Chapter 5: Transfer of Title to Real Property Flashcards
abstract of title
The condensed history of a title to a particular parcel of real estate, consisting of a summary of the original grant and all subsequent conveyances and encumbrances affecting the property and a certification by the abstractor that the history is complete and accurate.
action to quiet title
A lawsuit brought in a court in order to establish a party’s title to real property and to “quiet” any challenges or claims to the title.
adverse possession
The open, continuous, exclusive, adverse, notorious possession of another’s land under a claim of title. Possession for a statutory period of 20 years in North Carolina may be a means of acquiring title.
alienation
The act of transferring property to another. Alienation may be voluntary, such as by gift or sale, or involuntary, as through eminent domain or adverse possession.
American Land Title Association (ALTA)
A title insurance policy that protects the interest in a collateral property of a mortgage lender that originates a new real estate loan.
bargain and sale deed
A deed that carries with it no warranties against liens or other encumbrances but that does imply that the grantor has the right to convey title. The grantor may add warranties to the deed at his discretion.
chain of title
The succession of title conveyances, from some accepted starting point, whereby the present holder of real property derives title.
cloud on the title
Any document, claim, unreleased lien, or encumbrance that may impair the title to real property or make the title doubtful; usually revealed by a title search and removed by either a quitclaim deed or suit to quiet title.
condemnation
A judicial or an administrative proceeding to exercise the power of eminent domain, through which a government agency takes private property for public use and justly compensates the owner.
Connor Act
A North Carolina law that requires many types of real estate documents to be recorded for protection against claims from third parties. These documents include deeds, mortgages, purchase contracts, installment land contracts, assignments, options, leases exceeding three years, easements, and restrictive covenants; a pure race statute.
constructive notice
The notice given to the world by recorded documents. All people are charged with knowledge of such documents and their contents, whether or not they have actually examined them. Possession of property is also considered constructive notice that the person in possession has an interest in the property.
covenant
A written agreement between two or more parties in which a party or parties pledge to perform or not perform specified acts with regard to property; usually found in such real estate documents as deeds, mortgages, leases, and contracts for deeds.
deed
A written instrument that, when executed and delivered, conveys title to or interest in real estate; evidence of title.
delivery and acceptance
The actual delivery of a deed by a grantor and the actual or implied acceptance of the deed by the grantee; recordation of the deed is viewed as acceptance.
eminent domain
The right of a government or municipal quasi-public body to acquire property for public use through a court action called condemnation, in which the court decides that the use is a public use and determines fair compensation to be paid to the owner.