Unit 7 Questions Flashcards
In a deed executed under a court order, the full amount of consideration is stated in the deed.
True.
Why?
One common characteristic of deeds executed pursuant to court order is that the full consideration is usually stated in the deed, instead of “$10 and other valuable consideration.”
One of the functions of probate is to determine the precise assets of the deceased person.
True.
Why
Probate is a formal judicial process that proves or confirms the validity of a will, determines the precise assets of the deceased person, and identifies the people to whom the assets are to pass.
A modification to the original will is called
a codicil.
Why?
Any modification to a previously executed will is contained in a separate document called a codicil. Additional agreements attached to an agreement of sale are addenda; an amendment is a change to the existing content of a contract. Probate is the process of determining the validity of a will.
While a deed must be delivered during the grantor’s lifetime, a will takes effect only after the owner’s death.
True.
Why?
A will is made by an owner to convey title to real or personal property after the owner’s death. A deed must be delivered during the lifetime of the grantor that conveys a present interest in property.
Title is considered transferred when the deed is actually signed and acknowledged by the grantor.
False.
Why?
Title is considered transferred when the deed is actually delivered to the grantee by the grantor.
To be valid, a deed must be signed by both the grantor and the grantee.
False.
Why?
To be valid, a deed must be signed by all grantors named in the deed. Grantees are not required to sign the deed.
In a general warranty deed, the covenant of further assurances represents a promise by the grantor that the grantor will obtain and deliver any instrument needed to ensure good title.
True.
Why?
The covenant of further assurances represents a promise by the grantor that the grantor will obtain and deliver any instrument needed to ensure good title.
When a corporation transfers ownership of property, the deed must be signed by
an authorized officer.
Why?
Proper authority for the sale must be given by bylaws or by a resolution passed by the board of directors. Shareholders are not necessarily officers, nor are brokers. A grantee does not sign a deed.
Which of these is a guarantee that the grantor has the right to convey the property?
Covenant of seisin
Why?
The covenant against encumbrances is a warranty that the property is free from encumbrances, except as so noted. The grantor further assures that everything will be done to make the title good. Quiet enjoyment guarantees that the title will be good against third parties who might try to bring legal action to gain the property.
If a trustee wanted to convey real estate back to the trustor, the trustee would use a trustee’s deed.
False.
Why?
A trustee uses a reconveyance deed to return title to the trustor.
Under state law, one-half of an intestate decedent’s property goes to the decedent’s spouse, one-fourth is divided equally among the decedent’s children, and one-fourth goes to the state. If there is no spouse, the children divide three-fourths equally. A citizen of this state dies intestate, survived by an ex-spouse and seven adult children. If the estate is $865,550, how much will each child receive under state law?
$92,737.50
Why?
The ex-spouse gets nothing. The state gets one-fourth and the remaining three-fourths will be divided equally among the seven children: $865,550 ÷ 4 = $216,387.50 to the state. The remaining amount, $649,162.50, is divided seven ways, leaving $92,737.50 per child.
A woman conveys property to a buyer by a written document that contains five covenants protecting the buyer’s title. What is the woman’s role in this transaction?
Grantor
Why?
Because the woman is conveying her interest, she is the grantor. The person who receives the interest is the grantee.
A deed is the written instrument by which an owner of real estate intentionally conveys the right, title, or interest in a parcel to someone else.
True.
Why?
A deed is the written instrument by which an owner of real estate intentionally conveys the right, title, or interest in a parcel to someone else.
Title is NOT considered transferred until the deed is
delivered to and accepted by the grantee.
Why?
The most complete answer is delivered to and accepted by the grantee during the grantor’s lifetime.
When an estate is probated, the court usually selects the executor to distribute the assets to the heirs.
False.
Why?
The executor is usually named in the will.
