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Terms in this set (265)
earths upward surface extending downward to the center of the earth and upward into space, including permanent natural objects such as trees and water but also includes the underlying soil.
land at, above, and below the earth's surface, and all things permanently attached to it, whether natural or artificial
any artificial thing attached on or below ground, such as a building, fence, or improvements such as streets, utilities, and sewers
both land and real estate and also includes the rights that are automatically included in the ownership of the land and real estate
anything that can be owned
bundle of legal rights
right of possession, right to control the property within the framework of the law, right of enjoyment, right of exclusion, and right of disposition
right to or ownership of the land, including the owners bundle of legal rights AND evidence of that ownership by a deed
title refers to ________ of real property, not a printed document
(runs with the land) is a right or privilege associated with the property, although not necessarily a part of it. Examples of this would be parking spaces, easements, water rights, and other improvements.
rights to use the natural resources lying below the earths surface
rights to use the space above the land and they may be sold or leased independently provided the rights have not been preempted by law
air and solar rights are regulated by _______
state and local laws and ordinances
special common law rights held by owners of land adjacent to rivers, lakes, or oceans and are restrictions on the rights of the land owners.
sometimes called personalty, is a property that can be owned and does not fit the definition of real property. Also referred to as chattels
dwellings that are built off site and trucked to a building lot where they are installed or assembled
an item of real property can become personal property by ______
a change from personal property to real property
personal property that has been so affixed to the land or a building that, by law, it becomes part of the real property
test used to determine whether an item is a fixture or personal property is a question of ______
in determing intent, courts use the following three basic tests which are:
method of annextion, adaption to real estate, agreement
what are the four economic characteristics of real estate
scarcity, improvements, permanence of investment, and location of area preferences
what are the physical characteristics of real estate
immobility, indestructibility, and uniqueness
process of downward land shifts due to the collapse of underground mine shafts and groundwater flows, usually resulting in sinkholes or troughs
Pennsylvania law requires that sellers provide a ____________________ to purchasers indicating that a structure on the land may not be protected against damage caused by subsidence caused by coal mining
Coal Mining Notice
The purpose of real estate license laws is to protect the public from ____, _____, and _______ in real estate transactions
fraud, dishonesty, and incompetence
inherent authority to create regulations necessary to protect the publics health, safety, and welfare
through ________ states delegate to counties and local municipalities the authority to enact ordinances in keeping with general laws
the use of privately owned real estate is regulated through these 5 features
1) land-use planning
2) zoning ordinances
3) subdivision regulations
4) building codes
5) environmental protection legislation
guide to planning for change rather than reacting to proposals and often includes 1) a general plan that can be revised and updated more frequently 2) plans for specific areas, 3) strategic plans
systematic planning for orderly growth consists of the following basic elements
1) land use
2) housing needs of present and anticipated future residents
3) movement of people and goods
4) community facilities and utilities
5) energy conservation
regulatory tool that helps communities regulate and control how land is used for the protection of public health, safety, and welfare
zoning affects such things as:
1) permitted use of land
2) lot sizes
3) types of structures
4) building heights
planned unit developments (PUDs)
development where the land is set aside for mixed-use purposes, such as residential, commercial, and public areas
local municipal laws that implement the comprehensive plan, and regulate and control the use of land and structures within designated land-use districts.
typically a strip of land separating land dedicated to one use from land dedicated to another use
bulk zoning, aesthetic zoning, and incentive zoning
certain types of zoning that focus on special land use objectives
"nor shall any private property be taken for public use, without just compensation"
when the government takes the land for public use and the owner must be compensated
action brought by a property owner seeking just compensation for land taken for a public use where it appears that the taker of the property does not intend to bring eminent domain proceedings
usually required before building permits can be issued
does not conform to the zoning use because it existed before the enactment or amendment of a zoning ordinance
exceptions to the zoning law
conditional use permit
usually granted to a property owner to allow for a special use of a property that is defined as an allowable conditional use within that zone
permit that indicates that the property has met standards suitable for habitation that must be issued before anyone moves in and often before a lender will allow closing
detailed map that illustrates the geographic boundaries of individual lots and it shows the blocks, sections, streets, public easements, and monuments
charges made in to cover anticipated expenses involving offsite capital improvements such as expanding water and sewer facilities, additional roads, and school expansions
ordinances may restrict the average number of houses per acre that may be built within a particular subdivision
CC&R stand for....
