Real Vs Personal

Real vs. Personal Property Understanding the difference between real and personal property—and knowing exactly where items fall on exam day—is essential because roughly 6–8 national questions touch this area, and misclassifying a fixture is one of the most common ways test-takers lose points. --- ## What Is Real Property? Real property is land, everything permanently attached to it, and the legal rights that come with ownership. It includes: - The land itself (surface, subsurface, and air rights) - Improvements — structures built on the land (houses, fences, barns) - Attached items — things physically or legally incorporated into the land or structure Real property transfers with the deed. If it's real property, the buyer gets it at closing unless the contract says otherwise. --- ## What Is Personal Property? Personal property (also called chattel) is everything that is *not* real property — movable, unattached items that go with the seller when they leave. | Feature | Real Property | Personal Property (Chattel) | |---|---|---| | Mobility | Immovable | Movable | | Transfer method | Deed | Bill of sale | | Stays at closing? | Yes (default) | No (default) | | Examples | Land, house, built-in dishwasher | Refrigerator on wheels, couch, car | --- ## The Gray Zone: Fixtures The most exam-tested concept here is the fixture — an item that *started* as personal property but has been attached to or incorporated into real property in a way that makes it legally real property. > A fixture is personal property that has become real property. Classic examples: ceiling fans, built-in bookshelves, central HVAC systems, bathroom vanities, wall-to-wall carpeting. ### The MARIA Test When it's unclear whether…