Real Property

REAL PROPERTY

  • “That which is immovable by law”, is incidental to the Land, Appurtenant to the Land, or goes with the Land, automatically transfers when land is sold:
  • Waterways
  • Easements
  • Above (sky rights)
  • Below (mineral rights)
  • Things Affixed to Land
  • Buildings
  • Bridges
  • Trees
  • Bushes
  • Plants or Vegetation (Wild Berries)
  • Bundle of Rights
  • Deed
  • Rights of Interest
  • Stock in a mutual water company
  • Hypothecated
  • Mobile Homes

REAL PROPERTY

  • “That which is immovable by law”, is incidental to the Land, Appurtenant to the Land, or goes with the Land, automatically transfers when land is sold:
  • Waterways
  • Easements
  • Above (sky rights)
  • Below (mineral rights)
  • Things Affixed to Land
  • Buildings
  • Bridges
  • Trees
  • Bushes
  • Plants or Vegetation (Wild Berries)
  • Bundle of Rights
  • Deed
  • Rights of Interest
  • Stock in a mutual water company
  • Hypothecated
  • Mobile Homes

REAL vs. PERSONAL

  • Crops: Which replenish themselves and do not require annual planting are usually real property
  • Crops: Which must be planted annually (emblements) such as corn or wheat are usually personal property of the owner of the farm or of a tenant farmer who planted them. All crops when cut, mortgaged, or sold, become personal property
  • Fixtures: These are items of personal property which have been attached to land and are now qualified to be permanent or real property – fixture is personal property that becomes real property. It was once something that belonged to the person, but because it has been permanently affixed, it now goes with the real estate being sold. For example, a chandelier purchased at a store is personal property. However, once it is attached (hung from the ceiling), it is now attached to the property. Another example is a sink. When it’s purchased it is personal property, but once attached, it becomes part of the real estate.
  • Trade Fixtures: Articles of personal property that are attached by a business tenant to a real property that are necessary to the carrying on of a trade and are removable by the tenant

4 LEGAL DIFFERENCES BETWEEN REAL & PERSONAL PROPERTY

Real Property

  1. Real Property can only be sold with a written contract. A listing or purchase contract.
  2. Real Property is subject to the laws of the state within which the land is located.
  3. Real Property transfers can be recorded with the State.
  4. Tax laws are different; Real and Personal Property are subject to separate tax laws.

Personal Property

  1. A Personal Property sale does not require a contract unless it exceeds $500 in value.
  2. Personal Property Laws of commerce are subject to State and Federal laws.
  3. Personal Property is not recorded with the state.
  4. Tax laws are different for Real and Personal Property.