Ch. 5 Forms of Real Estate Ownership Flashcards Preview

Real Estate Financing > Ch. 5 Forms of Real Estate Ownership > Flashcards

Flashcards in Ch. 5 Forms of Real Estate Ownership Deck (23)
Loading flashcards...
1
Q

common elements

A

undivided interest in the remainder of the bldg and land in a condominium

2
Q

community property

A

real and personal property acquired by either spouse during the marriage

3
Q

condominium

A

form of ownership is used throughout the US/each unit holds fee simple title to the unit/each individual unit owner also owns a specified share of the undivided interest in the remainder of the bldg and land, known as common elements

4
Q

cooperative

A

A residential multiunit bldg whose title is held by a trust or corporation that is owned by and operated for the benefit of the people living within the bldg who are beneficial owners of the trust or shareholders of the corporation, each possessing a proprietary lease to a property unit

5
Q

co-ownership

A

title ownership held by two or more persons

6
Q

general partnership

A

all the partners participate in the operation and management of the business and share full liability for business losses and obligations

7
Q

joint tenancy

A

property owned by two or more people whether married or unmarried /the deceased’s interest transfers directly to the surviving joint tenant or tenants/Right of Survivorship/to create a joint tenancy must have PITT

8
Q

limited partnership

A

consists of one or more general partners, as well as limited partners/the limited partners are not legally permitted to participate with the result that each can be held liable for business losses only to the amount invested

9
Q

partition

A

legal way to dissolve the relationship between co-owners of real estate when the parties do not voluntarily agree to its termination

10
Q

partnership

A

an association of two or more persons who carry on a business for profit as co-owners

11
Q

PITT

A

possession, interest, time and title, PITT is needed to create a joint tenancy

12
Q

right of survivorship

A

in ‘joint tenancy’ the death of a tenants interest passes to the surviving joint tenant

13
Q

separate property

A

real or personal property that was owned solely by either spouse before marriage or acquired by gift of inheritance by one spouse during the marriage, or purchased with separate funds during the marriage

14
Q

severalty

A

when property is owned by one individual, corporation, or other entity

15
Q

tenancy by the entirety

A

allows a spouse to inherit the other spouse’s ownership interest upon death

16
Q

tenancy in common (TIC)

A

each tenant holds an undivided interest in the property /the co-owners have unity of possession, meaning that each owner is entitled to possession and use of the entire property, even though each holds only a fractional ownership interest

17
Q

time-share

A

A form of ownership interest that may include an estate interest in property and that allows use of the property for a fixed or variable time period

18
Q

town house

A

A type of residential dwelling with two floors that is connected to one or more dwellings by a common wall or walls. Title to the unit and lost vest in the owner who shares a fractional interest with other owners in any common area

19
Q

trust

A

a device by which one person transfers ownership of property to someone else to hold or manage for the benefit of the third party

20
Q

trustor

A

person who creates the trust

21
Q

trustee

A

party who holds legal title to the property and is entrusted with carrying out the trustor’s instructions regarding the purpose of the trust

22
Q

REIT

A

Real Estate Investment Trust

23
Q

corporation

A

a legal entity-an artificial person-created under the authority of the laws of the state from which it receives its charger