What are future interests in property law?
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.
What future interests mean?
n. a right to receive either real property or personal property some time in the future, either upon a particular date or upon the occurrence of an event.
Can a future interest be transferred?
A future interest is a non possessory interest (an interest that does not include a current right of possession) that can become possessory in the future. It is important to note that a future interest, although it does not grant any present right of possession, can be transferred or even sold before it actually vests.
What two types of estates are followed by future interests?
Grantees can hold two kinds of future interests: executory interests and remainders.
What is interest in property?
What is Property Interest? Ownership interest in a property refers to the rights in property of individuals and entities. The topic of property interest encompasses ownership percentage, ownership time period, transfer rights, encumbrance rights, and rights of survivorship.
Who Owns future interest in real property?
In property law and real estate, a future interest is a legal right to property ownership that does not include the right to present possession or enjoyment of the property.
What are interests in land?
The expression ‘an interest in land’ in the statutory provision requiring writing1 comprises all proprietary interests in land, whether legal or equitable. ‘Interest in land’ means any estate, interest or charge in or over land2.
What is contingent interest in property law?
21. Contingent interest. —Where, on a transfer of property, an interest therein is created in favour of a person to take effect only on the happening of a specified uncertain event, or if a specified uncertain event shall not happen, such person thereby acquires a contingent interest in the property.
What are the future interests retained in transferees?
There are two types of future interests that a transferee can have. Remainders A remainder is a future interest in one transferee which becomes possessory upon the natural expiration of a prior life estate held by another transferee. There are two types of remainders.
What are the two main types of possessory interest in real property?
The two types of possessory interests are freehold and leasehold estates. Easements and liens are non-possessory interests.
What is a possessory interest in real property?
General. A taxable possessory interest is defined as a possession, a right to the possession, or a claim to a right of the possession of publicly owned real property that is independent, durable, and exclusive of rights held by others, and that provides a private benefit to the possessor.
What are examples of property interests?
Some common possessory interests include fee simple absolute, life estate, and leasehold. Some common non-possessory interests include future interests, easements, profits, and licenses.
What is assignment of interest in property?
In real property transactions, a deed of assignment is a legal document that transfers the interest of the owner of that interest to the person to whom it is assigned, the assignee. When ownership is transferred, the deed of assignment shows the new legal owner of the property.
What is beneficial interest in real estate?
Beneficial interest. “A property interest that inures solely to the benefit of the owner,” or Property that “remains of an estate after the payment of debts and the expenses of administration”, or The right of a person having a power of appointment to appoint himself.”. Black’s Law Dictionary defines beneficial interest as “Profit,…
What is real estate interest?
The most basic definition real estate is “an interest in land”. Broadening that definition somewhat, the word “interest” can mean either an ownership interest (also known as a fee-simple interest) or a leasehold interest .