What is the primary distinction between personal property and real property?

The primary distinction between personal property and real property lies in their definitions and characteristics. Real property refers to land and anything permanently attached to it, such as buildings, trees, and other structures. This type of property encompasses not only the physical land but also the rights associated with that land, such as the right to use, rent, or sell it.

On the other hand, personal property includes items that are movable and not fixed to any particular piece of land. Examples include furniture, vehicles, and other equipment that can be relocated without affecting their function or form.

This classification highlights the fundamental differences in how these types of property can be used, transferred, and valued. Understanding this distinction is crucial for real estate practice, as it influences contracts, ownership rights, and legal considerations related to property transactions.