Practice can make a big difference when studying for the Real Property MEE exam. One key concept to understand is the definition of real property.
Real property encompasses land and anything that is permanently attached to it – both natural and artificial. This includes things like ponds, lawns and patios as well as buildings, fences and in-ground pools.
Land
Land refers to a physical location with an inherent permanence. This is a major distinction from personal property, which includes tangible, movable items like cars and furniture. Land has the potential to become extremely valuable or cheap depending on a variety of factors including location and land use.
Real estate consists of the land and anything permanently attached to it, natural or unnatural, such as fences, crops, trees, buildings, and even raw materials such as wood and minerals. These can include a home, garage or other structures, but also includes grass, gardens, and ponds.
When it comes to real estate, the most common type is residential. This encompasses single-family homes and apartments, but can extend to larger areas such as a cul-de-sac or an entire subdivision. This type of real estate is governed by different laws than commercial property. These laws may include zoning regulations and other legal considerations. They also differ in terms of tax considerations.
Buildings
Generally speaking, real property refers to land and anything that is permanently attached to it, whether by nature or artificial means. So, for example, a tree growing in the yard is considered real property, as are any structures that are built on it, like houses or fences. If a person builds a wooden bench on the deck, it is an artificial attachment and therefore becomes part of the real estate.
Residential real estate includes single-family homes, apartments and condos. This type of property is intended for human habitation and is subject to specific legal considerations, including taxes. Commercial real estate focuses on the needs of businesses and includes structures like offices, malls and warehouses.
Other types of real property include agricultural, recreational and industrial. All of these are a subset of commercial and residential real estate, though they may have their own distinct purposes and tax implications. The definition of real property can get fairly complex, so it’s important for property owners to understand their rights and responsibilities. Get more information on this on sellmyhousefastmiamifl.com now.
Fixtures
The difference between fixtures and fittings can become a big deal for home sellers, buyers, builders and real estate agents. Generally, fixtures are items that are permanently attached to property like kitchen units and bathroom suites and they are typically included in the sale of a house (unless excluded in writing).
On the other hand, chattel is personal property and it includes anything movable like furniture or even something as large as a trailer. The characterization of property as chattel or fixture often depends on the method of attachment and each state or locality may have different guidelines about when an item becomes a fixture.
In general, if an item can’t be removed from the land or the building, it is likely a fixture and will include things like fences, sheds, basketball courts and even some landscaping elements. Landscaping is considered a fixture because it won’t be moving with the new owners and it can contribute to property value.
Personal Property
The distinction between real property and personal property can affect many different legal issues, such as tax laws. It is important to understand the difference because it can affect a person’s ability to exercise and safeguard his property rights. It also affects the legal application of certain laws, such as ownership contracts and property laws.
Tangible personal property, sometimes known as chattels, is anything that can be seen or felt and can be physically relocated. This includes vehicles, jewelry, furniture and household goods and appliances. This classification also applies to business equipment. Tangible personal property is subject to ad valorem taxes, which are levied in addition to the real property taxes applied to land and structures.
Intangible personal property is anything that cannot be physically touched or seen, but does have a tangible existence. Examples include intellectual property, bank accounts, investments, franchises and licenses. Intangible personal property is often secured by a security agreement, similar to a mortgage.