Sonic Realty

Understanding Personal Property: What You Need to Know

Understanding Personal Property: What You Need to Know

Introduction: Personal property is an integral part of our lives, encompassing the belongings we own and use in our daily activities. This blog post will delve into personal property, its characteristics, and its significance in residential and commercial contexts.

Definition of Personal Property: Chattel or movable property refers to tangible assets not permanently attached to land or structures. Unlike real property, which includes land and permanent improvements, personal property can be moved, transferred, or transported from one location to another. Examples of personal property include furniture, appliances, vehicles, clothing, electronics, and collectibles.

Characteristics of Personal Property:

  1. Mobility: Personal property is characterized by its mobility, meaning it can be easily moved or transported from one place to another. This distinguishes it from real property, which is fixed in location and cannot be physically relocated.
  2. Ownership Rights: Owners of personal property have exclusive rights to use, possess, transfer, and dispose of their belongings. These rights are protected by law and can be enforced through legal mechanisms such as contracts, leases, and sales agreements.
  3. Depreciation: Unlike real property, which tends to appreciate over time, personal property often depreciates as it ages or becomes obsolete. Factors such as wear and tear, technological advancements, and changes in market demand can all contribute to the depreciation of personal property.

Significance of Personal Property: Personal property plays a crucial role in residential and commercial settings, serving various purposes and meeting the needs of individuals and businesses alike.

  1. Residential Use: Personal property includes household items such as furniture, appliances, electronics, and clothing in residential settings. These belongings contribute to the comfort, functionality, and aesthetic appeal of homes and reflect their owners’ personal tastes and lifestyles.
  2. Commercial Use: In commercial settings, personal property extends to equipment, inventory, supplies, and other assets used in business operations. From machinery and tools to office furniture and computers, personal property is essential for conducting business activities and generating revenue.

Types of Personal Property: Personal property can be further categorized into several types, each with its characteristics and legal implications:

  1. Tangible Personal Property: Personal property consists of physical assets that can be touched, felt, and seen. Examples include furniture, vehicles, machinery, and inventory.
  2. Intangible Personal Property: Intangible personal property refers to assets that have value but do not have a physical form. Examples include patents, trademarks, copyrights, stocks, bonds, and intellectual property rights.
  3. Mixed Personal Property: Mixed personal property consists of assets that have both tangible and intangible elements. For example, a computer may include physical hardware components and software programs.

Conclusion: Personal property encompasses the tangible assets we own and use daily, from household items to business assets. Understanding the characteristics and significance of personal property is essential for individuals and businesses alike, as it influences our lifestyles, financial decisions, and business operations. By appreciating the role of personal property, we can better manage our belongings and navigate the complexities of modern life.

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DJ Peterson

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Affiliated Business Arrangement Disclosure Statement
This is to give you notice that Sonic Loans Inc., Sonic Title Agency LLC, and Sonic Realty LLC have a business relationship. The nature of the relationship between the Referring Party and the provider(s), including percentage of ownership interest, if applicable, is: Sonic Loans Inc., Sonic Title Agency LLC, and Sonic Realty LLC are all 100% owned by the same party. Because of this relationship, this referral may provide any of the above parties with financial or other benefit.
A. Set forth below is the estimated charge or range of charges for the settlement services listed. You are NOT required to use the listed provider(s) as a condition for settlement of your loan on, or purchase, sale, or refinance of, the subject property.
THERE ARE FREQUENTLY OTHER SETTLEMENT SERVICE PROVIDERS AVAILABLE WITH SIMILAR SERVICES. YOU ARE FREE TO SHOP AROUND TO DETERMINE THAT YOU ARE RECEIVING THE BEST SERVICES AND THE BEST RATE FOR THESE SERVICES.
Provider and Settlement ServiceCharge or Range of Charges
Sonic Realty LLC1%-6% of purchase price
Sonic Title Agency, LLC Title Insurance Policy: $950 - $1706 on a $250,000 property. (Rates vary and are dependent on the state, selling price, and loan amount on the property.)
Title Search Fee: $250 - $325 (where applicable)
Closing Fee: $450 - $650
Sonic Loans Inc.

This company provides various real estate mortgage loan origination activities either as a third-party originator or a mortgage broker, including loan pre-qualification, competitive bid process (when providing third-party origination services), loan origination, loan pre-approval, loan structuring, processing, and closing.

Loan Origination Charge: 0-3 % of loan amount (may include 3rd party fees)
Loan Discount Fee/points: 0.5%-6% of loan amount.
Application/Processing Fee: $0.00 - $875.00
Flood and tax service: $0.00 - $95.00
Underwriting Fee: $0.00 - $1295.00
Document Review Fee: $0.00 - $400.00
Appraisal Fee: $0.00 - $850.00
Credit Report Fee: $0.00 - $135.00

Actual charges may vary according to the particular lender selected, the particular services provided, and the underlying transaction, borrower selections, etc. Some or all of these fees may be charged by third parties and/or the Member Mortgage Lender/Mortgage Broker. The Member Lenders and Mortgage Brokers have agreed to pay a fee ranging from 0.5% to 2.75% of the loan amount to Sonic Loans in connection with a range of loan origination services provided by Sonic Loans to the Member Lender/Mortgage Broker. The fees are paid either directly to Sonic Loans by the Member Lender/Mortgage Broker or billed directly to you at closing.
B. Set forth below is the estimated charge or range of charges for the settlement services of an attorney, credit reportingagency, or real estate appraiser that we, as your lender, will require you to use, as a condition of your loan on this property, to represent our interests in the transaction.
Sonic Loans Inc. provides mortgage lender/broker services. Sonic Realty LLC provides real estate brokerage services. Sonic Title Agency LLC provides title insurance and settlement services.

Provider and Settlement ServiceCharge or Range of Charges
Appraisal Fee$0-$800
Credit Report Fee$63-$125
 Actual charges may vary depending on the lender and loan program selected which can be found on your loan estimate.
ACKNOWLEDGMENT
I/we have read this disclosure form and understand that Sonic Loans Inc., Sonic Realty, LLC, or Sonic Title Agency LLC are referring me/us to purchase the above-described settlement service(s) and may receive a financial or other benefit as the result of this referral.