National Real Estate Exam Chapter 1 Flashcards

National Real Estate Exam Chapter 1 Flashcards Annexationthe process of attaching or installing a fixture Easementallows for limited use or enjoyment of another's land-use without possessioncan be created by express (written or verbal) or implied (by actions or evidence) grant, agreement, reservation, limitation or prescription, necessity, or condemnation

Improvementsman's additions to the land (ex: buildings or landscaping)

Eminent Domaingovernment's right to take private land for public use through condemnation (the government must compensate the owner's land they are taking) Buffer ZoneCreated by zoning (police power) that is an area of land

that separates one land use from another (ex: single family

living, apartments, retail-the apartments are the buffer zone) Personal PropertyA right/interest in something of temporary or moveable nature (also called chattel or personalty) Trade Fixturesfixtures in commercial properties that a tenant installs in order to carry out their business and removed prior to the termination of the lease. If the trade fixtures are not removed by the tenant that installed when their lease is up they become real property and pass to the landlord Government Rights in Land1. Police Power2. Eminent Domain3. Taxation4. Escheat FixtureOriginally personal property, but it has been attached in a way that has become real property Appurtenancedescribes rights, privileges, or improvement that belong and pass with the land Rectangular Survey Systemtakes into consideration base lines and meridians, townships and sections Escheatproperty reverts back to the state when someone dies without a will or heirs can also be used if a property is abandoned Legal Descriptiondetermined by a surveyor and necessary in a contract in order for the document to be enforceable Characteristics of Real Property1. Nonhomogeneity (no two pieces of property are the same-land is unique)2. Immobility (land cannot be moved)3. Indestructibility (durable-it will always be there) Emblementscrops that are cultivated annually and considered personal property-not automatically part of a farm/ranch sale, however they can be transferred to new owners with a bill of sale

Encumbrancelimit on a property or the property owner's rights-may or may not be a cloud on the title Dominent and Servient Estatesin the case of an easement the dominant estate is the estate that benefits from the easement and the servient estate is the land that is being used for the easement Economic Characteristics of Land1. Scarcity (naturally desirable-when there is short supply and demand is great)2. Modification (land use and value are influenced by improvements)3. Fixity (land is not a liquid asset-permanent investment)4. Stitus (location preference) Meets and Boundsuses terminal points, angles, and always has a point of beginning that is also the termination point.Uses compass directions, degrees, and minutes Inverse Condemnationwhen an individual forces the government to buy their property Lot and Blockderived from a recorded map (plat) most common legal description used for residential listing agreements Taxationproperty taxes are the highest lien on real property and they are ad valrolem taxes-according to valueproperty taxes are always paid first in the case of foreclosure Real PropertyLand, improvements that are attached to the land, benefits, rights, and ownership interests that go with the land Severed/Severancewhen real property becomes personal property-when a fixture is uninstalled