covenants, conditions, and restrictions
declarations of conditions and restrictions that affect the use of all parcels of land within a specified development or subdivision plat
Interstate Land Sales Full Disclosure Act
regulates the interstate sale of unimproved lots in subdivisions of 25 or more lots of less than 20 acres each
natural element found in water, soil, air, and has been linked to several types of cancer
fire-resistant mineral that was once used extensively as insulations and to strengthen other minerals
in what year was asbestos use banned
fibers that easily break down into tiny filaments with age
sealing off of disintegrating asbestos
asbestos containing minerals
colorless, odorless gas that occurs as a by-product of burning fuels such as wood, oil, and natural gas, owing to incomplete combustion
What produces CO as a natural result of their combustion of fuel?
furnaces, water heaters, space heaters, fireplaces, and wood stoves
can grow on almost any organic substance, so long as moisture, oxygen, and an organic food source are present.
used as a pigment and drying agent in alkyd oil-based paint
paint inspection and risk assessment
In what ways can a home be inspected for lead-based paint?
a naturally occurring, colorless, odorless, tasteless, radioactive gas produced by the decay of other radioactive substances
colorless chemical with a strong, pronounced odor and is used widely in the manufacture of building materials and many household products because of its preservative characteristics
urea-formaldehyde foam insulation (UFFI)
once banned, now legal again, is rarely used and when mixed incorrectly it never properly cures, resulting in strong emissions shortly after installation
electromagnetic fields (EMFs)
movement of electrical currents by any electrical appliance such as digital clocks, blow dryers, televisions, and computers
Polychlorinated biphenyls (PCBs)
consists of more than 200 chemical compounds that are not found naturally in nature and are also flame resistant chemicals that were often used in electrical equipment
commercial and industrial property managers
PCBs are most likely a concern for who?
nontoxic nonflammable chemicals used as refrigerants in air conditioners, refrigerators, and foam-blowing appliances
water that exists under the earths surface within the tiny spaces or crevices in geological formations
the natural level at which the ground is saturated
hydraulic fracturing used to economically extract vast amounts of shale gas trapped in shale, a fine-grained sedimentary rock formed thousands of years ago by mud, silt, clay, and organic matter
Underground Storage Tanks (USTs)
Commonly found on sites where petroleum products are used or where gas stations and auto repair shops are located, and subject to federal and state regulations. In residential areas, tanks are used to store heating oil. Over time, neglected tanks may leak hazardous substances into the environment.
installation, maintenance, corrosion prevention, overspill prevention, monitoring, and record keeping
UST owners are required to register their tanks and adhere to strict technical and administrative requirements that govern....
sufficient financial resources
owners are required to demonstrate that they have _________ to cover any damages that might result from a leak
enormous hole, wither excavated for the purpose of waste disposal or left over from surface mining
The process of laying two to four feet of soil over the top of a landfill site and then planting grass on it to enhance the aesthetic value and prevent erosion.
Defunct, derelict, or abandoned commercial or industrial sites; many have toxic wastes.
Small Business Liability Relief and Brownfields Revitalization Act (Brownfields Law)
provides funds to assess and clean up brownfields, clarifies liability protections, and provides tax incentives toward enhancing state and tribal response programs
Uniform Environmental Covenants Act (UECA)
provides for the rehabilitation or recycling of brownfields
Environmental Protection Agency (EPA)
created in 1970, works with federal agencies to oversee and implement many of the laws passed to protect and improve the environment
Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA)
established a $1.6 billion, called the Superfund, to clean up uncontrolled hazardous waste sites and to respond to spills
Superfund Amendments and Reauthorization Act (SARA)
increased the Superfund to $8.5 billion, provided funds for studying the use of new technologies, and required the EPA to assess the risk to human environment health at every site on the Superfund list
Safe Drinking Water Act
this act was passed to protect public health by regulating the nations public drinking water supply
Clean Water Act
intends to regulate pollutants discharged into waterways
Pennsylvania Sewage Facilities Act
requires that PA municipalities develop comprehensive plans to resolve existing sewage disposal problems and to prevent future problems
Clean Air Act
defines the responsibility of the EPA to protect human health and safety by regulating air emissions from stationary and mobile sources
actual and potential liability
real estate professionals and all others involved in a real estate transaction must be aware of both ______ and ______
sellers often carry the most exposure to ______
scientific or technical experts who can provide the most comprehensive plans
environmental site assessments
often performed on a property to show that due care was exercised in determining whether any environmental impairments exist
environmental impact statement
detail the impact the project will have on the environment and include information about the air quality, noise, public health and safety, energy conservation, population density, wildlife, vegetation, and the need for water and sewer supplies
the process by which boundaries are measured by calculating the dimensions and area to determine the exact location of a piece of land
means the surveyor must be able to define the exact boundaries of the property
metes and bounds, lots and blocks, and rectangular (governmental) survey systems
what are the three basic methods that can be used to describe real estate?
metes and bounds descriptions
this method relies on a propertys physical features to determine the boundaries and measurements of the parcel
fixed objects used to locate the point of beginning (POB), all corners of a parcel or ends of boundary segments, and the location of intersecting boundaries
A map of a town, section, or subdivision indicating the location and boundaries of individual properties.
runs north and south
runs east and west
rectangular survey systems
What system does PA not use?
