Real property is distinguished from personal property primarily through its definition, which encompasses land and everything that is permanently attached to it, such as buildings, trees, and other structures. This encompasses not only the physical land itself but also the rights that come with owning that land, such as the right to use and modify it.
In contrast, personal property refers to movable items that aren't permanently affixed to or associated with the land. This typically includes items like furniture, vehicles, and other assets that can be relocated without damaging them or the land itself. Understanding this distinction is crucial in real estate, as it impacts legal ownership, transferability, and taxation of both types of property.