Chapter 7 Part 2: Conveyance of Real Property and Title Closing Flashcards
Title
Evidence of the right to possess the party.
Title Closing
The parties and other interested persons meet to review the closing documents, execute the closing documents, pay and receive money, and receive title to real estate.
Deed
The instrument used to convey title to real property.
Survey
The process by which a parcel of land is measure. The final (this) document is a blueprint showing measurements, boundaries and area of a property.
Recordation
Provides protection for the owner’s title against all recorded titles.
Constructive Notice
All of the world is bound by knowledge of the existence of the conveyance of title if evidence of the conveyance is recorded.
Actual Notice
Requires that the person in fact knows about the document.
Torrens System
The titleholder applies to the court to register the property.
Marketable title
Reasonably free and clear of encumbrances. Before the title can be transferred, there must be evidence of (this).
Title Search
Provided through a commercially hired or personal search of records that might affect real estate titles.
Chain of Title
The search of the records establishes (this) that must be unbroken for the title to be good and, therefore marketable. It involves tracing the successive conveyances of title.
Abstract of Title
A condensed history of the title
Title Insurance Policy
A contract of insurance that insures the policy owner against financial loss if title to real estate is not good.
Real Estate Settlement Procedures Act (RESPA)
Only applies to residential federally financed or refinanced properties, not to commercial properties cash deals or owner-financed loans. It regulates lending activities of lending institutions in making mortgage loans for housing.
Closing Statement
A historical document prepared in advance of the closing. The statement sets forth the distribution of monies involved in the transaction.
