house, another wants to use it as investment property, and two others want to sell it and take the cash. When they can't agree on a solution, they end up in court and the property is ______.
Partioned
Which method of alienation is being used? The city council imposed so many use restrictions on Myron's property, there's no way he could recoup his initial investment if he sells.
Regulatory Taking
When the government takes title to private property under eminent domain, or regulations remove the economic value of a private property
Taking
Accession
The addition of value to property through labor or the addition of new materials
Accretion
The build-up of land from sand, silt, or gravel over water
Kelo vs. the United States was a Supreme Court case that centered on a city's use of the power of eminent domain. The resource briefly describes the focus of this case. What was significant about the court's ruling?
The court ruled that cities can exercise the power of eminent domain to promote private economic development, stating that the public will get an economic benefit.
What is regulatory taking?
The government regulates private property to the detriment of the landowner, resulting in diminished use or value.
Erosion
The gradual loss of land due to water, wind, or other natural disturbances
Reliction
The increase of land resulting from the gradual, permanent withdrawal of water
Alluvion
The land mass formed by the build-up of sand, silt, or gravel over water
Land Patent
The legal documents that transferred land ownership from the state or federal Government to individuals.
Regarding the criteria to claim adverse possession, what does hostile possession mean?
The possession of the property must be without permission of the true owner. *If the owner had given permission, then both parties would obviously know that the possessor didn't have a right to ownership, because if the possessor did, no permission would have been needed
Regarding the criteria to claim adverse possession, what does actual possession mean?
The possessor must physically occupy the property
What is escheat?
The state takes ownership of property that belonged to a person who died intestate with neither heirs nor creditors, and uses it for the public good
Avulsion
The sudden loss or gain of land due to water
Public Grant
The transfer of ownership by the government to a private individual
Regarding the criteria to claim adverse possession, what does it mean when they say the possession must be open and notorious?
The use is well known to others
What is adverse possession?
This is when individuals can claim ownership of someone else's property by using it for an extended period of time.
Regarding the criteria to claim adverse possession, what does it mean when they say the the possession must be continuous and uninterrupted?
This means that the property must be used without significant breaks during use.
A foreclosed-on property is conveyed using a judicial or referee's deed. - T/F
True
Foreclosure occurs when the property owner defaults on a debt or lien that's owed. - T/F
True
Jack, 25, Jerry, 27, and Joe Smythe, 28, inherited the family home as tenants in common when their parents died. Which options are true if one of them wanted to sell the home? A court may order the sale of the property and split the proceeds equally between the brothers if they can't come up with their own arrangement - T/F
True
Select which options are true of tacking claims in adverse possession. You can add the years of another possessor's claim to your own to cumulate the number of years required for adverse possession. - T/F
True
The property is sold at a public auction to the highest bidder. - T/F
True
Identify each method as either voluntary or involuntary. Deed
Voluntary
Court-ordered portioning of property
When tenants in common own land that can be partitioned (it meets local zoning requirements for size, etc.), and they have decided to divide the land for whatever reason (divorce, disagreement), but they can't agree as to how the property should be divided, the courts may step in and order the sale of the property.
Through which method of voluntary alienation does the devisor convey both real and personal property to the devisee?
Will
Which method of alienation is being used? Cindy devised her house to her brothers and sisters upon her death.
Will
What does "intestate" mean?
dying without a will
Identify each method as either voluntary or involuntary. Adverse possession
involuntary
Identify each method as either voluntary or involuntary. Descent
involuntary
Identify each method as either voluntary or involuntary. Eminent domain
involuntary
Identify each method as either voluntary or involuntary. Escheat
involuntary