Real Estate Closing in Tennessee

Real property refers to land and anything permanently attached to it, such as buildings, trees, and minerals. Personal property, on the other hand, is movable property not attached to land, like furniture, vehicles, and jewelry.

A deed is a legal document that transfers ownership of real property from one party to another. Common types include:

• General Warranty Deed: Offers the most protection to the buyer
• Special Warranty Deed: Guarantees against defects only during the seller’s ownership
• Quitclaim Deed: Transfers whatever interest the grantor has, without warranties

Zoning laws regulate land use within a municipality. They typically:

• Separate residential, commercial, and industrial areas
• Control population density
• Preserve the character of neighborhoods
• Promote public health and safety
• Protect property values

Eminent domain is the power of the government to take private property for public use, with just compensation. It’s often used for projects like highways, schools, or utilities. The process of taking property through eminent domain is called condemnation.

Easements are rights to use another’s property for a specific purpose. Common examples include:

• Utility easements
• Right-of-way easements
• Conservation easements Easements can limit how a property owner uses their land and may affect property value.

Adverse possession is a legal doctrine that allows a person to claim ownership of land they’ve occupied for a certain period of time, even without the legal owner’s permission. Requirements typically include:

• Continuous occupation for a statutory period
• Open and notorious use
• Exclusive use
• Hostile claim (without permission)

Landlord-tenant laws vary by jurisdiction but often cover:

• Lease agreements
• Security deposits
• Maintenance responsibilities
• Eviction procedures
• Fair housing and anti-discrimination
• Rent control (in some areas)

A real estate closing (or settlement) is the final step in a real estate transaction where:

• Property ownership is transferred from seller to buyer
• Mortgage documents are signed
• Funds are exchanged
• Keys are handed over The process is typically overseen by a real estate attorney or title company.

Common contingencies in real estate contracts include:

• Financing contingency: The deal depends on the buyer securing a mortgage
• Inspection contingency: Allows the buyer to back out if issues are found during inspection
• Appraisal contingency: Protects the buyer if the property appraises for less than the purchase price
• Home sale contingency: Makes the purchase dependent on the buyer selling their current home