Chapter 13: Title Records Flashcards
When a claim is settled by a title insurance company, the company acquires all rights and claims of the insured against any other person who is responsible for the loss. This is known as?
Subrogation
Which of the following would be used to clear a defect from the title records?
A suit to quiet title
The part of the title insurance policy that sets forth all of the encumbrances and defects that will not be insured against is called the?
Schedule of expectations
An abstract of title does not provide evidence of title unless it is accompanied by a?
Legal opinion of title
A bill of sale is used to transfer the ownership of?
Personal property
When a buyer purchase her home, the title insurance policy she received did not include what?
Record of all previous owners of the property
A written summary of the history of all conveyances and legal proceedings affecting a specific parcel of real estate is called?
An abstract of title
When the preliminary title report reveals the existence of an easement on the property, it indicates that the easement is?
An encumbrance
The recorded history of matters that affect the title to a specific parcel of real property is its?
Abstract title
Generally, if some defect is found in the title to real property, the effect on a sales contract is that?
The seller has a reasonable time to correct the defect
The reformation of a warranty deed?
Protects the interests of the grantee
Documents affecting real estate are recorded are filed with the county in which the property is located to?
Give constructive notice of the real estate interest
The best assurance of good title that a real estate purchaser can obtain is a?
Title insurance policy
A document that protects against hidden risks such a forgeries and loss due to defects in the title, subject to specific exceptions is called?
A title insurance policy
The body of law that covers such topics as security agreements, financing statements, and bulk transfers is the?
Uniform commercial code
The recording of a valid deed..
Gives constructive notice of the ownership of real property
A buyer took delivery of the deed to his new house but forgot to record the deed. Under these circumstances..
The buyers interest is not fully protected against third parties.
The buyer purchases a title insurance policy on the property the buyer is pledging as security for the mortgage loan. What is true?
The amount of coverage is commensurate with the loan amount
What document would be an example of proof of ownership?
Title insurance
A defect or a cloud on the title may be cured by?
Obtaining quitclaim deeds from all interested parties
The primary reason a buyer receives title insurance is?
To ensure that the buyer has marketable title
A sales contract requires the seller to deliver marketable title. What is true?
The seller will pay all liens that are pending
An outstanding claim or encumbrance, which, if valid, would impair an owners title, is referred to as?
Cloud on title
Quieting a title refers to?
The removal of a cloud on the title by court action
What is the major difference between the owners title policy and the mortgagees title policy?
The owners policy covers the owner for the sale price of the property, while the mortgagees policy covers only the loan amount
What best describes a chain of title?
A list of successive owners of the property up to the present.
What is not true regarding title insurance?
The policy does not cover both the borrow or the lender
Which of the following is acceptable as the evidence of marketable title?
A title insurance policy
