Real Property

That which is immovable.

• Land,
• Anything affixed to land,
• Anything incidental to land, or 
• Anything appurtenant to land 

Appurtenance

The right or interest that goes along with or pertains to a piece of land, including air rights, water rights, mineral rights, and support rights.

Affixed

v. 1) to attach something to real estate in a permanent way, including planting trees and shrubs, constructing a building, or adding to existing improvements. The key is that affixed items are permanent and cannot be picked up and moved away like a washing machine.

Pop Quiz

Real property is _____ while personal property is _____.

Real property is IMMOVABLE while personal property is MOVABLE.

Land

Solid part of the surface of the earth, everything affixed to it by nature or by man, and anything on it or in it, such as minerals and water.

Bundle of Rights

Rights the law attributes to ownership of property.

The Rights, Privileges, and Interests associated with land ownership are also considered part of the real property. Real property is the land plus a bundle of rights.

Water Rights

Riparian Rights

Water rights of a landowner whose proprety is adjacent to or crossed by a watercourse that flows downstream.

Littoral Property

Land that borders on a stationary body of water (such as a lake). Ocean water is considered littoral water, and oceanfront landowners are littoral owners.

Appropriative Rights

If a landowner isn't located next to a body of water, they still may have appropriative rights. Obtained from the government through a permit system.

Ground Water

Water rights may also pertain to ground water, which is water in underground aquifers.

Mutual Water Company Stock

Stock in mutual water company is considered appurtenant to real property. A mutual water company is created to secure adequate water supplies at reasonable rates for water users in a particular area. Stock "runs with the land", meaning it will pass automatically along with title when property sells.

Pop Quiz

The term "water table" refers to

• the volume of flow of surface water
• the depth at which water may be found
• a chart for predicting lake and river levels
• a measurement of water quantity

2. The water table is the level at which subsurface water can be found underground.

Mineral Rights

Solid minerals under the surface of the earth are considered part of the real property until they are extracted, at which point they become personal property.

Attachments

Anything permanently attached to the land.

Considered part of the land.
Two types: Natural & Manmade

Natural Attachments

Attached to the earth by roots.
Trees, shrubs and crops.

Doctrine of Emblements

Man-made attachments

Fixtures. Houses, fences, patios and other man-made improvements.

Lumber stacked on a site is personal property. Once a structure is complete, the lumber used to build it becomes real property.

Pop Quiz

M.A.R.I.A.

MARIA

• M ____________
• A ____________
• R ____________
• I ____________
• A ____________

MARIA

• Method of Attachment
• Adaptation of Item to Realty
• Relationship of Parties
• Intention of Installer
• Agreement (Written Consent)

Mobile Homes

Personal Property until it is placed on permanent foundation and legal steps have been taken to have it certified as Real Property.

Real Estate Salesperson can sell it while it's still personal property if it has been registered with Dept. of Housing and Community Development.

Must be reported to Dept. within 10 calendar days.

Bill of Sale

Bill of Sale Must:

• Be in Writing
• Identify the Parties
• Be Signed by the Parties

Pop Quiz

Which is not considered appurtenant to land?

• Watercourses
• Fences
• Dwellings
• Trade Fixtures

4. Trade Fixtures

Because they are installed by a tenant who has the intention to remove them, trade fixtures are not considered part of the real property.

Methods of Legal Description

Metes and Bounds

Point of beginning: Metes and bounds begins at well-defined point along the boundary of a tract of land, called point of beginning.

A metes and bounds description continues with series of courses and distances until the parcel's boundaries have been described all the way around.

Government Survey

Principle Meridian & Base Line

Grids are composed of 2 sets of lines, one set running north/south, the other running east/west. Each grid is identified by a principal meridian and its base line.

Township lines & Range lines

Township Lines are east/west lines, dividing land into township tiers.

Range lines are north/south lines, dividing land into vertical columns called ranges.

Townships

Area of land located at the intersection of a range and a township tier.

Sections

Each township contains 36 sections. Each section is one square mile or 640 acres.

Recorded Map

When land is subdivided, lots and blocks are mapped out by surveyor on subdivision map, called a plat map or just a plat.

The plat is recorded in the county where the land is located.

Pop Quiz

How many?

