LEGAL DIFFERENCES BETWEEN REAL AND PERSONAL PROPERTY
The following are important legal differences between real and personal property:
1. To be enforceable, an agreement for the sale of real property must ordinarily be in a writing signed by the
party to be charged. An agreement for the sale of personal property must be in writing if the amount or
value of the property exceeds $500.
2. For the most part, the laws of the situs state govern the transfer of title to real property. Commercial sales
of personal property are subject to federal and state laws.
3. The state has provided by law a system for recording documents or instruments affecting the title or
interest in real property.
4. Tax laws often distinguish between real and personal property. To the property owner and the taxing
authority, the distinction may be one of considerable importance.