Transferring & Recording Title Flashcards
Legal Title
owner enjoys full bundle of rights
Equitable Title
party can obtain legal title subject to agreement with creditors
Notice
how ownership is evidenced to the public
Actual Notice
knowledge acquired directly through demonstrable evidence, e.g., presenting or inspecting a deed, visiting a party in possession
Constructive Notice
knowledge one could have obtained, as presumed by law; imparted by recording in public records “for all to see”
Voluntary Transfer includes?
- deed
- will
- public grant
Involuntary Transfer includes?
- descent (without will, with heirs)
- escheat (without will nor heir)
- foreclosure (loan default)
- eminent domain (public good)
- adverse possession (hostile, open use)
Descent
without will, with heirs
Escheat
without will nor heir
Foreclosure
loan default
Eminent Domain
public good
Adverse possession
adverse possession
Deeds of Conveyance: Key Characterisitics
- grantor grants deed to grantee
- legal title transfers upon intentional delivery and grantee’s acceptance
Deed Validity: Requirements
- grantor
- grantee
- in writing
- legal description
- granting clause
- consideration
- grantor’s signature
- acknowledgement
- delivery and acceptance
Deed Clauses: Premises
granting
Deed Clauses: Habendum
type of estate
Deed Clauses: Reddendum
restrictions
Deed Clauses: Tenendum
other property included
Deed Types: Bargain and Sale
“I own but won’t defend”
Deed Types: General Warranty
“I own and will defend”
Deed Types: Special Warranty
“I own and warrant myself only:
Deed Types: Quitclaim
“I may or may not own, and won’t defend”
Deed Types: Special Purpose Deeds
used for different purposes, interests conveyed, or by different parties
Transfer Tax
- documentary stamp tax: tax on conveyance of real property based on price of property conveyed
- facilitates ad valorem assessment
- payment evidenced on deed
Wills: Key Characteristics
- will transfers estate to heirs upon death
- maker = owner; devisor or testator
- heir = beneficiary or devisee
Documentary Stamp Tax?
tax on conveyance of real property based on price of property conveyed
Types of Wills: Witnessed
in writing and two witnesses
Types of Wills: Holographic
will in testator’s handwriting
Types of Wills: Nuncupative
oral will written by witnesses; generally not valid for property transfer
Validity of Will
legal age; mentally competent; entitles “last will & testament;” signed, witnessed, voluntary
Order of Title Transfer: Dies testate with heirs
- first to creditors
- then to homestead
- then to heirs by will
Order of Title Transfer: Dies intestate with heirs
- first to creditors
- then to homestead
- then to heir by laws of descent
Order of Title Transfer:: Dies intestate, no heirs
- first to creditors
- then to state by escheat
Involuntary Title Transfer: Adverse Possession
- “unwanted owner” may claim ownership to a property
- must show “claim of right” as reason
- must be notorious possession (unconcealed)
- must be hostile (possessor claims ownership)
- must be continuous for a statutory period of time
Title Records: Features
- instruments affecting title must be recorded
- gives public notice of ownership, condition of title
- determines property marketability
- protects lienholders; establishes chronology for lien priority
Title Records: Key Terms
- chain of title: successive property owners from original grant to present
- cloud of title: unrecorded claim
- suit to quiet title: lawsuit to settle claims
- abstract of title: written chronology of recorded owners, transfers, encumbrance
Chain of Title
successive property owners from original grant to present
Cloud of Title
unrecorded claim
Suit to Quiet Title
lawsuit to settle claims
Abstract of Title
written chronology of recorded owners, transfers, encumbrance
Forms of Title Evidence
- title insurance )best form of evidence
- attorney’s opinion of abstract
- title certificates
- Torrens registration
