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Pass California

Ownership and Land Use, 15% of the examination

Encumbrance

Any claim, lien, charge or liability attached to and binding on real property.

Encumbrances divide into money encumbrances, which are liens affecting title and value, and non-money encumbrances, which affect physical use. Liens include mortgages, judgment liens, mechanic's liens and tax liens. Non-money encumbrances include easements, encroachments and deed restrictions. Property tax liens hold first priority by statute regardless of recording order.

See also

EasementA non-possessory right to use another's land for a specified purpose.Mechanic's lienA lien securing payment for labour or materials furnished to improve real property.

See it in a question

One question from Ownership and Land Use, so the term lands in the context the exam uses it in.

Ownership and Land Use ยท 15%Types of Ownership

Two unmarried people buy a house as joint tenants. One dies leaving a will giving her entire estate to her brother. What happens to her interest?

Written to DRE's published topic list. Not a real examination question, since reproducing those is a misdemeanour under B&P Code section 123.

Where this is tested

Property Ownership and Land Use Controls and RegulationsWhat can be owned, how it is held, what limits it, and who does the limiting. Water rights and environmental hazards carry more weight in California than almost anywhere else.15%Practise Ownership and Land Use30 questions on this area, every option explained.Practice

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