Texas Real Estate Exam Study Plans

Day 1 1/17/2017

Texas Principles I #121 and Principles II #122

Property ownership right

Dispose- give away, sell, exclude

Occupy - occupy and use land subject to local governemtn regulation

Right to sell. Can sell or grant title to other

Develop - Right to build, develop,and expan real property

Finance propery. Right to mortagage, finance, DOT, devise

Use of land - grant easement, covenant, abandon , pass to heirs

Government Power

Eminent Domain- Take property for public use purpose and compensate owner

Police Power - to regulate zoning, code and tenant/landlord right

Property Taxation - City, county, school..)

Interest - right to invole the land

Lender Interest in Property - Mortage lender has interest or lien right or Encumbrance

on the property

Ownership/title property - house sold include title and estate. Owner right of ownership

as to use and possesion

Review Estate= Possesion. Right to possesion but not title. Lease can be demise.

Fee Estate - Right to pass title and possesion

Fee Absolute Estate - No restriction. Can use and pass on to heirs

Less than Fee Simple Absolut Estate - Air space or mineral was sold, and cannot

pass on to heirs

Fee Condition Estate - Restriction on usage and pass on with land

Freehold Estate (Life Estate)- allow use and possesion and pass on to heirs

FreeHold Estate - Non-inheritable - Inchoate

Life Estate - possesion for live but not pass to heir

 Legal life estate = Dower/Curtsey. Estover- Neither can sell propery, but can use for living

Conventional life estate- estate create by will or trust by original owner

Revesionary - Revert back to original onwer when heir die

Remainderman - 3rd party will become onwer when heir dies

Non-Freehold Estate

1. For Years Estate - definite ending time

2. Periodic Rental - has start and end date

3. At Suffferance Estate - tenant will not leave

4. Chattel Real - demise if tenant die

Restrive Covenants - Use of Estate

1. Fee Simple Absolute can have a restrictive covenant. Owner cannot lose property through Reverter
Clause

2. Must specify restrictive convenant through deed of sale

Restrictive Covenant Limitation

1. Can't violate stautes- cannot violate other laws

2. Enforcement of Covenant - Court action and Legal purpose

InValid Convenant

1. Rescinded - original onwer cancel covenent

2. Indifference - Years of indifference in the past

3. Othe violation - Others members violate convenant

4. termination date - RC has specific termination date

Reverter Clause

Condition Precedent - condition of owernership in their will

Conditional Subsequent - grants property transfer to heir with conditinal requirement

Estates

A freehold estate for life

Dower - father die. Mother live on

Curtsey- Mother die. Father live on

Tenancy - possesion of property

Ownership of Real Property

Encumbrance and Interest in Real Property

Texas Law of Agency 1151

Agency Law

Creating Agency

TREC Promulgated Contract Forms #351

Contract Law 1

Contract Law 2

Texas Real Estate Finance #0451

The nature and cycle of real estate financing

Money and the monetary system