UNIT 7 TITLE RECORDS Flashcards
ABSTRACT OF TITLE
The condensed history of the recorded ownership of a particular parcel of real estate, consisting of a summary of the original grant and all subsequent conveyances and encumbrances affecting the property and a certification by the abstractor that the history is complete and accurate.
ACTION TO QUIET TITLE
A court action that establishes ownership when ownership cannot be traced through an unbroken chain of title.
ACTUAL NOTICE
Express information or fact; that which is known; direct knowledge.
ATTORNEY’S OPINION OF TITLE
An abstract of title that an attorney has examined and has certified to be, in the attorney’s opinion, an accurate statement of the facts concerning the property’s ownership.
CERTIFICATE OF TITLE
A statement of opinion on the status of the title to a parcel of real property based on an examination of specified public records.
CHAIN OF TITLE
The succession of conveyances, from some accepted starting point, whereby the present holder of real property deserves title.
CONSTRUCTIVE NOTICE
Notice given to the world by recorded documents. All persons are charged with knowledge of such documents and their contents, whether or not they have actually examined them. Possession of property is also considered constructive notice that the person in possession has an interest in the property.
MARKETABLE TITLE
Good or clear title, reasonably free from the risk of litigation over possible defects.
PRIORITY
The order of position or time. The priority of liens is generally determined by the chronological order in which the lien documents are recorded; however, tax liens have priority over previously recorded liens.
RECORDING
The act of entering or recording documents affecting or conveying interests in real estate in the recorder’s office established in each county. Until it is recorded, a deed or a mortgage ordinarily is not effective against subsequent purchasers or mortgagees.
SUBROGATION
The right acquired by the title company to any remedy or damages available to the insured when a title company makes a payment to settle a claim covered by a policy.
TITLE INSURANCE
A policy insuring a property owner or mortgagee against loss by reason of defects in the title to a parcel of real estate, other than encumbrances, defects, and matters specifically excluded by the policy.
TITLE SEARCH
The examination of public records relating to real estate to determine the current state of the ownership.
TORRENS SYSTEM
A method of evidencing title by registration with the proper public authority, generally called the registrar; named after Sir Robert Torrens.
