What is typically the key factor that differentiates real property from personal property?

The key factor that differentiates real property from personal property is the legal attachment to the land. Real property refers to land and anything permanently attached to it, such as buildings and other structures. These items are considered part of the land and cannot be moved without altering the property itself. This legal attachment establishes that real property is immovable and tied to a specific location.

In contrast, personal property consists of movable items that are not permanently affixed to land or buildings. Examples include furniture, vehicles, and appliances. Such items can be relocated without consequence to the land or its value and do not have the same legal standing as real property.

Understanding this distinction is crucial in real estate, as it influences legal rights, property transactions, and the type of contracts used when buying, selling, or leasing property.