Property is considered in which two categories?

Study for the California Escrow Exam. Dive into detailed content with flashcards and multiple choice questions, accompanied by explanations and hints. Ensure your success on test day!

Property is divided into two categories: real property and personal property. Real property includes land and anything permanently attached to it—think houses, structures, fixtures, and the rights that come with ownership. Personal property covers movable items and things not permanently affixed, like furniture or appliances, as well as items that may be transferred separately from the land. In escrow practice, this distinction matters because real property transfers with the deed, while personal property requires a separate bill of sale or contract and can be included or excluded in the agreement. Some terms like “immovable property” are sometimes used, but the standard framework used in practice is real property or personal property.