Study Notes on Aburdances and Property Rights

Aburdances and Property Rights

Discussion of what makes land special both physically and economically.
Examination of how natural forces affect land.
Introduction to the concept of rights associated with property, specifically focusing on aburdances and the bundle of rights.

The bundle of rights refers to the concept that encompasses various rights associated with property ownership.
These rights dictate how ownership works and what can be done with the property.

Aburdances are specific rights related to the physical use of property rather than the conceptual rights found in the bundle of rights.
Types of aburdances include:
- Air Rights: The rights to the space above a property.
- Water Rights: The rights to water access or usage on or under the property.
- Subsurface Rights: The rights to resources available beneath the surface of the property (e.g., minerals, oil, gas).

Aburdances are typically transferred along with the property during the sale but may also be sold separately.
Example of Transfer: An oil company purchases the subsurface rights for oil beneath a property:
- This means the oil company retains ownership of the subsurface rights after the sale, which can be transferred by the company as they see fit.
- If the property is resold in the future, the new property owner must acknowledge and respect the existing subsurface rights held by the oil company.

Impertinences are defined as rights associated with real property that commonly transfer during ownership changes. Types of impertinences include:
- Surface Rights: Often called the right of access to the land itself.
- Subsurface Rights: Sometimes referred to as mineral, oil, or gas rights, these rights pertain to what lies beneath the property.
- Air Rights: Rights to the airspace over the property.
- Water Rights: Rights to any bodies of water on or adjacent to the property.

Appurtenances can secure rights for one party while potentially limiting another party's rights.
- Example Scenario:
- Linda owns surface rights to a property, while Mora owns the subsurface rights.
- When Linda sells the property to Kent, Mora's subsurface rights remain protected, consequently limiting Kent's rights in relation to subsurface activities.

As a broker, it is crucial to communicate to clients what specific rights are being acquired when purchasing a property.
Understanding the nuances of property rights, including aburdances and their separability from the land, is essential for advising clients accurately.
Impact on Property Value: Selling a property with all rights (including subsurface, surface, air, and water rights) typically leads to a different valuation compared to selling a property with only certain rights (e.g., subsurface or surface rights only).
It is important to highlight that the conveyance of rights can influence future real estate transactions and their potential value.