SOLE OWNERSHIP
Tenancy in severalty
● sole ownership of a freehold estate
CO-OWNERSHIP
● ownership by two or more owners
Tenancy in common
● co-tenants enjoy an individually owned, undivided interest; any ownership share possible; no survivorship
Joint tenancy
● equal, undivided interest jointly owned, with survivorship
● requires four unities to create: time, title, interest, possession
Tenancy by the entireties
● equal, undivided interest jointly owned by husband and wife
Community property
● per state law, joint ownership of property by spouses as opposed to separate property
● separate: acquired before marriage or by gift or inheritance
Tenancy in partnership
● ownership by business partners
TRUSTS
● property granted by trustor to fiduciary trustee for benefit of beneficiary
Living trust
● personal and real property ownership created to take effect during one's lifetime (living trust) or after one's lifetime (testamentary)
Land trust
● real property ownership where grantor and beneficiary are same party; beneficiary uses, controls property, does not appear on public records
OWNERSHIP BY BUSINESS ENTITIES
Corporation
● owned by stockholders; board of directors, officers, directors run business; liability of shareholders limited to value of shares; may own real estate in severalty or tenant in common
Partnership
● two or more partners; in general partnership, all partners run business and share liability; in limited partnership, general partners run business and are liable, limited partners liable only to the extent of their investment; both types may own real estate
Limited Liability Company
● members liability limited like in corporation, management flexible, income passed through and taxed as personal income; may own real estate
CONDOMINIUMS
● freehold ownership of a unit of airspace plus an undivided interest in the common elements as tenant in common with other owners
● may be sold, encumbered or foreclosed without affecting other unit owners
● creation: by developer's declaration
COOPERATIVES
● ownership of shares in owning corporation, plus proprietary lease in a unit; corporation has sole, undivided ownership
TIME SHARES
● a lease or ownership interest in a property for the purpose of periodic use by the
owners or tenants on a scheduled basis
Ownership of Real Estate #ownership #realestatelicensing
* IN SOME STATES THIS VIDEO CAN ONLY BE USED AS STUDY GUIDE AND DOES NOT COUNT TOWARDS CLASS TIME
For access to more videos and help passing the exam:
https://www.asktherealestateinstructor.com
Or
If you are in New Jersey and looking to change careers go to:
https://newdirection.school