Unit 4: Public Recording System

Question 1

Who regulates the recording of policies and procedures?

Answer 1

State laws

Question 2

T/F Recordings prove the validity of the document.

Answer 2

False. Recordings do not prove the validity of the document.

Question 3

T/F A deed does not have to be recorded to be valid.

Answer 3

True

Question 4

What is the public provided with when a real estate document is recorded?

Answer 4

Constructive notice of the document’s content.

Question 5

What types of documents are usually recorded?

Answer 5

CLEMDD

Deeds, mortgages, deeds of trust, contracts for deed, easements, and long-term leases.

Question 6

T/F Recorded documents do not need to be signed.

Answer 6

False. Recorded documents should be executed (signed).

Most states even require the document to be acknowledged (notarized).

Question 7

T/F A deed that is not recorded lacks constructive or legal notice of ownership.

Answer 7

True.

Question 8

What is subordination?

Answer 8

A clause in a mortgage/deed of trust in which the lender permits a subsequent mortgage to take or change priority.