• __ sq. miles in a township
• ___ acres in a sq. mile
• _____ sq. feet in an acre
• ____ feet in a mile
• __ sq. feet in a sq. yard

Memorize These

• 36 sq. miles in a township
• 640 acres in a sq. mile
• 43,560 sq. feet in an acre
• 5,280 feet in a mile
• 9 sq. feet in a sq. yard

"_______________"

A prejudgment lien on property, obtained to ensure the availability of funds to pay a judgment if the plaintiff prevails.

Attachment Lien

"_______________"

A document that when signed by the grantor and legally delivered to the grantee conveys title to real property.

Deed

"_______________"

A person named in a will to carry out the directions contained in the will.

Executor

"_______________"

In California, this begins on July 1 and ends on June 30 of the following calendar year.

Fiscal Year

Sample Exam #1

#1
Glen has an easement that entitles him to use Fred's property. If Glen is not a property owner, his easement is a/an:

a. Restricted easement
b. Non-possessory encroachment
c. Easement in gross
d. Easement appurtenant

c. Easement in gross

An easement in gross benefits a person rather than a parcel of land. It burdens a servient tenement, for the benefit of a dominant tenant.

#2
In which of the following ways can a joint tenancy be created?

a. By a husband deeding property to himself and his wife as joint tenants
b. By joint tenants deeding the property to both themselves and others as joint tenants
c. By tenants in common deeding property to themselves as joint tenants
d. All of the above.

d. all of the above

Any of these ways can be used to create a joint tenancy, so long as the transfer fulfills the requirements of the unities of interest, time, title, and possession.

#3
How many whole townships could fit into a parcel of land that is 28 miles square?

a. 28
b. 22
c. 16
d. 11

c. 16

Remember that a township is six miles on each side. If a parcel is 28 miles long on each side, you could fit four townships along the length and the width of the parcel. (The parcel isn't big enough to fit five along each side.) Multiply four by four to find that 16 townships fit in the parcel.

#4
A buyer under a land contract will acquire:

a. The right of possession
b. The right to sell or will the property
c. Equitable title
d. All of the above

d. All of the above

A land contract buyer (or vendee) will take possession imediately, and receives equitable title to the property. The vendee may sell or will his interest in the property.

#5
Which of the following items is something for which a homeowner could adjust his cost basis??

a. A new deck
b. Mortgage interest
c. Homeowner's insurance
d. Depreciation

a. A new deck

As a capital improvement, a new deck would be added in calculating the adjusted cost basis. Note that depreciation is not taken into account when calculating the adjusted basis of a personal residence.

#6
An escrow agent is authorized to:

a. Advise buyers as to financing
b. Amend the broker's commission amount
c. Call for funding of the buyer's loan
d. Order a structural pest control inspection and any necessary corrective repairs

c. Call for funding of the buyer's loan

The escrow agent usually requests funding of the buyer's loan after preparing the escrow instructions, ordering the title search, and accepting the pest control reports. The other activities listed are outside the scope of the escrow agent's authority.

#7
A trust deed would be signed by the:

a. Beneficiary
b. Trustee
c. Trustor
d. Trustee and beneficiary

c. Trustor

Only the Trustor needs to sign a valid deed of trust. The trustor is the one who is pledging his property as collateral so, just as a deed only needs to be signed by the grantor, only the trustor needs to sign.

#8
If a buyer fails to examine public records relating to a property, the buyer is still considered to have:

a. Actual notice
b. Constructive notice
c. Conditional notice
d. Contingent notice

b. Constructive notice

Recording a document provides constructive notice to the world of its existence. A person has constructive notice of a fact if he should know the fact, whether or not he actually knows it.

#9
A licensee may list or sell:

a. A new mobile home
b. A registered mobile home
c. Any mobile home over 32 feet in length
d. Any mobile home, with a deed

b. A registered mobile home

A licensee may not list a 'new' mobile home. The mobile home must be registered with the Dept. of Housing and Community Development first, or else be permanently attached to real property.

#10
A lis pendens action is effective:

a. During the time that a legal action is pending
b. Until the action is dismissed
c. Until a final judgment is rendered
d. All of the above

D. All of the above.

A lis pendens remains effective as long as the court action is pending - in other words, until the lawsuit is decided or dismissed.