What is the exam-ready distinction?
| Roadmap post | 168 of 500 |
|---|---|
| Official syllabus topic | Property Ownership: Classes of Property; Fixtures and Trade Fixtures |
| Official PSI area | Property Ownership |
| Published weight | 10% of the 100-question national portion |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
| Content checked through | August 2, 2026 |
The Rule
PSI publishes a weight for the complete official area, not a guaranteed count for this individual comparison. Use the source, document, actor, event, and timing stated in the question before applying a memorized definition.
Side-by-side comparison
Read across each row. The terms are deliberately compared on identical dimensions so the difference remains clear when the exam hides the vocabulary inside a scenario.
| Decision dimension | Fixture | Trade fixture | Personal property |
|---|---|---|---|
| What it is | Former personal property treated as part of the real estate | Tenant-installed item used in a trade or business | Movable item that remains separate from the land |
| Main test | Attachment, adaptation, intent, and agreement | Business use, tenant ownership, lease terms, timely removal, and repair | No annexation or agreement converting it to realty |
| Typical transfer | Usually passes with the deed unless excluded | Usually removable by the tenant within the lawful lease period | Transferred by bill of sale or other personal-property method |
| Classic example | Built-in kitchen cabinets | A tenant restaurant's removable commercial oven | A freestanding table |
Decision rule
Georgia-specific distinction
Worked example
Scenario. A salon tenant bolts styling stations to the floor for business use and removes them before the lease ends, repairing the holes.
Reason it through. The tenant installed the items for its business, removed them timely, and repaired the premises. Those facts point to trade fixtures rather than landlord-owned fixtures.
Answer. Treat the stations as removable trade fixtures unless the lease says otherwise.
Common exam traps
- Treating attachment as the only test
- Assuming every tenant installation is a trade fixture
- Ignoring the lease
- Removing a trade fixture after the lawful deadline
Original practice questions with detailed explanations
These are original instructional questions mapped to the July 1, 2026 PSI outline. They are not copied from PSI or any live examination. Choose an answer before opening the explanation.
Question 1Which fact most strongly distinguishes a trade fixture from an ordinary fixture?
- A. A tenant installed it for use in the tenant's business.
- B. It is expensive.
- C. It touches a wall.
- D. It can be seen during an inspection.
Show answer and explanation →
Answer: A. A tenant installed it for use in the tenant's business.
A tenant installed it for use in the tenant's business. is correct. A fixture began as personal property but became part of the real estate through the objective facts and agreement. A trade fixture is installed by a tenant for business and is generally removable under the lease if removal is timely and damage is repaired. Personal property remains movable and does not pass with the deed unless separately included. The rejected choices are It is expensive.; It touches a wall.; It can be seen during an inspection.. Each misses the legal category or controlling fact stated in the rule.
Question 2A salon tenant bolts styling stations to the floor for business use and removes them before the lease ends, repairing the holes.
- A. They automatically belong to the landlord because bolts were used.
- B. Treat the stations as removable trade fixtures unless the lease says otherwise.
- C. They are fixtures that always pass with a deed.
- D. They are abandoned because all business equipment becomes real property.
Show answer and explanation →
Answer: B. Treat the stations as removable trade fixtures unless the lease says otherwise.
The tenant installed the items for its business, removed them timely, and repaired the premises. Those facts point to trade fixtures rather than landlord-owned fixtures. Therefore, Treat the stations as removable trade fixtures unless the lease says otherwise. The other choices fail because they replace those controlling facts with a neighboring concept or an unsupported absolute rule.
Question 3What should a candidate identify first when comparing Fixture Versus Trade Fixture Versus Personal Property?
- A. The option with the longest definition, without classifying the facts.
- B. A memorized Georgia rule, even when the question asks for a national concept.
- C. Classify who installed the item, why it was installed, how it is attached or adapted, what the agreement says, and whether removal is timely.
- D. The answer that sounds most favorable to the buyer, regardless of the document or event.
Show answer and explanation →
Answer: C. Classify who installed the item, why it was installed, how it is attached or adapted, what the agreement says, and whether removal is timely.
Classify who installed the item, why it was installed, how it is attached or adapted, what the agreement says, and whether removal is timely. That sequence identifies the legal category before the label. Choosing by definition length ignores the facts, importing a Georgia rule can answer the wrong jurisdictional question, and favoring one party substitutes sympathy for classification.
Mastery tracking
Mark this distinction mastered only when every statement is true.
- Define every compared term without using the other term as the definition.
- Rebuild the comparison table from memory.
- State the decision rule and Georgia distinction without notes.
- Solve the worked example after changing one controlling fact.
- Explain why every trap and distractor is tempting but wrong.
- Answer all three original questions correctly in mixed practice on a later day.
Recommended next lesson
Continue with Real Property Versus Personal Property. Continue to roadmap comparison 169.
Return to the complete exam-concept library or the Property Ownership hub.