Real Estate Dynamics: Chapters 3 And 4 Vocabulary

Front 1

one for whom title is held under and is entitled to receive income from the trust

Back 1

beneficiary

Front 2

regulates the use of property held under condominium ownership and other subdivisions

Back 2

covenants, conditions, & restrictions

Front 3

those areas in a condominium that each unit owner has the right to use in common with other owners

Back 3

common elements

Front 4

a type of concurrent ownership between husband and wife that entitles each spouse to half of all property acquired by their mutual efforts during the marriage

Back 4

community property

Front 5

a form of ownership where more than one person has an interest in the same property at the same time

Back 5

concurrent ownership

Front 6

a form of concurrent ownership in which each occupant of a multiple unit building holds fee simple title to individual units; common areas are co-owned by the unit owners as tenants in common

Back 6

condominium

Front 7

a form of concurrent ownership in a multi unit building in which a corporation holds title to the land and improvements; each unit owner buys stock in the corporation for the exclusive right to use a particular unit for the life of the corporation; the owner is assured this by a proprietary lease

Back 7

cooperative

Front 8

one who owns an interest in property simultaneously with another; also known as co-tenant

Back 8

co-owner

Front 9

a type of partnership that allows each partner to participate in the management of the business, but holds the partners jointly and personally responsible for the obligations incurred by the partnership

Back 9

general partnership

Front 10

a form of concurrent ownership involving one title that is shared equally with co-owners; upon the death of a co-owner, the decedent's interest passes equally to the remaining co-owners

Back 10

joint tenancy

Front 11

one who co-owns property in joint tenancy

Back 11

joint tenant

Front 12

a partnership formed for the business of carrying out a particular business without the intent to establish a permanent business relationship

Back 12

joint venture

Front 13

a trust in which the beneficiary retains control over the property held by the trustee; the trustee's duty is simply to sign at the beneficiary's request all documents that are necessary to convey, mortgage, or lease the property

Back 13

land trust

Front 14

a unique form of ownership not classified as a corporation, but an association similar to that of a limited partnership; management responsibilities are vested in its members and members are not personally liable for the debts of the company; members are not stockholders and therefore profits are not taxed at the corporate level

Back 14

limited liability company

Front 15

a partnership made up of general and limited partners; a general partner has the responsibility of managing the business of the partnership and is held liable for its obligations; limited partners are investors who do not participate in the management and are liable only to the extent of their investment

Back 15

limited partnership

Front 16

a trust created by a property owner during his/her lifetime for the purpose of providing financial care for the family or self

Back 16

living trust

Front 17

a legal action to divide or sell property held as tenancy in common or joint tenancy; this legal procedure is available to co-tenants unable to mutually agree on a plan of division or sale of the property

Back 17

partition suit

Front 18

a lease used with cooperative ownership to ensure the tenant of the exclusive right to use a particular unit in a multiple unit building

Back 18

proprietary lease

Front 19

a trust that must be managed by a board of trustees who invest in real estate for at least one hundred beneficiaries (investors) in order to qualify for certain income tax benefits

Back 19

real estate investment trust (REIT)

Front 20

a right that allows a deceased co-owner's interest in property to pass to the surviving co-owners rather than the estate of the deceased

Back 20

right of survivorship

Front 21

ownership by one person or a single legal entity; also know as sole ownership

Back 21

severalty ownership

Front 22

a group of persons or firms who combine their resources for the purpose of investing or dealing in real estate

Back 22

syndicate

Front 23

a special form of joint tenancy between a husband and wife; both own an equal share of an undivided interest in the entire property with the right of survivorship; any instrument to convey or transfer interest in the property must be signed by both parties

Back 23

tenancy by the entireties

Front 24

a form of concurrent ownership where co-owners hold an equal or unequal undivided interest without the right of survivorship

Back 24

tenancy in common

Front 25

a form of concurrent ownership in which title is held by either a general or limited partnership in a registered trade name

Back 25

tenancy in partnership

Front 26

a trust created by a will

Back 26

testamentary trust

Front 27

a special form of condominium ownership that allows multiple owners to use the same unit during different periods of each year

