What is the difference between a reversion estate and a remainder estate?
The key difference between a reversion and a remainder is that a reversion is held by the grantor of the original conveyance, whereas “remainder” is used to refer to an interest that would be a reversion, but is instead transferred to someone other than the grantor.
Is remainder living on property?
As long as the life tenant survives the remainderman has no right to the property. They do, however, have the right to expect that the life tenant will maintain the property in a good fashion, pay the property taxes and homeowner’s insurance premiums.
What does remainderman interest mean?
The remainderman is the person who inherits property after the termination of a life estate. For trust accounts, the remainderman receives the remaining principal after the estate has been distributed. A remainder interest is a future interest a person has in an asset.
What is remainder estate?
A remainder is a future interest in land. It is the right to own and possess the land after the fixed interest of current holder expires. Thus, a remainder can follow a life estate or a term of years. It is created by the use of the phrase “then to” or similar language.
What is a vested remainderman?
vested remainder. n. the absolute right to receive title after a presently existing interest in real property terminates. A “vested remainder” is created by deed or by a decree of distribution of an estate given by will.
Who owns a future interest in real property?
Just as when one deeds a house or other real estate to another, the transfer of this future interest is not revocable. Upon delivery of the deed, the grantors continue owning the present interest in the property for their lifetimes and are called life tenants or present owners.
Is a remainder interest a future interest?
A remainder is a future interest in a third party that vests upon the natural conclusion of the grant to the original grantee.
What does REM stand for on a deed?
Jeff Graham, Real Estate Agent Weichert Realtors-Webb & Associates. The definition of in rem in real estate is a legal case against a property rather than a person. The legal application of in rem in real estate is most often seen when a homeowner defaults on their mortgage and the bank forecloses on the property.
What is remainderman in law?
remainderman in British English (rɪˈmeɪndəˌmæn ) nounWord forms: plural -men. property law. the person entitled to receive a particular estate on its determination. Compare reversioner.
Who pays IHT on death of life tenant?
On the Life Tenant’s death, subject to any exemptions or reliefs which then apply, IHT will be payable on the combined value of the trust assets and the Life Tenant’s own estate. The trustees will be responsible for paying the proportion of the IHT payable in relation to the trust assets.
What is the difference between a vested remainder and a contingent remainder?
Contingent remainders are non-vested, future interests of a grantee that are subject to the Rules Against Perpetuities. Contingent remainders have the capacity of becoming possessory at the expiration of the prior possessory estates, cannot divest the prior estates, and must immediately divest to the transferor.