|
4 Form of Co-Ownership/Concurrent Ownership: |
|
Tenancy in Common
Joint Tenancy
Tenancy by the entirety
Community Property
|
| |
Tenancy in Common:
How you convey?
What happens when you die?
|
|
- Undivided fractional interest in the property - physical property not divided - the ownership interest is.
- Co-owners have unity of possession
- Can do what you want with your part (sell/transfer etc)
When you die - passes to heirs / according to will
|
| |
Joint Tenancy:
How you convey/create?
What happens when you die?
|
|
- Must be explicitly created by one deed
- When you die your piece goes to other owners until there is only one owner (not to heirs) Right of Survivorship.
- Free to convey but this destroy unities of Time and Title. A new owner is not a joint tenant.
|
| |
|
Four Unities required for Joint Tenancy : |
|
PITT
- Possession
- Interest
- Time (acquired at same time)
- Title (acquired by one document)
|
| |
|
Termination of Co-ownership by Partition Suit |
|
Legal way to dissolve relationship. If cannot be physically divided, court sale and division of proceeds. |
| |
Tenancy by the Entirety:
|
|
Special co-ownership for married couples
- Both parties must sign deed for title transfer
- One spouse dies, other becomes sole owner
|
| |
Tenancy by the Entirety:
How terminated? |
|
J'S DAD
- Judgment sale (court ordered to pay debts)
- Death
- Agreement
- Divorce (leaves as tenants in common)
|
| |
|
Community Property |
|
no Right of Survivorship (one half to remaning spouse, other half via will or state law) |
| |
Trusts
- Living and testamentary trust
- Land trust
|
|
Living Trust - created during owners lifetime
Testamentary Trust - by will
- Conveys Real/Personal property to a trustee who will assume certain duties. (i.e. manage for the sake of a beneficiary)
Upon death of trustee, passes to beneficiary
|
| |
Ownership of Real Estate by Business Organizations:
1) Partnership
|
|
General Partnership - equal liability / everyday mgmt etc
Limited Partnership - General & Limited partners (who cannot participate - investors)
|
| |
|
2) Corporations |
|
Legally regognized as a single person
- Can own real estate in severalty or as tenant in common
- Stock is personal property (don't have any interest in the actual real estate)
|
| |
|
3) Syndicates / Joint Ventures |
|
One of more firms/people joined in real estate investment, can be organized into other ownership forms
- Join Venture - one time thing
|
| |
|
4) LLCs |
|
Limited Liability Corporation |
| |
|
Condominiums: |
|
Refresh: Own the studs in (a fee simple title to the unit)
- Common elements owned as tenants in common
- Condo association / condo fees etc
- Established when declaration in public record made
|
| |
|
Cooperative Ownership: |
|
- Do not own unit, own an interest in the the corpoation's building asset.
- Corporation does maintenance etc
- Tenants have proprietary leases
- Burden of defaulted payment falls on co-owners (not on person like in a condo)
|
| |
|
Townhouse Ownership: |
|
Most townhouse developments are PUD's
Can transfer / sell / will etc
|
| |
|
Time Share Ownership: |
|
Time share estate
Time share use
|
| |
|
3 Basic Forms of Ownership: |
|
In Severalty - title held by 1 person
In Co-ownership
In Trust (3rd party holds title for benefit of another)
|
| |