Back 27

time-sharing

Front 28

an arrangement in which title to a property is held by a trustee on behalf of a beneficiary

Back 28

trust

Front 29

a person or institution that holds title to property for the benefit of another under specific instructions for the use of and disposition of that property

Back 29

trustee

Front 30

one who creates a trust by conveying title to a trustee

Back 30

trustor

Front 31

in order to create a joint tenancy, most states require that four events occur simultaneously; all tenants acquire interest at the same time, all owners share the same title to the property, all owners share an equal interest, and each owner have the equal right of possession

Back 31

unities of joint tenancy

Front 32

a condensed history of all conveyances, liens, encumbrances, judgments, and other court decisions affecting the property

Back 32

abstract of title

Front 33

the acquisition of tile by the owner of real property to those things attached to the property by others; such as tenants, trespassers, or nature

Back 33

accession

Front 34

the gradual addition of land resulting from some natural force, such as the action of wind and/or water; the two processes alluvion and dereliction

Back 34

accretion

Front 35

a court action to settle a title dispute or clear a title of defects

Back 35

action to quiet title

Front 36

knowledge that one acquired from what was heard, read, or observed

Back 36

actual notice

Front 37

a method of acquiring title to real property by the unauthorized occupation of another person's land; it must be actual, hostile, open, notorious, exclusive, and continuous for a period of time defined by state law

Back 37

adverse possession

Front 38

a form of accretion where the soil is gradually accumulated on land bounded by a river, lake, or other body of water as a result of the action of the water

Back 38

alluvion

Front 39

the act of witnessing a person's signing of a document, such as a deed or will, then signing the document as a witness

Back 39

attestation

Front 40

the loss of land caused by the sudden or violent change of a river, stream, or other body of water

Back 40

avulsion

Front 41

a title examiner's written opinion of the current condition of a property title based on a search of the public records dating back a specified number of years

Back 41

certificate of title

Front 42

the recorded history of the conveyances affecting a property's title beginning with the original patent or grant from the government and continuing to the current owner

Back 42

chain of title

Front 43

any claim, lien, or encumbrance that impairs title to real estate

Back 43

cloud on the title

Front 44

a written instrument executed for the purpose of amending an existing will

Back 44

codicil

Front 45

a title condition that appears to be good, but in fact is not valid due to certain defects, such as a forged deed

Back 45

color of title

Front 46

knowledge that one is presumed by law to have, even though there is no actual knowledge of the fact; may be given by recording an instrument in public records or by taking possession

Back 46

constructive notice

Front 47

the document used to transfer interest in real property; such as a deed, lease, mortgage, etc.

Back 47

conveyance

Front 48

a deed provision in which the grantor promises to perform any acts necessary to produce whatever documents required to perfect title for the grantee

Back 48

covenant of further assurances

Front 49

a deed provision in which the grantor promises the grantee shall be free of interference from acts or claims of others having a superior claim of title to the property

Back 49

covenant of quiet enjoyment

Front 50

a deed provision in which the grantor promises that at the time of conveyance, he/she owns the property and has the right to convey title

Back 50

covenant of seizin (seisin)

Front 51

a deceased person

Back 51

decedent

Front 52

a written instrument when properly executed and delivered by the grantor, during the grantor's lifetime, conveys the grantor's interest to the person who accepts it, known as the grantee

Back 52

deed

Front 53

a deed used in many state in lieu of a mortgage, title is held by a trustee on behalf of the lender (beneficiary) until the borrower (trustor) repays the loan

Back 53

deed of trust

Front 54

a process of accretion where the usable land is gradually exposed when a body of water recedes and remains below its normal waterline

Back 54

dereliction

Front 55

a person named to receive real property in a will

Back 55

devisee

Front 56

a person who disposes real property in a will

Back 56

devisor

Front 57

the gradual wearing away of land caused by the action of wind and/or water

Back 57

erosion

Front 58

a government right for land to revert back to the state when the owner dies without leaving a will or without heirs

