Unit 3 Interests in Real Estate Vocabulary

condemnation

a judicial or administrative proceeding to exercise the power of eminent domain, through which a government agency takes private property for public use and compensates the owner

covenants, conditions, and restrictions (CC&Rs)

Private agreements that affect land use. They may be enforced by an owner of real estate that benefits from them and can be included in the seller's deed to the buyer

deed restrictions

Clauses in a deed limiting the future uses of the property. Deed restrictions may impose a vast variety of limitations and conditions—for example, they may limit the density of buildings, dictate the types of structures that can be erected, or prevent buildings from being used for specific purposes or even from being used at all.

easement

A right to use the land of another for a specific purpose, such as for a right-of-way or utilities; an incorporeal interest in land because it does not include a right of possession

easement appurtenant

an easement that follows along with the land

easement by necessity

An easement allowed by law as necessary for the full enjoyment of a parcel of real estate; for example, a right of ingress and egress over a grantor's land.

easement by prescription

An easement acquired by open, notorious, continuous, hostile and adverse use of the property for the period of time prescribed by state law

easement in gross

an easement that is not created for the benefit of any land owned by the owner of the easement but that attaches personally to the easement owner. For example, a right granted by a property owner to a friend to use a portion of the property for the rest of the friend's life

eminent domain

the right of a government or municipal quasi-public body to acquire property for public use through a court action called condemnation, in which the court decides that the use is a public use and determines the compensation to be paid to the owner

encroachment

a building or some portion of it--- a wall or fence, for instance--- that extends beyond the land of the owner and illegally intrudes on the land of an adjoining owner or public street or ally

encumbrance

anything--- such as a mortgage, tax, or judgment lien; an easement; a restriction on the use of the land; or an outstanding dower right--- that may diminish the value or use and enjoyment of a property

escheat

the reversion of property to the state or county, as provided by state law, in cases in which a descendent dies intestate without heirs capable of inheriting, or when the property is abandoned

estate in land

the degree, quantity, nature, and extent of interest a person has in real property

fee simple

the highest interest in real estate recognized by the law; the holder is entitled to all rights to the property

fee simple absolute

thee maximum possible estate or right of ownership of real property, continuing forever

fee simple defeasible

An estate in which the holder has a fee simple title that may be divested upon the occurrence or nonoccurrence of a specified event. There are two categories: fee simple on condition precedent and fee simple on condition subsequent

fee simple determinable

a fee simple estate qualified by a special limitation. Language used to describe the limitation includes the words so long as, while, or during.

fee simple subject to a condition subsequent

an estate carrying the limitation that, if it is no longer used for the purpose conveyed, it reverts to the original grantor by the right of reentry

freehold estate

an estate in land in which ownership is for an indeterminate length of time, in contrast to leasehold estate

future interest

a person's present right to an interest in real property that will not result in possession or enjoyment until sometime in the future, such as a reversion or right of reentry

homestead

land that is owned and occupied as the family home. In many states, a portion of the area or value of this land is protected or exempt from judgments for debts other than those secured by the property

inverse condemnation

an action brought by a property owner seeking just compensation for diminished use and value of land because of an adjacent property's public use

legal life estate

a form of life estate established by state law, rather than created voluntarily by an owner. It becomes effective when certain events occur.

license

In real estate practice, the privilege or right granted to a person by a state to operate as a real estate broker or salesperson. The revocable permission for a temporary use of land--- a personal right that cannot be sold

lien

a right given by law to certain creditors to have their debts paid out of the property of a defaulting debtor, usually by means of a court sale

life estate

an interest in real or personal property that is limited in duration to the lifetime of its owner or some other deignated person or persons

police power

enabled by the state constitution, these powers are passed down to municipalities to regulate property land use and development for the public welfar

pur autre vie (estate)

"for the the life of another" Life estate that is measured by the life of a person or persons other than the grantee

remainder interest

the remnant of an estate that has been conveyed to take effect and be enjoyed after the termination of a prior estate, such as when an owner conveys a life estate to one party and the remainder to another

taking

process of land being taken from a property owner for public use through eminent domain with the requirement that the owner by compensated fairly

taxation

the process by which a government body raises monies to fund its operation

Uniform Probate Code (UPC)

a codification of commercial law, adopted in most states, that attempts to make uniform all laws relating to commercial transactions, including chattel mortgages and bulk transfers. Security interests in chattels are created by an instrument known as a security agreement. To give notice of the security interest, a financing statement must be recorded. Article 6 of the code regulates bulk transfers--- the sale of a business as a whole, including all fixtures, chattels, and merchandise

dominant tenement

the parcel that benefits from the easement is known as

servient tenement

the parcel over which the easement runs is known as the

party wall

exterior wall of a building that straddles the boundary line between two lots, or it can be a shared partition wall between two connect properties

cross easement

the reciprocal interest of each owner in the property of the other is often referred to as

ingress

right to enter

egress

right to exit

tacking

concept providing that successive periods of continuous occupation by different parties may be combined to reach the required total number of years needed to establish a claim for a prescriptive easement

lis pendes

a noticed filed in the public record of a pending legal action affecting the title to or possession of property