5 Transferring Title

Question 1

What is a title?

Answer 1

The documentary evidence of the right of ownership such as a deed

Question 2

What is a deed?

Answer 2

A written instrument that went executed and delivered conveys title to or interest in real estate; evidence of title.

Question 3

What are the 4 methods of transferring title?

Answer 3

1. By descent
2. By will
3. By voluntary alienation
4. By involuntary alienation

Question 4

What are 4 types of transfer of title by involuntary alienation?

Answer 4

1. Lien foreclosure sale
2. Adverse possession
3. Escheat
4. Eminent domain

Question 5

What is escheat?

Answer 5

When a person dies without a will and leaves no heirs, the title to that persons real estate passes to the state.

Question 6

What is the highest and best type of deed?

Answer 6

General warranty deed.

Question 7

What are the most commonly used types of deeds in NC?

Answer 7

1. General warranty deed
2. Special warranty deed
3. Quitclaim deed

Question 8

What is another name for special warranty deed?

Answer 8

Limited warranty deed

Question 9

What are 2 warranties of special warranty deeds?

Answer 9

1. Warranty that Grantor receives title.

2. Warranty that title is free of encumbrances.

Question 10

What type of deed in which grantor and makes no promise about quality of title?

Answer 10

Quitclaim deed

Question 11

What protects the purchaser in Mortgagee from losses due to title defects?

Answer 11

Title insurance

Question 12

What is title assurance?

Answer 12

Making sure the title is clean

Question 13

What are five qualifications for adverse possession? (OCEAN)

Answer 13

1. Open
2. Continuous
3. Exclusive
4. Adverse
5. Notorious

Question 14

What is NC excise tax?

Answer 14

Deed transfer tax paid by the seller.

Question 15

How to calculate NC excise tax?

Answer 15

$1 for every $500

Sale price / 500

Question 16

What is the statutory period for adverse possession without color of title?

Answer 16

20 years

Question 17

What is the statutory. For adverse possession with color of title?

Answer 17

7 years

Question 18

What is abstract of title?

Answer 18

The condensed history of a title. 

Question 19

Which type of deed implies but there’s not specifically warrant that the grantor holds good title to the property?

Answer 19

Bargain and sale

Question 20

What is the NC Connor act?

Answer 20

A state law that that requires all conveyances of interest in real property to be recorded to be effective against claims by third parties. 

Question 21

What is the Torrens System?

Answer 21

A legal registration system used to verify ownership and encumbrances similar to the registration of ship titles

Question 22

What does the person who examines the chain of title and prepares an opinion of title for a parcel of real estate do?

Answer 22

Write a brief history of the record of ownership of the property

Question 23

Instruments affecting real estate are recorded in the public records of the county where the property is located because…

Answer 23

Recording gives constructive notice to the world of the rights and interest in a particular parcel of real estate.