Back 58

escheat

Front 59

a person named in a will to handle the estate of the decedent

Back 59

executor

Front 60

a court ordered proceeding to sell property to satisfy certain debts of the owner

Back 60

foreclosure sale

Front 61

a deed that offers the most comprehensive title protection of any deed; the grantor fully warrants good title to the property through the expressed or implied covenant of seizin, covenant against encumbrances, covenant of quiet enjoyment covenant of warranty forever, and the covenant of further assurances; the covenants apply to the defects at any time before title is conveyed by the grantor

Back 61

general warranty deed

Front 62

an essential element of a will or contract that requires all parties enter into the will or contract under their own free will, absent of fraud, misrepresentation, duress, menace, or undue influence

Back 62

genuine assent

Front 63

a deed in which the consideration is love and affection; such deeds are normally used to make a gift of real property to a relative or friend; sometimes called a voluntary deed

Back 63

gift deed

Front 64

a person who receives the grantor's interest in real property by deed

Back 64

grantee

Front 65

a deed provision where the grantor clearly expresses the intent to make a present conveyance to the grantee; also called words of conveyance

Back 65

granting clause

Front 66

a person or legal entity that conveys an interest in real property by deed

Back 66

grantor

Front 67

a public recording system that lists alphabetically all grantors and grantees named in the documents recorded each calendar year; a separate index book is maintained for grantors and grantees so the book and page number of a document can be located by searching either name

Back 67

grantee-grantor index

Front 68

a deed restriction that defines the extent of ownership rights granted; such as a life estate, fee simple, or easement; usually part of the granting clause

Back 68

habendum clause

Front 69

a will dated and signed in the testator's handwriting that need not be witnessed

Back 69

holographic will

Front 70

to die without a will or having an invalid will

Back 70

intestate

Front 71

a transfer of title to real property without the owner's consent

Back 71

involuntary alienation

Front 72

an oral will declared by a person in the expectation of death and made for the purpose of disposing of personal property; to be valid, it must be reduced to writing and properly witnessed

Back 72

nuncupative will

Front 73

a method of involuntarily transferring the title to real property; when joint tenants or tenants in common cannot mutually agree on a plan for dividing their co-ownership, the court will issue an order to sell the real property with the proceeds paid with the proceeds paid to the co-owners according to their percentage share of ownership

Back 73

partition sale

Front 74

a court that determines the validity of a will; if a person dies intestate, the court will determine the rightful heirs and appoint an administrator to distribute property according to the court's decree

Back 74

probate court

Front 75

a deed without either expressed or implied warranties; it simply conveys whatever interest, rights, or title the grantor has in the property, if there is any

Back 75

quit claim deed

Front 76

usable land exposed by the process of dereliction

Back 76

reliction

Front 77

a deed that conveys title to a property sold to satisfy either a mortgage, judgment, or tax lien

Back 77

sheriff's deed

Front 78

a deed in which the grantor fully warrants good title to the property through the expressed or implied covenant against encumbrances, covenant of quiet enjoyment

Back 78

special warranty deed

Front 79

the process of combining successive periods of continuous occupation of real property by different adverse possessors in order to establish the required statutory period of continuous possession; usually limited to blood relatives

Back 79

tacking

Front 80

a deed used to convey title to property sold by the government for non-payment of taxes

Back 80

tax deed

Front 81

evidence of ownership of real property

Back 81

title

Front 82

a system of title registration that lists the property owner and all adverse legal claims, liens, and encumbrances on a certificate issued and recorded by a public official; the current condition of title can be determined from the certificate without the traditional search through public records

Back 82

Torrens system

Front 83

a deed when properly executed and delivered by a trustee, conveys real estate held in a trust

Back 83

trustee's deed

Front 84

a transfer of title to real property initiated by the owner

Back 84

voluntary alienation

Front 85

a deed that guarantees good title through the expressed or implied covenant of seizin, covenant of encumbrances, covenant of quiet enjoyment, covenant of warranty forever, and covenant of assurances; depending on the extent of the grantor's liability, the deed may be either expressed or implied

Back 85

warranty deed