Adverse Possession
The term adverse possession is a legal principle that allows a person who resides on another person’s land or possesses another person’s land to get a title for that land. There are some conditions that need to be met for this legal principle to be applied so if one simply resides or has possession of someone else’s land, that does not, in itself, grant them title to that land.
The resider or possessor of the land can receive title to the land but the conditions take into account whether they infringe the right of the actual owner and whether they possess the property for a continuous period of time.
What is Adverse Possession in Real Estate?
This legal principle can be applied in the situation where one party gets title to another party’s property. This can be done with or without the other party’s knowledge, intentional or unintentional.
Intentional Adverse Possession
Intentional adverse possession occurs in case a trespasser deliberately occupies another’s land to either live on it or take it. The trespasser is aware that the property is owned, yet they take possession of it, maintain it, and pay taxes for it.
Unintentional Adverse Possession
When a homeowner accidentally builds a fence on their neighbor’s property the situation can turn into an unintentional adverse possession. The trespasser was unaware that the land where he built the fence belongs to someone else, but as the fence is built, the trespasser is entitled to claim property title for the area occupied by the fence.
How Adverse Possession Work in Real Estate?
For adverse possession to work in real estate, there must be a claimant and a defendant. In order to be granted the title of another person’s land, the claimant of adverse possession needs to prove possession, paid taxes for the property, and a deed for the property.
The requirements necessary for the claimant’s demonstration of possession of land are:
- Continuous use - the claimant must show that they had continuous possession of the property
- Hostile takeover - the claimant must prove that there were no rent agreements, leases, or easements with the other party
- Open and notorious possession - the claimant did not hide the fact that they occupied the land and other people know this
- Actual possession - the claimant doesn’t only live there, but they pay taxes, maintain the land of the property, etc.
- Exclusive use - the claimant is the one who uses the property, no one else, and not the real owner.
In other words, adverse possession is a legal way through which someone who does not own the land, may become the owner of the land and granted title to that land. If the claimant is granted the land or property’s title, they are not required to pay the real owner money for the transfer of ownership.
Popular Real Estate Terms
The modified accrual method is defined as an alternative accounting method that combines the two basic methods of accounting, the accrual method and the cash method. While the accrual ...
The tenant is forced to leave the premises if he complains about the poor condition of the apartment or office space he has leased. This type of eviction is illegal in many states. ...
Person serving as a property administrator for someone who is incompetent due to a mental or physical deficiency. ...
An asset. The term cost is often used when referring to the valuation of acquired property. When it is used in this sense, a cost is an asset. Concepts of cost and expense are often ...
Government compensation to farmers not to grow products to preserve the land and maintain stable agricultural products. ...
Edifice constructed on the to floor of a building usually occupying less than 1/2 the roof area. A penthouse is used for two purposes; one or more luxury apartments directly accessed by a ...
Organization dedicated to creating and furnishing the most timely and effective advice and direction for the professional management and financing of facilities and services for ...
Home of 1 to 3 stories with stucco outside and a roof made of red tiles. ...
Same as term prospectus: Document that must accompany a new issue of securities for a real estate company or partnership. It includes the same information in the registration statement, ...

Have a question or comment?
We're here to help.