DEFINITION

• Real estate or real property is land and the buildings thereon, including anything affixed or attached to the land that cannot be severed without damage, like a fixture inside a house (built-in cabinets) or an attached structure (garage).

• Real property differs from personal property, which is any movable or tangible thing that is subject to ownership (a pen, bike, or couch).

• Real property is either commercial, i.e., zoned for business use, or residential.

• Property is usually held in fee simple, which is unrestricted ownership, different from a life estate, which is ownership during a lifetime.

• Individuals can own property together as joint tenants, tenants in common or tenants by the entirety.

• Property passes through real estate title either by deed, foreclosure or inheritance. Prior to a real estate closing, a title search is completed, determining whether or not the property is free and clear of encumbrances. During the closing, the buyer, seller and bank's representative "pass papers" and sign all the necessary closing documents. The deed and mortgage are then recorded (filed) at the Registry of Deeds.

• Real Estate Law covers such issues as real estate conveyancing (passing title to a new owner), real estate development (developing subdivisions, commercial uses such as malls, or homes for the elderly), and land use (zoning and environmental impact).

FIND A REAL ESTATE & REAL PROPERTY LAW ATTORNEY IN YOUR AREA.

See also:

• Home Ownership, Buying, and Selling
• Tenants' Rights
• Landlords and the Law

RELATED PRACTICE AREAS

State, Local, and Municipal Law
Business & Commercial Law
Estate Planning
Environmental Law

BUZZWORDS

Closing - In the sale of real estate, the final transaction between the buyer and the seller, whereby the conveyancing documents are signed and the money and property transferred.

Encumbrance - A claim or liability that is attached to property and that may lessen its value, such as a lien, easement or mortgage.

Fee Simple - An interest in land that, being the broadest property interest allowed by law, endures until the current holder dies without heirs.

Foreclosure - A legal proceeding for the termination of a mortgagor's interest in property, instituted by the lender to either gain title or force a sale to satisfy the unpaid mortgage.

Joint Tenants - A tenancy with two or more co-owners who take identical interests. Joint tenants have a right of survivorship to the other's share.

Life Estate - Property held only for the duration of a specified person's life.

Tenants by the Entirety - A joint tenancy between husband and wife. At the death of one spouse, the property passes to the other spouse.

Tenants in Common - A tenancy by two or more persons, in divided shares. At the death of one tenant, the property passes to his/her estate.

Title - The union of ownership, possession and custody constituting the legal right to control and dispose of property.

Title Search - An examination of public records to determine whether any defects or encumbrances exist in a given property's chain of title.

Zoning - The legislative division of a region, especially a municipality, into separate districts with different regulations.