Unit 13/14:Transfer Of Title/Title Records Flashcards
A deed must have whose signature on it?
Grantor
Notarized
Grantor
Person with legal competency to sign deed
The right to, and evidence of, ownership of land
Title
Transfer of title by gift or sale
Voluntary alienation
The written instrument by which an owner intentionally conveys the right, title, or interest in a parcel of real estate to someone else
Deed
The person who transfers title
Grantor
The person who acquires title by gift or sale
Grantee
A statement of the intention to convey property by deed
‘I hereby grant, remise, release, convey, warrant, alienate…
Granting clause
A formal declaration, made before a notary public, that the person who is signing the deed is doing so voluntarily and that the signature is genuine
Acknowledgment
One of the covenants in a deed that warrants that the grantor is the owner of the property and has the right to convey it
Seisin
One of the covenants in a deed that the grantee’s title will be good against any third party who might want to bring legal action to establish superior title
Quiet enjoyment
A conveyance by deed from a trustor to a trustee for the benefit of a beneficiary
Deed in trust
A type of deed that warrants only that the grantor received title and that the property has not been encumbered during grantor’s ownership
Special warranty
Grantee will want to purchase title insurance for protection
A deed that contains no express warranties against encumbrances, but implies that the grantor holds title and possession of the property
Bargain and sale
A deed that contains no covenants, warranties, or implications, and that provides the least amount of protections of any deed
- used to cure a title defect
- used to convey anything less than a fee simple
Quitclaim
A conveyance by deed from a trustee to anyone other than huge trustor
Trustee’s deed
A conveyance by deed from a trustee to the trustor
Reconveyance deed
The transfer of title without the owners consent
Involuntary alienation
Having prepared a will indicating how property is to be disposed of after death
Testate
The gift of real property by will
Devise
A person who makes a will
Testator
A formal judicial process to confirm a will’s validity and to see that assets are distributed correctly
Probate
A valid deed includes:
- grantor (with legal capacity - must be over 18 or Voidable)
- named grantee
- consideration
- granting clause/words of conveyance (‘I hereby grant, remise, release, convey, warrant, alienate…)
- habendum clause (defining ownership to be taken)
- legal description of property
- any exceptions or reservations
- *signature of grantor (notorized)
- delivery & acceptance
Consideration
$$$ (usually)
Words in a deed that show the grantor has received consideration for the transfer
Must be good and valuable, so if a gift can say ‘love and affection’ over ‘$245,000’
Corporate deeds
- can be passed from by laws or board of directors
- usually must be secured from shareholders
- can only be signed by an authorized officer
Provide she greatest protection to the buyer bc the grantor is legally bound by certain covenants (promises)
General warranty deed
One of the covenants that has the grantor promise to obtain any instruments needed to make the title good
Ex. If spouse failed to sign dower rights, grantor will deliver quitclaim deed to clear title
Further assistance
One of the covenants that has the grantor promise to compensate the grantee for the loss sustained if the title fails at any time in the future
Warranty forever
Adverse possession
Someone who claims a certain property and uses it may take title away from an owner who wasn't using/inspecting property for a number of years Must: -openly do it (obvious) -notorious (others see) -continuous (uninterrupted) -hostile (no consent) -adverse (to true owner's possession)
Adverse possession state laws
Range from state to state
Statutory periods can be from 5-30 uninterrupted years depending
Primary heirs of the deceased are the surviving spouse and children, parents, siblings, aunts/uncles. What title is this distribution which varies state to state?
Title by descent
Executor (executrix)
Person who possesses/presents will to court for probate
Transfer tax
Some states require taxes on conveyances of real estate
Granting clause in a special warranty deed contain the words:
“Grantor remises, releases, alienates and conveys”
Codicil
Modification to original will
Nuncupative
When the state recognizes an oral (witness) statement of transfer if no will
‘To have and to hold’ is usually in which clause?
Habendum
Probate proceedings involving real property take place where?
Both the county of where descendent resided and county of where property is located
Torrens system
Legal registration system to verify ownership and encumbrances
Standard title insurance
- defects in public record
- forgery
- incompetent grantors
- incorrect marital status
- improperly delivered deeds
Extended title insurance
Standards coverage plus:
- property inspection
- survey examination
- unrecorded liens (unknown to policyholder)
Provided by American Land Title Association [ALTA]
Not covered in title insurance policies
- known defects
- liens listed in policy
- changes brought about by zoning ordinances
Is a certificate of title a guarantee of ownership?
No
It only certifies the condition of the title
Marketable title
- no serious defects
- not exposing buyer to hazard of litigation
- convince a buyer of resale opportunities
Suit to quiet title
Court action to remove a cloud
Marketable Title Act
Limits the time in which a title may be searched (only in some states)
Does a title search start at present day and go backward or start at the beginning to present day?
Present day and then backward
Two types of notice
Constructive and actual