What survey also shows the size, location, and shape of buildings on the lot?
composed of airspace within specific boundaries located over a parcel of land
a point, line, or surface from which elevations are measured or indicated
Permanent reference points that have been established throughout the US
police power, eminent domain, taxation, and escheat
What does PETE stand for?
A charge on real estate to raise funds to meet the public needs of a government.
A process by which the state may acquire privately owned real or personal property.
ownership interests that last for an indeterminable length of time, such as for a lifetime or forever
based on the lifetime of a person and terminate when the individual dies
fee simple/fee absolute
highest interest in real estate recognized by law and ownership in which the owner is entitled to all the rights to the property by law
defeasible fee estate/fee simple defeasible estate
qualified estate that is subject to the occurrence or nonoccurrence of a specified owner
fee simple determinable and fee simple subject
What are the two categories of defeasible estates?
fee simple determinable
fee simple defeasible estate that may be inherited (includes words so long as, while, or during)
possibility of reverter
what does the former owner of the fee simple determinable possess?
estate that is limited in duration to the life of the owner or to the life of some other designated person or persons
conventional life estate
created by the intentional act of the owner
estate conveyed to an individual who would be known as......
Life Estate Pur Autre Vie
provides for the inheritance by the life tenants heirs only until the death of the third party
reversionary interest or remainder interest
when the life estate ends, it is replaced by a fee simple estate and the future owner may be designated in one of two ways
if the creator of the life estate chooses not to name a remainderman, the ownership is said to revert to the original owner upon the end of a life estate
the creator of the life estate may name a remainderman as the person to whom the property will pass when the life estate ends
legal life estate
not created voluntarily by the owner but a form of life estate established by the law
the life estate that a wife has in the real estate of her deceased husband
The rights that a husband acquires in the wife's property upon her death.
Uniform Probate Code (UPC)
gives the surviving spouse a right to an elective share on the death of the other spouse
A claim, charge, or liability that attaches to and is binding on real estate.
charge against a property that provides security for a debt or obligation of the property owner
Private restrictions that affect the use of the land.
the right to use land for a specific and limited purpose
easement that is attached to the ownership of one parcel of land and allows the owner the use of a neighbors land
runs with the land
something that is said to transfer with the title
exterior wall of building that straddles the boundary line between two lots
easement in gross
individual or company interest in or right to use someone else's land and this easement benefits a person or entity rather than the land
easement by necessity
created when an owner sells a parcel of land that has no legal access to a street or public way except over the sellers remaining land
easement by prescription
if the claimant has made use of anothers land for a certain period of time as defined by state law
continuous, adverse, notorious, open, exclusive (CANOE)
conditions to claim a prescriptive easement
easement by condemnation
created under the governments right of eminent domain
A personal privilege to enter the land of another for a specific purpose.
illegal extension of a building or a fence that extends beyond the land of the owner and is disclosed by either a physical inspection of the property or a spot survey, which is usually more accurate
doctrine of prior appropriation
when water is scarce, a state may control all but limited domestic use of water according to the ________
Common-law rights granted to owners of land along the course of a river, stream, or similar flowing body of water.
rights of owners whos land borders commercially navigable lakes, seas, and oceans
riparian and littoral rights are considered to be _______, which means they cannot be retained when the property is sold
increases in the land resulting from the deposit of soil by the water's action
tenancy for years
leasehold estate that continues for a definite period which always has a specific start and end date
estate from period to period (periodic tenancy)
created when the landlord and tenant enter into an agreement for an indefinite time; that is the estate does not contain a specific expiration date
created when a tenant takes possession with no definite termination date an pays monthly rent and is not used in residential leases
A tenancy whereby a lessee retains possession of leased property after the lease has expired and the landlord, by continuing to accept rent, agrees to the tenant's continued occupancy as defined by state law.
