What is a reverter clause in real estate?
A reversionary clause in a deed is a statement that, upon the occurrence (or non-occurrence) of a specific event or events, title to the deeded property returns (reverts) to the origi- nal owner.
What are reverter rights?
Possibility of reverter, which is where the possessory interest automatically reverts back to the grantor or devisor if, and only if, a specific condition happens. Right of entry, which is where the grantor or devisor of the future interest has the right to retake possession of the property if a condition has been met.
Is a reversion an estate?
An estate in reversion is a unique type of estate. It allows one individual to hand over possession of his real property while he still owns it. In addition, it allows an individual to dictate who lives in his real property even after he is gone.
Which of the following types of ownership estates may contain a reverter clause?
Future estates may be either reversionary estates or: Remainder estates. An estate in land that places certain restrictions on an owner’s use of the property and contains an automatic reverter clause is known as: A fee simple determinable estate.
What is the possibility of a reverter?
The possibility of reverter is a future interest held by a grantor or transferor of property as a fee simple determinable (See possessory estate). Distinct from a fee simple absolute, a fee simple determinable is an estate that has a provision that automatically reverts the property to the grantor if an event happens.
What is a succession clause?
Succession clauses in an antenuptial contract are an exception to the rule that agreements relating to inheritance are unenforceable. The parties may make provision for the succession of the survivor of them to the estate (or part thereof) of the first dying spouse.
What is an example of a reversion?
The definition of a reversion is a turn around, reversal or return to a prior condition. An example of a reversion is a couple getting married again after being divorced. A return to a former condition, belief, or interest.
What is possibility of reverter?
Which of the following is not an encumbrance on real estate?
Which of the following is NOT an encumbrance on real property? easement by prescription. the easement could be eliminated by merging the 2 properties under 1 owner.
Can a possibility of reverter be conveyed?
The possibility of reverter arises when the grantor of real property has conveyed land subject to the possibility that the estate will return to her or to her heirs if a certain specified limitation occurs.
Is a possibility of reverter alienable?
Upon the creation of a determinable fee simple estate the grantor retains an interest known as a “possibility of reverter” which is both alienable and devisable…
Who is disqualified from inheriting under a will?
The following people are disqualified from inheriting under a will: a person or his/her spouse who writes a will or any part thereof on behalf of the testator; and a person or his/her spouse who signs the will on instruction of the testator or as a witness.
What is a succession clause in an antenuptial contract?
Is possibility of reverter transferable?
The event (or nonevent) that triggers the automatic transfer of property back to the grantor is called the condition subsequent. Thus, the possibility of reverter is the interest held by the grantor that may or may not be triggered and leads to automatic restoration of ownership in the grantor/transferror.
What is an encumbrance give 3 examples of an encumbrance?
The most common types of encumbrance apply to real estate; these include mortgages, easements, and property tax liens. Not all forms of encumbrance are financial, easements being an example of non-financial encumbrances. An encumbrance can also apply to personal – as opposed to real – property.
Which of the following creates an encumbrance on real property?
A claim against, limitation on, or liability against real estate is an encumbrance. Encumbrances include liens, deed restrictions, easements, encroachments, and licenses. An encumbrance can restrict the owner’s ability to transfer title to the property or lessen its value.
What is the difference between a possessory estate and a future interest?
A future interest is in direct contrast with a present right to property, also referred to as a possessory estate. A future interest may be conditioned upon the occurrence of a certain condition or event, or it can also be unconditional. Future interests are created at the formation of a defeasible estate.
Can a right of re entry be transferred?
Right of re-entry cannot be transferred. An easement cannot be transferred. Easement is the enjoyment that the owner of the property holds with his property.
Who would hold a future interest in the house and what would that interest be called?
Both the grantor (aka transferor), who is the one that conveys the property interest, and the grantee (aka transferee), who receives the property interest, may have future interests in the property.
Who are disqualified from inheriting joint family property?
But, as per Section 26 of the law, a convert’s descendants and the children born to such descendants are disqualified from inheriting the property of any of their Hindu relatives. However, the rule does not apply if they are Hindus at the time when the succession opens.
What is the difference between a prenuptial and antenuptial agreement?
An Antenuptial contract is an agreement entered into between two parties prior to their marriage and is often referred to as a “prenuptial”. Upon entering into the agreement, the parties agree to exclude the system of Community of Property from their marriage.
Which of the following would not be an encumbrance against a property?
What is the reverter clause in a deed to a church?
CHAPTER 1 INTRODUCTION TO THE LAW OF REAL PROPERTY Reverter Clause in a Deed to a Church Was Upheld The deed provided that the property was conveyed to a church to be “used for church purposes and that in the event the property was not used for church purposes, all right, title, and interest in the property would revert to the grantor.”
Is a reversionary clause valid if the church is a nonprofit?
The fact that the church is a nonprofit corporation would not affect the validity of the reverter. In most states reversionary clauses are valid, although they may be strictly construed against the grantor.
What does it mean to be a real estate reverter?
Reverter, in the context of real property, means the return to the grantor or his/her heirs of real property after all interests in the property given to others have terminated. Reverter occurs when the property owner transfers a vested estate of lesser quantum than he started with. Reverter is also called “reversion”.