Unit 9 - Title, Deed & Ownership Restrictions Flashcards
Abstract of Title
Condensed history of title to real property consisting of a summary of the links in the “chain of title” extracted from documents bearing on the title
Acknowledgement
Formal declaration before an authorized official, by the person who executed the instrument, that it is a free act
Actual Notice
Information a person has actually learned by reading, seeing or hearing.
Adverse Possession
A method of obtaining title to real property by occupying it in an open and hostile manner contrary to the interests of the owner
HOT CAN is acronym for Adverse Possession
Alienation
The act of transferring ownership, title or an interest or estate in real property. Alienation can be voluntary or involuntary
Appurtenance
A right or privilege associated with the property, such as a parking space.
Assignment
Written instrument that serves to transfer the rights of one person to another.
Chain of Title
A successive listing of all previous holders of title (owners) back to an accessible starting point
Condemnation
The taking of private real property for a public purpose under the right of eminent domain for a fair price
Construction Lien
A claim based on the principle of “unjust enrichment”; favors parties who have performed labor or delivered materials or supplies for the repair or building of an improvement to real property
Constructive Notice
The recording of a document or an instrument in the public records designed to give adequate notice to all.
Deed
A type of conveyance; a written instrument to transfer title to real property from one party to another.
Deed Restriction
Provision placed in deeds to control future uses of the property
Easement
A right, privilege or interest in real property that one individual has in lands belonging to another; a legal right to trespass; a right of way authorizing access to or over land.
Easement Appurtenant
An easement that runs with the land and benefits an adjacent parcel of land.
Easement by Necessity
An easement created by a court of law in cases where justice and necessity dictate it, such as when property is landlocked.
Easement by Prescription
A right acquired by an adverse user to use the land of another, created through a court of law after long and uninterrupted use
Easement in Gross
A type of easement that benefits an individual or business entity and is not related to a specific adjacent parcel, for example, utility easements
Eminent Domain
The constitutional right given to a unit of government to take private property involuntarily, if taken for public use and a fair price is paid to the owner.
Encroachment
Unauthorized use of another person’s property
Equitable Title
The beneficial interest in real estate that implies that an individual will receive legal title at a future date.
Escheat
The reversion of property to the state, on the owner’s dying without leaving a will or any known legal heirs.
General Lien
A claim that may affect all the properties of the debtor.
General Warranty Deed
An instrument of conveyance containing the strongest and most comprehensive promises of further assurance possible for a grantor (seller) to convey to a grantee (buyer).
Grantee
Party who receives a deed or grant; buyer
Granting Clause
The provision in a deed that specifies the names of the parties involved, the words of conveyance, and a description of the property.
Grantor
Party who signs and gives a deed; seller
Gross Lease
An agreement for the tenant to pay a fixed rent with the landlord paying all of the expenses associated with the property.
Ground Lease
An agreement for the tenant to lease the land only and erect a building on the land.
Habendum Clause
A provision in a deed to real property that stipulates the estate or interest the grantee is to receive and the type of title conveyed.
Intestate
Without a will
Involuntary Alienation
When a person dies intestate and the property either descends to the decedent’s heirs or transfers to the state through escheat.
Junior Lien
A second mortgage or junior-lien is a loan you take out using your house as collateral while you still have another loan secured by your house. … The term “second” means that if you can no longer pay your mortgages and your home is sold to pay off the debts, this loan is paid off second.
Legal Title
Represents the legal ownership along with the right to control the property in many circumstances. Legal title is transferred from one person to another by a deed.
Lender’s Policy
Title insurance issued for the unpaid mortgage amount to protect the lender against title defects.
Lien
A claim on property for payment of some obligation or debt.
Mechanic’s Lien
A Construction Lien
Net Lease
An agreement for the tenant to pay fixed rent plus property costs, such as taxes, insurance and utilities.
Opinion of Title
A formal statement by an attorney regarding the status of a title after examination of the chain of title.
Owner’s Policy
Title insurance issued for the total purchase price of the property to protect the new owner against unexpected risks.
Percentage Lease
An agreement for the tenant to pay rent based on the gross sales received by doing business on the leased property.
Police Power
The authority of government to protect the property, life, health and welfare of its citizens
Quitclaim Deed
A type of deed that will effectively convey any present interest, claim, or title to real property that the seller (grantor) may own.
Restrictive Covenants
Conditions placed by developers that affect how the land can be used in an entire subdivision.
Seisin
A covenant in a deed that warrants that the grantor (seller) holds the property by virtue of a fee simple title and has a complete right to dispose of same. Also called a seizin clause.
Specific Lien
Claims that affect only the property designated in the lien instruments or agreements
Sublease
A lessee leasing a property to a third party for a period of time less than the original lease. Also called subletting.
Superior Lien
A lien that takes priority over all other liens
Testate
Having left a will.
Title
Evidence of ownership of real property, such as a deed
Title Insurance
A policy of insurance that protects the holder from any loss resulting from defects in the title.
Variable Lease
An agreement for the tenant to pay specified rent increases based on a predetermined index (CPI) at a set future date.
Voluntary Alienation
The transfer of a title with the owner’s control and consent
Warranty Forever
A provision in a deed guaranteeing that the seller will for all time defend the title and possession for the buyer.