estate at will
gives the tenant the right to possess property with the landlords consent for an unspecified or uncertain term and will continue until it is terminated by either party giving proper notice
estate at sufferance
arises when a tenant who lawfully possessed real property continues in possession of the premises without the landlords consent after the rights expire
contract to transfer the lessors rights to exclusive possession and use of the property to the tenant for a specified period of time
capacity to contract, offer and acceptance, and consideration
to be valid, what does a lease require?
covenant of quiet enjoyment
lessee occupy the leased property without the interference from the owner or anyone else
used if the tenant defaults on payment of rent or destroys the premises
Fair Housing and the Pennsylvania Human Relations Act
this makes it illegal to discriminate against prospective tenants on the basis of physical disability
anyone who inspects the property receives ________
some leases grant the lessee the option to purchase the leased premises is called a __________
requires the tenants be given some period of notice before the termination
the sublessors interest in the real estate.
suit for possession (actual eviction)
When a tenant breaches a lease or improperly retains possession of the premises, the landlord may regain possession through the legal process of ________
if a tenant fails to leave, a _________ will forcibly remove the tenant and the tenants possessions
Actions of a landlord that so materially disturb or impair a tenant's enjoyment of the leased premises that the tenant is effectively forced to move out and terminate the lease without liability for any further rent.
leases are drawn up for the benefit of who?
charge a different amount of rent
What cant a landlord do just because one of the tenants has/is a child
net lease, gross lease, and percentage lease
What are the three basic types of leases?
the tenant pays a fixed rental and the landlord pays all taxes, insurance, repairs, utilities, usually residential leases.
the tenant pays all or most of the operating expenses in addition to the rent
usually applies to retail businesses, the rent is based on a minimum fixed rental fee plus a percentage of the gross or net income received by the tenant doing business on a leased property
Provides for specific rent increases at set future dates
allows rent to be increased or decreased periodically based on the changes in the consumer price index or some other index
when a landlord leases unimproved land to a tenant who agrees to erect a building on it; generally these are net leases
used when a tenant wants to purchase the property but is unable to do so
sale and leaseback
arrangement whereby the owners of property sell the property and then lease it back for an agreed period and rental; is often used when extra capital is needed on a construction project
severalty, co-ownership, and trust
what are the three basic ways a fee simple estate may be held?
when title to one parcel of real estate is held by two or more individuals
tenancy in common
each tenant holds an undivided fractional interest in the property
right of survivorship
upon the death of a joint tenant, the deceaseds interest directly to the surviving joint tenants; essentially there is one less owner
tenancy in its entirety
if the conveyance is made to a husband and wife with no further explanation
the intentional act of conveying a deed or giving the property by will or living trust
a joint tenancy can only be created by.......
unity of possession, unity of interest, unity of time, and unity of title
what are the four groups or unities that are needed to create joint tenancy?
the legal way to dissolve the relationship when the parties do not voluntarily agree to its termination
Rights of survivorship
spouses who are tenants by the entirety are _________
separate property and community property
community property law varies widely among the states but all recognize two kinds of property;
Real or personal property that was owned solely by either spouse before the marriage
consists or real and personal property acquired by either spouse during the marriage
a device by which one person transfers ownership of property to someone else to hold or manage for the benefit of a third party
upon the death of the trustee, the property passes to the beneficiary(ies) without the need for ______
in the creation of land trusts, _______ is the only asset
an association of two or more people who carry on a business for a profit as co-owners
all partners participate to some extent in the operation and management of the business and share full personal liability for business losses and obligations
consists of one or more general partners and limited partners
is a legal entity - an artificial person - created under the laws of the state from which it receives its charter
must pay taxes on its profits
limited liability company (LLC)
relatively recent form of business organization that combines the most attractive features of limited partnerships and corporations. members enjoy limited liability and tax advantages
Individual unit owners also own a specified share of the undivided interest in the remainder of the building and land
Pennsylvania Uniform Condominium Act
A Condominium is created and established when the owner of an existing building or the developer of unimproved property executes and records a declaration of condominium.
