by Tom Bruner

Many people believe that real estate is nothing more than houses,
apartment buildings, large office structures. And while that may be
true, real estate, by definition is much more.

Once upon a time the powers that be decided to split “property” into
two separate groups. Real and Personal. What’s the difference between
these two? In a word, movability. If it moves, it’s considered to be
personal with a few exceptions.

Real property consists of three things. Land, things attached or affixed to that land and lastly, appurtenances.

Land is pretty easy. However it’s not just the land you own. You
also own sub-terrain rights, depending on your location. This is also
true with the airspace above your property. You own up to a certain
height, again depending on your location. At some point the government
takes over and says, okay that’s it. The rest is ours. We have airways
to think of and we’re not going to have every flight file a million
easements every time they took off.

Two, items attached to the land. We take this for granted. Your home
is considered an attachment. If you look on your deed, I doubt you’ll
find any mention of the structure on your land. The house transfers
with the sale because of its’ attachment to the land.

If there is a question regarding whether an item is Personal or Real, many courts use the MARIA system to decide.

M – Method of attachment – How was it attached? Foundation? Nuts and bolts?

A – Adaptability of the attachment – How easily does the attachment go with the overall structure? Think solar panels.

R – Relationship of the parties – Is this a sale? Is this between family members?

I – Intent of the parties – What was the original intent of the party installing the attachment?

A – Agreement between the parties – What did they originally agree on?

This issue usually comes up when a property is sold and the seller
wants to take an item such as an outdoor barbeque, and the buyer
insists that it comes with the sale.

Lastly, appurtenances are considered real property. The official
definition is this; A right or privilege that is attached to another
property and is conveyed with it.

Suppose Property A had a right (easement) to cross over a part of
Property Bs’ property to get to the main road. If the owner of A sells
his property, the right to cross over Bs’ goes with it. This is a type
of appurtenance, called an easement appurtenance.

As you can see, “real estate” is much more than the physical
structure that sits on a piece of land. Before buying or selling, make
sure you know what is staying and what is going.

Tom Bruner is President of Bruner & Associates,
Inc., a full service California commercial property brokerage since
1989. Tom spent four years teaching students Real Estate Principals for
Kaplan Schools.

“By spending extra time with each of my clients, I’m able to help
that investor buy or sell their income producing property by maximizing
that information. Visit me at http://www.brunerandassociates.com