Brief HistoryHawaii is the only state in the Union that keeps one central
location for all real estate deeds. All other states delegate this
responsibility to the county level. Hawaii's unique form of recording can
be traced back to the original land tenure system of the Hawaiian
Kingdom. All land was owned by the King, but made available to everyone
else. The concept of private property did not exist.That changed with the
Great Mahele. Westerners pressured the Hawaiian government to adopt a
private system of land ownership. Bowing to that pressure, between 1845
and 1848 King Kamehameha III divided up land among the Kingdom, high-
ranking chiefs, and the territorial government. This was called the Ka
Mahele now known as the Great Mahele. Ka Mahele translated is "the
division."There are compelling arguments the native Hawaiians did not
receive their fair share of the Great Mahele. Periodically, groups or
individuals advocating native Hawaiian rights challenge the established
land ownership system. These challenges create rumors and innuendo
resulting in confusion and uncertainty.Because of confusion determining
land ownership and similar names the Land Court was established in
1903.Original registration in Land Court is done through a lengthy
process of a judicial review. The availability of title insurance has
dramatically reduced the need for judicial determination and registration
in the Land Court.Hawaii's Recording SystemHawaii has three methods to
change title on real estate. The Regular System gives "notice" of change
in title. Deeds recorded in the Land Court system are guaranteed by the
State of Hawaii. Documents recorded in both systems are referred to as a
Double System Recording.Types of ownershipHawaiian Real Estate is owned
is fee simple, as a leasehold interest or as a
timeshare.TimesharesTimeshares are fractional vacation ownership
interests in a resort. The fractional interest is usually the right to
occupy a one or two bedroom unit for one week, every year. One unit could
have 52 owners. Purchasers are granted ownership as either as a "Time-
share Estate" or as a "Time-share Use." Time-share Estate ownerships are
granted by deed and are actual real estate ownerships. Time-share Use
ownerships are granted by contract and the owner has a license or
membership interest in the time share resort. Time-share Use is not an
ownership in real estate.LeaseholdsLeasehold interest is the right to use
the land for a specific number of years, typically 55 to 75. The person
who owns the leasehold must turn the land back to the actual land owner
at the end of the lease. The leaseholder owns the improvements on the
land, but not the land itself.Ownership in a cooperative or multi-family
unit is often acquired by lease hold interest. Leasehold interests are
conveyed by an apartment lease. The apartment lease has many names:
Apartment Lease, Apartment Lease and Ground Lease, Condominium Conveyance
Document, Apartment Deed and Ground Lease, or Dwelling Lease.Fee
SimpleReal property held in fee simple is the most common form of
ownership and what a person typically thinks what it means to own real
estate. The person owns all the land, and all of the building. In the
past, transfers in ownership had words "fee simple". Fee simple meant the
new owner's use of the land and buildings had no restrictions what so
ever. Today transfers are granted subject to restrictions of an
integrated society such as zoning restrictions and access by utilities,
by local governments, and holders of mineral rights below the
surface.Typical ownerships in fee simple are single family homes and
condominiums. Single family homes are what you expect, land and home
owned together by one owner. Condominiums are multiple homes owned by
multiple owners with a "common area" owned and shared by all. Common
areas are; walk ways, parking lots, pools, BBQ areas, laundry facilities
and recreational areas.Today, grants in fee simple are conveyed with
either a warranty deed or a quitclaim deed. A person transferring
ownership with a warranty deed at a minimum guarantees he or she is the
actual owner and he or she is conveying clean title. Warranty deeds are
accompanied with title insurance. Warranty deeds are used in bona fide
sales.Quitclaim deeds are transfer of ownership with no guarantees. The
grantor basically conveys whatever ownership he or she may have. Quit
claims are essentially the owner walking away from the property. The new
owner takes the property "as is." Transfers from one spouse to another
are often quit claimed.Time shares are often conveyed with a quitclaim
deed. There is limited marketability for time shares so no real
opportunity to sell. To avoid paying annual maintenance fees an owner
gives away the property.Ohana DwellingA final type of property is the
Ohana Dwelling or Grandma's Cottage. This is separate building on the
property of the main home. It is usually much smaller and self contained.
It can be rented out or occupied by a relative, such as grandma.Need
Help?Need to transfer real estate into a trust, remove a joint tenant or
quitclaim a property? Save time, save money visit www.DeedAndRecord.com,
or contact Mark at 949-474-0961, or at Mark@DeedAndRecord.com. Office
address is 2021 Business Center Drive, Suite 207, Irvine, California
92612