Property Types

A person or entity holds a property title to everything they own, legally. By nature, purpose, and usage, property can be divided into several types. Learning the various kinds of property makes it easier for a business or an individual to make decisions regarding investment, ownership, or legal rights. In this guide, we break down the categories of property into easy digestible pieces.

1. Real Property (Immovable Property)

Immovable or real estate property consists of land and everything that permanently attached to it. This property category cannot be moved without fundamentally changing it.
Some examples are:

• Plots of land
• Residential buildings (Flats, Houses, Apartments)
• Commercial properties (Offices, Malls, Hotels)
• Agricultural lands
• Industrial properties (factories, warehouses)

Most of the real estate is owned subject to regulations from governments (tax assessments, zoning laws). Most property ownership entails the right to utilization, leasing, or sale of the property possessed.

2. Personal Property (Movable Property)

Personal property indicates items that are not permanently attached to the land and are movable. This can be further sub-categorized into:

a. Tangible Personal Property

Tangible personal property includes items that are tangible and movable. Some examples are:

• Cars, motorcycles, and boats
• Any form of furniture and appliances
• Electronics like laptops and phones
• Jewelry and collectibles

b. Intangible Personal Property

Intangible personal property is not tangible, but has a value. Some examples are:

• Bank accounts, stocks, and bonds
• Copyrights and patents
• Brand names and Trademarks
• Software licenses and Domain names

3. Intellectual Property

Intellectual property refers to the creations of the mind to which IP rights are legally granted. Such rights enables a person or a business to claim ownership or monetize their inventions or any creative work or brand. The four common types of IP are listed below:

• Patents – Protect inventions and innovations
• Trademarks – Protect brand names, logos and slogans
• Copyrights – Protect books, music, films, and artistic works
• Trade Secrets – Information that gives the business an edge over competitors

4. Public and Private Property

a. Public Property

Public property is maintained by the government, indicating its ownership is for the public.

Some examples are as follows:

• Bridges and highways.
• Public parks and recreational libraries.
• Administrative offices.
• Public busing, rail, and taxi services.

b. Private Property

Is owned by natural persons or legal entities and such owners have absolute discretion over the use of the property. These include:

• Corporations or individuals owned residences and workplaces.
• Company private properties.
• Owned agricultural land as well as production units.

5. Common Property

This is property that is generally accepted to belong to the entire community or group as a result of their collective action. These properties are accessible to members with certain restrictions. Some of these are:

• Parks and play areas for general public use.
• Residential multifamily houses.
• Areas for common fish capture on outlying maritime regions.
• Lands cultivated by a collective of farmers.

6. Government and Trust Property

a. Government Property

Gives ownership of the territories, real estate, and properties the State owns for its administering and servicing activities, or to use for the benefit of all people. Some include:

• State-funded bases.
• Office and administrative buildings of the state.
• Roads and railways that are State-owned.

b. Trust Property

A property kept by a trustee for use by designated beneficiaries. This includes charitable, educational and religious aims and other such purposes. These include but are not limited to:

• Churches.
• Foundations for charities.
• Trusts for educational purposes.

Wrap-Up

Legal jurisdiction over diverse property types is important for economic outlines and relevant decisions.

Being informed about your rights and responsibilities enables you to make sound decisions, whether you have real estate, personal belongings, or even intellectual property. Keep in mind that different areas have different property laws, contacting an attorney is recommended when doing property transactions.

For professional assistance regarding legal issues, real estate investment, and Pranshi Infra Advisor is always here to help.