Mind map

Real Estate

Rozelle Joseph English

Mind map: Real estate

Map content

Real Estate

Definition
- Real estate is a legal term
- Land includes
  - Surface of the earth
  - Area under the earth
  - Area above the earth
- i) Tangible objects
  - Freehold Land
  - Leasehold houses/apartment
- ii) Intangible objects
  - Bundle of rights
  - Easement of way/light
- Refers to an interest/ right in property
Ownership
- A. Freehold
  - i) Estate in Fee Simple
  - ii) Estate in perpetuity
- B. Leasehold
  - i) 99-999 years
  - ii) 30-60 years
  - iii) 15 years
Real property vs Personal property
- Real Property
  - goes to purchaser in a property transaction
  - deed document is used to facilitate the transfer of title of ownership
- Personal Property
  - Stays with seller in a transaction
  - Inventory list is attached to the transfer of title document
Concept
- Cost
- Price
- Value
Rights
- Right of Enjoyment
- Right of Disposition
- Right of control
- Right of Exclusivity
Fixture&Fitting
- Fixture
  - an object that is permanently attached to the floor/walls
  - not removable
  - cannot be removed without damage to itself/the property
- Fitting
  - item that is free standing
  - hung by a nail/ hook
  - removable
Physical Characteristics
- Immobile
- Scarce
- Indestructable
- Unique
Market Value
- Willing buyer
- Most probable selling price
- Both buyer and seller are well informed
- Willing seller
- At an arm's length transction
- Both act independently without undue pressure