What does the term 'alienation' refer to in real estate?

The term 'alienation' in real estate specifically refers to the process of transferring property ownership from one party to another. This can involve various forms of property transfer, such as selling, gifting, or otherwise conveying the property. Alienation signifies a change in ownership, which plays a vital role in real estate transactions and property rights.

Understanding alienation is essential for recognizing how property can be legally transferred, as it affects both the seller's right to transfer and the buyer's right to acquire the property. This transfer can either be voluntary (such as a sale) or involuntary (such as through foreclosure or eminent domain), but the core concept remains the same—alienation leads to a shift in ownership and the associated rights and responsibilities.

The other choices explore related but distinct concepts. Exchanging property for financial compensation focuses on monetary transactions rather than the broader ownership transfer. Creating a permanent restriction on property pertain to land use regulations or easements but does not involve the change of ownership. Improving property value involves enhancing or renovating property rather than transferring rights, thus it does not define alienation.