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In this video review for the real estate exam, we discuss the topics of adverse possession, real versus personal property, life estates, trade fixtures and others.

The video uses some of the quiz content from exam prep materials found on this site. 

An Important Key Word to Remember for Your Real Estate Exam:

Life estate:

A life estate is created by a deed that gives the land to the person "for life" and identifies what should happen to it after that person dies.

For example, a deed stating that land would go "to Mary for life, then to Bob" gives Mary a valid life estate, and Bob a remainder.

In this video I share my memory trick on this topic- if a property goes on to someone after the person granted the life estate dies, they get the "remainder," and are called the remainderman.

If it goes back to the person who gave a life estate to another, it "reverts" back so that is called a reversionary interest.

If the life estate is based upon someone else's lifespan, as we discuss in the video, the life estate is known as pur autre vie, or "for the life of another."

Another vocabulary word you should be aware of for your real estate exam is a trade fixture.

A trade fixture is something attached to property rented by the lessee which they are entitled to take with them after the lease ends

Remember that in most cases fixtures become part of the property and stay with it, but a trade fixture is a special exception. I like to use the example of a barber's chair. He brings it with him into a rented commercial barber shop, uses it while he is a tenant, but is allowed to take it with him when he leaves. If he does any damage installing it, he would, of course, need to fix that for his landlord. However, the trade fixture chair is not intended to stay after the lease ends and the barber moves on. 

Maria Center began her real estate career in 2003 as a real estate agent in Ohio. Currently she works as a real estate license exam tutor/instructor at PrepAgent.
She is licensed in Ohio, Florida, Alabama, Virginia, and Kentucky. She works as a Real Estate Broker at 1st Class Real Estate Expert Realtors in Philpot, Kentucky; Managing Broker at Renwick Realty in Middletown, Ohio; Associate Broker at 1st Class Real Estate Premier Homes in Ashland, Virginia; and as a broker in both Florida and Alabama. She is a licensed real estate instructor in Florida and teaches finance and appraisal in Ohio.

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