prepared by the owners association and contains pertinent financial information such as maintenance fees, possible assessments, capital expenditures, and insurance coverage
a corporation that holds title to the land and the building
Permits multiple purchases to buy interest in real estate, a form of ownership most commonly found with resort property ownership
a charge or claim against a person property made to enforce the payment of money
something of value that the borrower promises to give the lender if the borrower fails to pay the debt
a lien represents ___ in the ownership; it does not constitute ownership in the property
any charge or claim that attaches to real property and lessens its value or impairs its use that also transfers with the property
created intentionally by the property owner's action, such as when someone takes out a mortgage loan
not a matter of choice, and is created by law and may be either statutory or equitable
created by statute
created by statute without any action by the property owner
arises out of common law
affect all the property, both real and personal, of a debtor
secured by a specific parcel of land and affect only that particular property
lien belonging to a vendor for the unpaid purchase price of the property, where the vendor or the seller has not taken any other lien or security
written agreements between lienholders to change the priority of mortgage, judgment, and other liens
according to value
ad valorem taxes
based on the value of the property being taxed and are specific, involuntary, and statutory liens
when real estate is valued for tax purposes by county or township assessors or appraisers
may be applied to raise or lower assessments in a particular district or county
The way a taxing body actually authorizes the expenditure of funds and provides for the sources of the funding.
The formal action taken to impose a tax, usually by vote of a taxing district's governing body.
1/1000 of a dollar
Real estate taxes that have remained delinquent for the statutory period can be collected through a ________
equitable right of redemption
The right of a defaulted property owner to recover the property prior to its sale by paying the appropriate fees and charges.
are generally paid in equal annual installments over a period of years
Local Improvement District (LID)
A specific geographical area formed by a group of property owners working together to fund needed capital improvements
specific, voluntary lien on real estate given to a lender by the borrower as security for a mortgage loan
Specific, involuntary lien that gives security to persons or companies that perform a labor or furnish material to improve real property
notice of nonresponsibility
A notice provided by law designed to relieve property owner from responsibility for the cost of unauthorized work done on the property or materials furnished therefor; notice must be verified, recorded and posted.
decree issued by the court; becomes a general, involuntary lien on both real and personal property owned by the debtor
judgements against real estate take ____ as of the date they are filed in the prothonotary's office
writ of execution
to enforce a judgement, a creditor must obtain a __________ from the court and it directs to seize and sell as much of the debtors property as is necessary to pay both the debt and the expenses of the sale
what does lis pendens stand for?
not itself a lien, but rather a notice of a possible future lien and it notifies all interested parties that there is a potential claim against the property
Commercial Estate Broker Lien Act
enables licensed real estate brokers to file a lien for payment of services rendered
domestic support liens
involuntary liens that may be filed on all real estate owned by a person who has overdue child support obligations
title to real estate
represents the extent of the owners bundle of legal rights, the ownership of or the right to land
voluntary alienation, involuntary alienation, or by will or descent after the owner dies
what are the three ways a title may be transferred?
A written instrument by which an owner of real estate intentionally conveys right, title, or interest in the parcel of real estate to another.
owner who transers the title is known as the ____
legal capacity, legal age, specifically named
the grantor must have ________, be of ________, and be ______ in the deed
as a gift, "love and affection", stated in dollars ($10)
a deed must contain a ___________ that states the grantors intention to convey the property
That part of a deed beginning with the words "to have and to hold," following the granting clause and defining the extent of ownership the grantor is conveying.
encumbrance, reservations, or limitations
a deed should specifically note any _______, ________, and _______ that affect the title being conveyed
power of attorney
a specific written authority to execute legal instruments or perform other designated acts for another person
attorney in fact
the person designated by a POA to act on behalf of the principal
A formal declaration under oath that the person who signs a written document does so voluntarily and that the signature is genuine.
when it is delivered to and accepted by the grantor
When is the deed considered transferred?
general warranty, special warranty, bargain and sale, and quitclaim
what are the most common forms of deeds?
general warranty deed
provides the greatest protection to the buyer because the grantor is legally bound by certain covenants or warranties
appropriate for fiduciaries because they lack the authority to warrant against acts of predecessors in title
bargain and sale deed
Contains no express warranties against encumbrances, but it does imply that the grantor holds title and possession of the property.
provides the least protection of any deeds; carries no covenants or warranties and generally conveys only whatever interest the grantor may have when the deed is delivered
fee simple estate
usually, a quitclaim deed is the only type of deed that may be used to convey less than a __________
deed in trust
The means by which a trustor conveys real estate to a trustee for the benefit of a beneficiary
Used when a trustee conveys real estate held in the trust to anyone other than the trustor.
most states laws require that conveyances of real estate must be taxed
dies without a will
dies with a will
another means of involuntary title transfer; an individual who makes a claim to a property, takes possession, and may use it to take the title away from an owner who fails to use or inspect the property
heirs by descendant, or person named in the will
legally when a person dies, ownership of real estate immediately passes to either _______ or _______
a gift or personal property
gift of money
the drawing of a will must be a _______, free from any influence of another persons
any modification, amendment, or addition to a previously executed will is set forth in a this separate document
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