Definition of "De Jure"

The term “de jure” comes from the Latin “by law” or “by right” and is commonly used to describe something that exists according to the law or by right. While the most popular use of the term is in the practice of law and almost always can be replaced by “as a matter of law”, it can also be applied to the real estate market. In both fields, the term “de jure” is contrasted with “de facto”.

The term de jure can be defined as a practice that is legally recognized even if the practice isn’t applied in reality, by law it stands but practice doesn’t do anything to establish it. Something that is legal by law, doesn’t necessarily have to be in fact real. For instance, you can be the legal owner of a car even if you have a driver that’s at the wheel even when you aren’t occupying the car. Similarly, a car rental is the legal owner of the car, but he allows his daughter to drive one car in a de facto manner without any paperwork that attests that she doesn’t have the legal right to that car.

De Jure Possession

When it comes to real estate possession, there are two types of possession that real estate agents and homeowners need to take into consideration. While a de facto possession does not entail any legal right of the property’s inhabitants, the de jure possession is that of the owner of the property.

De jure possession is applicable when the owner of property claims their ownership through legal manners, papers, or contracts that can not be disputed by another party that may claim their right of ownership. This de jure possession does not require physical occupation or possession in order to be enforced. It can not be disputed unless a real estate transaction takes place in which the de jure possession changes hands to the new owner.

Seeing as the de jure possession is linked to the legal right to possess a property, it is not limited to homeownership. For instance, a renter with a lease agreement is also in de jure possession of the property seeing as there is a legal agreement between the owner and the renter that allows the renter to occupy the property. 

To make the distinction clear, if the de jure renter invites a friend to stay over and live there, even if the renter leaves for several days and leaves their friend to use the property, the visitor is a de facto possessor of the property, while the renter remains the de jure possessor of the property.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Terms

A stated of years. The length of time something is effective, such as a two-year rental. A condition specified in an agreement. An example is that the tenant must not have a cat in ...

Marketing attractive space at the appropriate location at a good time in the correct square footage at a reasonable price or rental charge. An example is the renting out of space for retail ...

Under law, a warranty in effect even if not expressly stated. It provides that real property sold is warranted to be appropriate for sale and is in proper condition even if not stated, ...

The basic home inspection definition is well-known for everyone, right?However, when it comes to real estate, the term “inspection” can serve a bunch of purposes – but the ...

A collection of packaged residential mortgage loans for sale in the secondary mortgage market to investors. Companies with mortgage pools expect to earn a short-term profit and use the ...

The definition of a census-designated place or CDP is rather complex and difficult to understand. We are going to try to explain it as much as possible. Starting from the top and working ...

Locating a structure after considering such factors as the homeowner's desired privacy, noise, wind, and sunlight. Position of a structure on a specific location relative to ...

Income derived from a collection of asset investments. Real property investments produce rental and lease payment income. Investments in mortgages and other long term debt instruments ...

In order to define allotment, we have to take into consideration what it refers to. While generally, it refers to a certain amount of something that is allocated to a particular person, the ...

Popular Real Estate Questions