Chapter 09 - Titles, Deeds, and Ownership Restrictions

Question 1

Abstract of title

Answer 1

A summary report of what a title search found in the public record.

Question 2

Acknowledgment

Answer 2

The formal declaration before a notary public by the grantor that his or her signing is a free act.

Question 3

Actual notice

Answer 3

Direct knowledge acquired in the course of a transaction, such as having actually seen the deed instrument or heard that there is a lien on the property.

Question 4

Adverse possession

Answer 4

When the true owner of record fails to maintain possession and the property is seized by another.

Question 5

Alienation

Answer 5

The act of transferring ownership, title, or an interest or estate in real property.

Question 6

Assignment

Answer 6

Assignment of a lease occurs when a lessee (tenant) assigns to another person all of the leased property for the remainder of the lease.

Question 7

Chain of title

Answer 7

The complete successive record of a property’s ownership.

Question 8

Condemnation

Answer 8

A judicial proceeding to exercise the power of eminent domain.

Question 9

Construction lien

Answer 9

A statutory right of material suppliers or laborers to place a lien on property that has been improved by their supplies and/or labor.

Question 10

Constructive notice

Answer 10

The recording of a document or an instrument in the public records designed to give adequate notice to all.

Question 11

Deed

Answer 11

A written instrument used to convey title to real property through sale or gift that must be in writing, signed by a competent grantor and two witnesses, and voluntarily accepted by the grantee.

Question 12

Easement

Answer 12

The right to enter and use an owner’s land for a specific use.

Question 13

Easement appurtenant

Answer 13

An easement that benefits an adjacent parcel of land.

Question 14

Easement by necessity

Answer 14

An easement created by a court of law in cases where justice and necessity dictate it, such as when property is landlocked.

Question 15

Easement by prescription

Answer 15

Created through a court of law after longtime, uninterrupted use.

Question 16

Easement in gross

Answer 16

A type of easement that benefits an individual or business entity and is not related to a specific adjacent parcel (e.g., utility easements).

Question 17

Eminent domain

Answer 17

Gives government the power to take land for a public use from an owner through a legal process known as condemnation.

Question 18

Encroachment

Answer 18

Unauthorized use of another person’s property created when an improvement crosses over a boundary line.

Question 19

Equitable title

Answer 19

The beneficial interest in real estate that implies that an individual will receive legal title at a future date.

Question 20

Escheat

Answer 20

Provides for the State of Florida to take the property of an owner who dies intestate and without any known heirs.

Question 21

Further assurance

Answer 21

A promise in a general warranty deed that guarantees the grantor will sign and deliver any legal instrument that might be required.

Question 22

General lien

Answer 22

A claim that is not restricted to one property and may affect all of the properties of a debtor.

Question 23

General warranty deed

Answer 23

The most common type of deed for conveying real estate. It contains all the covenants and warranties available to give the most complete protection.

Question 24

Grantee

Answer 24

The person receiving title to property in a deed.

Question 25

Granting clause

Answer 25

A clause in a deed that contains the premises or the words of conveyance.

Question 26

Grantor

Answer 26

The person giving title to property in a deed.

Question 27

Gross lease

Answer 27

An agreement for the tenant to pay a fixed (base) rent with the landlord paying all of the expenses associated with the property.

Question 28

Ground lease

Answer 28

An agreement for the tenant to lease the land only and erect a building on the land.

Question 29

Habendum clause

Answer 29

A clause in a deed that describes the type of estate being conveyed and starts with the words “to have and to hold.”

Question 30

Intestate

Answer 30

To die without leaving a will.

Question 31

Lender’s policy

Answer 31

Title insurance issued for the amount of mortgage debt to protect the lender (mortgagee) against title defects.

Question 32

Lien

Answer 32

A written document that states that a person is owed money and establishes that the party may foreclose on the property if the debt is not satisfied; the right to have property sold to satisfy the debt.

Question 33

Lis pendens

Answer 33

Notice of pending legal action; it is filed before initiating a lawsuit.

Question 34

Net lease

Answer 34

An agreement for the tenant to pay fixed rent plus property costs such as taxes, insurance, and utilities.

Question 35

Opinion of title

Answer 35

A formal statement executed by an attorney after studying the abstract of title.

Question 36

Owner’s policy

Answer 36

Title insurance issued for the total purchase price of the property to protect the new owner against unexpected title risks.

Question 37

Percentage lease

Answer 37

An agreement for the tenant to pay rent based on the gross sales received by doing business on the leased property.

Question 38

Police power

Answer 38

The broadest power of government to limit or regulate the rights of property owners in order to protect the health, safety, and welfare of the public.

Question 39

Quiet enjoyment

Answer 39

A promise in a general warranty deed that guarantees peaceful possession undisturbed by claim of title.

Question 40

Quitclaim deed

Answer 40

A type of deed that releases the grantor of any rights in the property he or she may have and is used to clear clouds on the title and to cure title defects.

Question 41

Seisin (seizin)

Answer 41

The clause in a deed that is a promise that the grantor has the right to convey title (a statement of ownership).

Question 42

Specific liens

Answer 42

Liens that apply only to a certain specified property.

Question 43

Sublease

Answer 43

A lease given by the lessee for a portion of the leasehold interest, while the lessee retains some reversionary interest. The sublease may be for all or part of the premises, for the whole term or part of it, as long as the lessor retains some interest in the property.

Question 44

Testate

Answer 44

To die with a will.

Question 45

Title insurance

Answer 45

A contract that protects the policyholder from losses resulting from defects in the title.

Question 46

Title search

Answer 46

An examination of all of the public records to determine whether any defects exist in the chain of title.

Question 47

Variable lease

Answer 47

An agreement for the tenant to pay specified rent increases based on a predetermined index (CPI) at set future dates.

Question 48

Warranty forever

Answer 48

A promise in a general warranty deed guaranteeing that the grantor will forever warrant and defend the grantee’s title against all unlawful claims.

Question 49

Will

Answer 49

Legal instrument used to convey title to real and personal property after a person’s death.